American Pacific Mining enters agreement with OceanaGold

American Pacific Mining has entered into an earn-in agreement with OceanaGold with respect to American Pacific’s Tuscarora gold project 50 kilometers (km) northwest of Elko, Nevada. Oceana can earn up to 51% of the project by investing $4 million over the next four years. Oceana will have 60 days thereafter to exercise an option to earn an additional 24% by investing a further $6 million over the following four years.

Oceana will make an initial $50,000 cash payment to American Pacific and, upon earning a 51% interest in the property, a second payment of $200,000 in cash or shares at Oceana’s option. Oceana will be the operator. Upon Oceana completing its earn-in obligations, a joint-venture management committee will be formed.

American Pacific CEO Warwick Smith commented, “We are very pleased to partner with OceanaGold at Tuscarora. The company’s management and board of directors extend a warm welcome to the OceanaGold team as both sides work to add value to the project and define further drill targets across the large and historic land package.

“This announcement adds excitement to the project and the company as we enter a new exploration season. OceanaGold is the perfect partner in our eyes, especially with the success they have had at Waihi in New Zealand, a similar high-grade epithermal system. For a company of our size, this transaction is a big milestone.”

As featured in Womp 2019 Vol 05 -