Looks like time is running out for Endeavour Silve
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(Total Views: 198)
Posted On: 01/03/2022 1:39:29 PM
Looks like time is running out for Endeavour Silver to buy back 1% of the NSR on Bruner. I'm quite certain the terms/conditions from the original asset sale from Patriot to Canamex still stand. By the end of April, EDR.T has to give PGOL $5 million USD for that 1%, or else it reverts back to a full 2% NSR with no limit. Short term the cash would be huge for Patriot, but I'd rather have a full 2% royalty as that extra 1% will be worth way more in a couple years from now. 342,000 ounces of gold in the historic report, with only 10% of the property explored, upside is massive. From page 13 on the last MD&A:
Pursuant to the Bruner Purchase and Sale Agreement with Canamex Resources dated April 25, 2017, the Company has a 2% net smelter return (“NSR”) royalty on the Bruner Gold/Silver mine in Nevada, including any claims acquired within a two-mile area of interest around the existing claims. Canamex has the option to buy-down half of the NSR royalty retained by Patriot for $5 million any time during a five-year period following closing of the purchase and sale agreement. As of September 30, 2021, no royalties have yet been earned.
Pursuant to the Bruner Purchase and Sale Agreement with Canamex Resources dated April 25, 2017, the Company has a 2% net smelter return (“NSR”) royalty on the Bruner Gold/Silver mine in Nevada, including any claims acquired within a two-mile area of interest around the existing claims. Canamex has the option to buy-down half of the NSR royalty retained by Patriot for $5 million any time during a five-year period following closing of the purchase and sale agreement. As of September 30, 2021, no royalties have yet been earned.
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