Red Pine Exploration (RPX) has agreed to sell Newton Gold the rights, title and interest in the Algoma-Talisman gold property.
The transaction will allow Red Pine to focus its efforts on its 100 per cent-owned Wawa Gold Project where it is currently undertaking a 15,000-metre diamond drilling program.
The purchase price of $1,050,000 will be payable by Newton to Red Pine as follows:
(a) CAD $550,000 payable on closing of the transaction;
(b) CAD $500,000 payable on or before December 31, 2021.
Red Pine will retain a net smelter royalty of 1.5 per cent, which can be repurchased by Newton for $500,000.
Completion of the transaction is subject to receipt of all regulatory and stock exchange approvals. Title to the property will transfer upon full payment of the purchase price. Closing is expected to occur in the second half of August 2021.
Proceeds from the sale of the property will be allocated to the exploration program at the Wawa Gold Project.
Red Pine Exploration Inc. is a gold exploration company headquartered in Toronto. The company's flagship Wawa Gold Project is located 2km southeast of the Municipality of Wawa, in Northern Ontario.
Red Pine Exploration Inc. (RPX) opened trading at C$0.41 per share.