Silver Range Resources Ltd (CVE:SNG) (OTCMKTS:SLRRF) (FRA:8SR) announced Tuesday it has concluded an asset purchase agreement granting Silver47 Exploration Corp a 100% interest in the Michelle Silver-Zinc-Lead Project in central Yukon.
Silver Range said the Michelle Project lies within a belt of Paleozoic platform carbonate rocks that stretches through northern British Columbia, western Northwest Territories, Yukon, and Alaska.
It covers carbonate-hosted, zinc-lead-silver-gallium mineralization, with district-scale potential. The project encompasses 782 mineral claims that adjoin the Dempster Highway via an 18 kilometre-long proposed access corridor.
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In a statement, Silver Range said work-to-date has identified 23 mineralized zones within a 14 kilometers (km) by 9km area. Surface rock sampling on the property has yielded peak values of 4,180 grams per ton (g/t) silver, 48.57% zinc, 82.78% lead, and 1,120 ppm gallium.
Historical diamond drilling, which concentrated on two occurrences, returned highlights including 18.29m containing 310 g/t silver, 16.75% zinc, 8.86% lead at the Gully Zone, and 2.96m containing 2,134 g/t silver, 0.55% zinc, and 15.18% lead at the Peak Zone, the company noted.
According to the agreement, Silver Range said that Silver47 can purchase a 100% interest in the Michelle Property by:
- Issuing to Silver Range 19.9% of Silver47's shares following a listing on a Canadian securities exchange before March 1, 2022;
- Granting Silver Range a 1% Net Smelter Return; Silver47 will have a right of first refusal on the sale of the royalty; and
- Making a one-time milestone payment of $1 million in cash or Silver47 shares upon the declaration of National Instrument 43-101 Measured & Indicated resources or reserves in excess of 80 million ounces of silver.
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