May 07, 2015.SilverCrest Mines Inc
May 07, 2015. SilverCrest Mines.initial results of its accelerated underground exploration of the El Cholugo Zone.(“El Cholugo” or the “Zone”) located immediately adjacent to the Main Mineralized Zone (“MMZ”) currently in production at the Santa Elena Mine, Sonora, Mexico. Sandstorm has a gold stream agreement to purchase 20% of the life of mine gold production from Santa Elena for a per ounce cash payment equal to the lesser of US$350 and the then prevailing market price of gold.
In February 2014, Sandstorm exercised its underground mine option with SilverCrest, allowing the company to purchase 20% of the payable gold from underground.
Sandstorm will make on-going per ounce payments equal to US$350 until 50,000 ounces of gold have been delivered to Sandstorm (inclusive of ounces already received from open-pit production), at which time the on-going per ounce payments will increase to US$450.
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