Lithium Ionic advances project financing with LOI for $266m
The funding represents 100% of the capital expenditure outlined in a May 2024 feasibility study.
TSX. V: COCO
VANCOUVER, BC, Sept. 27, 2023 /CNW/ - Coast Copper Corp. ("Coast Copper" or the "Company"); (TSXV: COCO) is pleased to announce that it has completed summer exploration programs on both its 100% owned Scottie West property in British Columbia's ("BC") Golden Triangle district and its optioned Empire Mine property located on northern Vancouver Island. Coast Copper has now satisfied its third-year anniversary commitments regarding the option agreement to acquire the Empire Mine property ("Empire Option Agreement").
In September 2023, Coast Copper completed a work program on its Scottie West property located approximately 35 kilometers northwest of Stewart, BC and immediately west of Scottie Resources Corp.'s Scottie Gold Mine project¹. The notable glacial retreat, even since 2020, has provided new bedrock exposure allowing for mapping and sample collection in previously inaccessible areas. With being able to see new terrain, the geological team was able to recognize features on a regional scale. In total 130 rock samples were collected.
Adam Travis, Coast Copper CEO comments: "We were very grateful that Jeff Kyba, one of our technical advisors who has extensive experience in the Golden Triangle, was able to join us at the Scottie West property before winter sets in. During a short window of time, we were able to identify prospective opportunities for new gold discoveries associated with several regional scale structures and related veining in areas of new rock exposure due to the receding glaciers."
Additionally, in September 2023, the Coast Copper technical team followed up several geophysical and gold in soil anomalies and collected 76 soil samples and 25 rock samples in the B3 Discovery area (see news release August 21, 2023). Coast Copper continues to build on its previous work and develop a more comprehensive understanding of the mineralization at Empire.
Once the Company has received the results from both programs and completed its quality assurance/quality control procedures, it will release assay results.
Coast Copper has recently completed its third-year anniversary commitments with respect to the Empire Option Agreement (see news release dated September 24, 2020). These commitments included:
Pursuant to the terms of the Empire Option Agreement, the Company can acquire a 100% interest in the Empire Mine property from Mirva by making aggregate cash payments of $1,250,000, issuing 3,000,000 common shares of the Company and undertaking work commitments totaling $2,000,000 over a 5-year period. Mirva will retain a 2% net smelter return ("NSR") royalty on the Empire Mine property of which 1% may be purchased for $1,000,000 at any time up to 120 days after commencement of commercial production. The Empire Option Agreement was structured such that this NSR royalty plus all other NSR royalties which may currently be payable on the Empire Mine property may not exceed in aggregate 2.5% before buydowns.
To earn a 100% interest in the Quatsino Crown Grants, the Company must pay Mirva the equivalent of $500,000 with either a cash payment or equivalent value in common shares of the Company, at the Company's election, on or before September 22, 2025. The Company has the option to extend the Quatsino Crown Grants payment date to September 22, 2026 for an additional payment of $35,000, to September 22, 2027 for a further additional payment of $55,000 and to September 22, 2028 for a further additional payment of $75,000.
To date Coast Copper has incurred more than $2,000,000 in cumulative exploration expenditures on the Empire Mine property, thus satisfying the entire exploration expenditure requirements pursuant to the Empire Option Agreement.
Adam Travis further comments: "I'm very pleased with our progress on the Empire Mine property, including our most recent discovery of the B3 showing and our high-grade gold-copper mineral resource estimate (see news release May 23, 2023). We were able to get out on the property in late September and continue to explore the undervalued areas. We now have only one more payment to make in order to earn a 100% interest in the mineral claims that comprise the Empire Mine property. We are very encouraged by our exploration at Empire and look forward to the assay results that may expand the recently discovered B3 copper-gold showing."
About Coast Copper Corp.
Coast Copper's exploration focus is the optioned Empire Mine property, located on northern Vancouver Island, BC, which covers three historical open pit mines and two past-producing underground mines that yielded iron, copper, gold and silver. Coast Copper's other properties include its 100% owned Knob Hill NW property located on northern Vancouver Island, its Home Brew property in central BC, and its Scottie West property located in the "Golden Triangle" of northern BC. Coast Copper's management team continues to review precious and base metals opportunities in western North America.
On Behalf of the Board of Directors:"Adam Travis"Adam Travis, Chief Executive Officer and Director
1. Adjacent Properties: This news release may contain information about adjacent properties on which Coast Copper Corp has no right to explore or mine. Investors are cautioned that mineral deposits on adjacent properties are no indicative of mineral deposits on the Company's properties.
Neither the 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 release.
Certain information contained or incorporated by reference in this press release, including any information regarding the proposed Transaction, private placement, board, and management changes, as to our strategy, projects, plans or future financial or operating performance, constitutes "forward-looking statements." All statements, other than statements of historical fact, are to be considered forward-looking statements. Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable by Coast Copper, are inherently subject to significant business, economic, geological, and competitive uncertainties, and contingencies. Although Coast Copper believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include but are not limited to fluctuations in market prices, exploration and exploitation successes, continued availability of capital and financing, changes in national and local government legislation, taxation, controls, regulations, expropriation, or nationalization of property and general political, economic, market or business conditions. Many of these uncertainties and contingencies can affect our actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, us. Readers are cautioned that forward-looking statements are not guarantees of future performance and, therefore, readers are advised to rely on their own evaluation of such uncertainties. All of the forward-looking statements made in this press release, or incorporated by reference, are qualified by these cautionary statements. We do not assume any obligation to update any forward-looking statements.
SOURCE Coast Copper Corp.
View original content: http://www.newswire.ca/en/releases/archive/September2023/27/c8980.html
