News.
ORIGINAL: TRU Acquires 100% Ownership of Altius' Golden Rose Project
2022-11-30 07:56 ET - News Release
Toronto, Ontario--(Newsfile Corp. - November 30, 2022) - TRU Precious Metals Corp. (TSXV: TRU) (OTCQB: TRUIF) ("TRU" or the "Company") is pleased to announce that it has concurrently exercised three option agreements to acquire 100% ownership of the Company's flagship Golden Rose Project ("Golden Rose" or the "Project"), as described below (Figure 1), located in the highly prospective Central Newfoundland Gold Belt.
TRU Co-Founder & CEO Joel Freudman commented, "Acquiring 100% ownership of Golden Rose earlier than initially contemplated or required is a testimony to our confidence that there is much more discovery potential to uncover. Since optioning the Project from TSX-listed Altius Minerals Corporation in May 2021, we have worked with determination and prudence as we tactically consolidated the most prospective claims within and surrounding Golden Rose, alongside exploring the Project. We are now the sole owners of this formidable land package, flanked on either side by deposit-bearing neighbours. We intend to expand TRU's pipeline of drill-ready targets across the Project through relatively low-cost, but high-upside, exploration methods, to ultimately prepare for what we are hopeful will be an exciting 2023 drill program."
The Company has exercised the following option agreements:
Option Agreements with Altius and Shawn Rose
On May 12, 2021, TRU announced that it had closed a definitive option agreement with a subsidiary of TSX-listed Altius Minerals Corporation ("Altius"), by which Altius granted to TRU the exclusive right and option (the "Altius Option") to acquire, subject to retention by Altius of a maximum 2.0% net smelter return royalty ("NSR"), its 100% interest in a package of mineral claims located in the southwestern portion of the Central Newfoundland Gold Belt (the "Altius Claims").
In connection with the Altius Option, Altius also assigned to TRU a supplementary option agreement under which Shawn Rose granted TRU the exclusive right and option (the "Rose Option") to acquire, subject to retention by Shawn Rose of a 2.0% NSR, his 100% interest in certain surrounding mineral claims known as the Rose Gold claims (the "Rose Claims").
Collectively, the Altius Claims and the Rose Claims formed the initial basis of Golden Rose. The Company has subsequently more than doubled the size of Golden Rose through a series of other transactions.
TRU has now exercised the Altius Option as well as the accompanying Rose Option by issuing 1,400,000 common shares of TRU ("TRU Shares") to Altius at a deemed price of $0.25 per share, and paying $37,500 in cash to Shawn Rose, pursuant to the terms of the respective option agreements. The Company previously satisfied all other terms of such agreements, including the requirement under the Altius Option to incur $3,000,000 of exploration expenditures prior to February 2024.
Figure 1: Golden Rose Project Property Location and Ownership Map
To view an enhanced version of Figure 1, please visit:
https://images.newsfilecorp.com/files/5993/146124_51ffa0053497e8ae_001full.jpg
Option Agreement for King George IV Lake Claims
On July 13, 2021, the Company entered into an option agreement with an arm's length individual under which TRU was granted the exclusive right and option (the "KG4 Option") to acquire, subject to retention by the optionor of a 2.0% NSR, 100% interest in certain claims along the shoreline of King George IV Lake, all of which are contiguous with Golden Rose. Further details are available in the Company's press release dated July 14, 2021.
TRU has exercised the KG4 Option by issuing to the optionor 100,000 TRU Shares at a deemed price of $0.08 per share, and an additional 500,000 TRU Shares at a deemed price of $0.08 per share in a shares for debt transaction in satisfaction of a $40,000 cash-or-shares payment obligation. These payments were due to be made by July 13, 2023.
About TRU Precious Metals Corp.
TRU (TSXV: TRU) (OTCQB: TRUIF) is on a mission to build long-term shareholder value, through prudent natural resource property development and transactions. TRU is exploring for gold and copper in the highly prospective Central Newfoundland Gold Belt on its 100%-owned Golden Rose Project, originally optioned from TSX-listed Altius Minerals. Golden Rose is a regional-scale 236 km2 land package, including a recently-discovered 20 km district-scale structure, and an additional 45 km of strike length along the deposit-bearing Cape Ray - Valentine Lake Shear Zone, directly between Marathon Gold's Valentine Gold Project and Matador Mining's Cape Ray Gold Project. In addition, TRU has an option to acquire up to an aggregate 65% ownership interest in two claim packages covering 33.25 km2 including a 12 km strike length along the Shear Zone within Golden Rose.
TRU is a portfolio company of Resurgent Capital Corp. ("Resurgent"), a merchant bank providing venture capital markets advisory services and proprietary financing. Resurgent works with promising public and pre-public micro-capitalization companies listing on Canadian stock exchanges. For more information on Resurgent and its portfolio companies, please visit Resurgent's website at https://www.resurgentcapital.ca/ or follow Resurgent on LinkedIn at https://ca.linkedin.com/company/resurgent-capital-corp.