VANCOUVER, March 5, 2018 /CNW/ - Finlay Minerals Ltd. (TSXV: FYL) (the "Company") announces the option of its 100% owned ATTY Property to Serengeti Resources Inc. ("Serengeti") for consideration totaling $1.85 million. The ATTY, which was purchased from Electrum Resource Corporation in 1999, is adjacent, contiguous and directly to the north of Centerra Gold's Kemess Property encompassing the pre-feasibility Kemess Underground deposit and the advanced Kemess East deposit which is open to the west, north and south. Both these deposits are within 1.0 kilometer of ATTY's borders. The ATTY covers several high potential exploration targets including a possible up-thrown, near surface, fault offset of the adjacent Kemess East deposit.
Robert Brown, the Company's President and Chief Executive Officer states that:
"With the option of the ATTY Property to Serengeti Resources, who own the UDS Property adjacent to the ATTY, we have created a more robust asset. The Company is looking forward to Serengeti advancing the exploration of the ATTY. This agreement is part of a corporate strategic plan developed by the Company's Board and Management in late 2017 to focus funds on a single project while bringing in partners on the others."
The option agreement's term is over 8 years with all cash payments totaling $625,000, combined cash and/or share payments totaling $975,000, and further payments of $250,000 to purchase Finlay's royalty rights, in addition to work commitments on the ATTY Property of $12 million. The first year of the agreement is binding for Serengeti, including $300,000 of work on the ATTY.
These transactions are subject to the approval of the TSX Venture Exchange and any shares issued by Serengeti to the Company pursuant to the terms of the option agreement will be subject to a four-month hold period in accordance with applicable securities laws.
About Finlay Minerals Ltd.
Finlay is a TSX Venture Exchange company focused on exploration for base and precious metal deposits in northern British Columbia. The Company's properties include:
- the Silver Hope which includes porphyry copper-molybdenum mineralization discovered in 2010, along with three silver-copper mineralized zones, in a contiguous trend with the mined-out deposits of the former Equity Silver Mines (71 million oz. silver, 185 million lbs. copper and 508,000 oz. gold),
- the ATTY which is contiguous to the north side of the Kemess East deposit of Centerra Gold Inc., and
- the PIL Property which is adjacent to Sable Resource's Baker Mine.
Finlay Minerals Ltd. trades under the symbol "FYL" on the TSX Venture Exchange. For further information and details please visit the Company's website at www.finlayminerals.com.
On behalf of the Board of Directors,
Robert F. Brown,
President & CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Information: This news release includes certain "forward-looking information" and "forward-looking statements" (collectively, "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements in this news release that address events or developments that we expect to occur in the future are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, although not always, identified by words such as "expect", "plan", "anticipate", "project", "target", "potential", "schedule", "forecast", "budget", "estimate", "intend" or "believe" and similar expressions or their negative connotations, or that events or conditions "will", "would", "may", "could", "should" or "might" occur. All such forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Forward-looking statements in this news release include statements regarding, among others, the completion of the cash and/or share payments pursuant to the terms of the option agreement and the receipt of requisite regulatory approvals for the transactions contemplated under the option agreement. Although Finlay believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration successes, and continued availability of capital and financing and general economic, market or business conditions. These forward-looking statements are based on a number of assumptions including, among other things, assumptions regarding general business and economic conditions, the timing and receipt of regulatory and governmental approvals, the ability of Finlay and other parties to satisfy stock exchange and other regulatory requirements in a timely manner, the availability of financing for Finlay's proposed transactions and programs on reasonable terms, and the ability of third party service providers to deliver services in a timely manner. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Finlay does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future or otherwise, except as required by applicable law.
SOURCE Finlay Minerals Ltd.
For further information: Finlay Minerals Ltd., John Barakso, Chairman of the Board, Tel: 604-684-3099, [email protected]