stockwatch.com Surge Copper agreement for MacLean East property
2025-02-28 20:43 ET - Property Agreement
The TSX Venture Exchange has accepted for filing documentation pertaining to an option agreement between Surge Copper Corp. and three arm's-length parties dated Dec. 12, 2024, as amended on Jan. 29, 2025, whereby the optionors has granted an option to the company to acquire a 100-per-cent undivided legal and beneficial right, title and interest in and to certain mineral claims, called the MacLean East property, located in central British Columbia.
According to the terms of the agreement, the company has allocated $300,000 in assessment work credit within 30 days following the effective date. In addition, the company will make option payments totalling $1,685,000 over five years, payable in cash or shares, with the maximum number of shares not exceeding 18,722,222. The payment is detailed as follows:
- $285,000 payable in cash or shares on or before the first anniversary of the effective date;
- $550,000 payable in cash or shares on or before the second anniversary of the effective date;
- $575,000 payable in cash or shares on or before the third anniversary of the effective date;
- $75,000 payable in cash or shares on or before the fourth anniversary of the effective date;
- $200,000 payable in cash or shares on or before the fifth anniversary of the effective date.
Upon fully exercise of the option, the company will grant to the optionors an aggregate 3.5-per-cent net smelter return (NSR) royalty on mineral production from the property, with an option to buy back 50 per cent of the NSR for $6-million.
The transaction is arm's length in nature and no finders' fees are payable.
For further details, please refer to the company's news releases dated Dec. 13, 2024, and Feb. 28, 2025.