VANCOUVER, British Columbia, Nov. 28, 2017 (GLOBE NEWSWIRE) -- GFM Resources Limited (the “Corporation”) (TSX-V:GFM.H) is pleased to announce that it has entered into an exploration and evaluation agreement with Minera Auricup, S. de R.L. (“Auricup”) for exclusive access to conduct exploration and evaluation of the merits of a mineral concession (the “Evaluation Agreement”) of Auricup’s Baviácora concession (the “Concession”), located in the state of Sonora, Mexico.
Under the terms of the Evaluation Agreement, the Corporation will pay for outstanding mineral rights of the Concession, will have exclusive access rights for a period of six months, and will obtain a minimum 15% ownership stake in the Concession. The starting of the six-month initial evaluation and exploration term is subject to Auricup negotiating the land access rights with the local communal land administration. If, for any reason, such access rights are not successfully negotiated within 120 days of the date of Evaluation Agreement, the Corporation has the option of demanding full repayment, or to obtain a similar stake in a different but equivalent mineral concession owned by Auricup.
Should the initial exploration and evaluation under the present agreement be successful, the Corporation, at its sole option, has the exclusive right to negotiate an agreement to acquire a further interest in the Concession.
The Corporation has paid the outstanding Concession’s maintenance fees of MXN $1,431,671 (approximately CAD $95,000) as consideration for the evaluation rights. The Corporation drew down on its facility with Metallorum Holding, S.A.P.I de C.V., the Corporation’s majority shareholder, for this payment.
The Evaluation Agreement is subject to the approval of the NEX Board of the TSX Venture Exchange.
For additional information, please contact:
Salvador Miranda, Chief Financial Officer
Phone: (+1) 604 925 2839
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
GFM RESOURCES LIMITED
Suite 2000 - 1066 West Hastings Street
Vancouver, British Columbia, Canada V6E 2X2
Tel: (+1) 604 925 2839