Tuesday, 31 July 2012

Sacre-Coeur Minerals to sell core drill to Riverside Resources

Guyana-focused Sacre-Coeur Minerals (CVE:SCM) struck a deal with Riverside Resources (CVE:RRI) to sell a core drill, the company said.

Financial terms of the deal were not disclosed in Tuesday’s statement.

The drill, which is one of three, has been in storage. The company can opt to buy the drill back, and can also act as agent to sell the drill to a third party.

According to the deal, if after 120 days Sacre-Coeur has not repurchased or sold the drill to a third party, Riverside shall be entitled to put the drill back for the purchase price plus a 15 per cent premium.

Sacre-Coeur Minerals plans to use the proceeds from the sale of the drill toward working capital as well as general corporate purposes.

The company, in addition, plans to update an NI 43-101 resource estimate for its Million Mountain Zone hard rock resource, as it seeks to move forward to evaluate production and commercial potential of the deposit.

The Million Mountain property hosts a resource of 12.1 million tonnes with gold grades of one gram per tonne (g/t) in the measured category, alongside 2.17 million tonnes grading 0.9 g/t gold in the indicated category, totalling 451,000 troy ounces gold combined.

Sacre-Coeur has been exploring for gold in Guyana South America since 2005. It has narrowed its focus to two major holdings known as Lower Puruni and the Northwest District Block.

No comments:

Post a Comment