Americas Bullion Royalty Corp. Agrees to Sell Angel's Camp Joint Venture; Retains NSR Royalty
HAYDEN, ID, March 7, 2013 /PRNewswire/ - Americas Bullion Royalty Corp. (TSX: AMB) (the "Company") is pleased to announce that it has created a new royalty interest by entering into an Option Agreement to sell the Company's 50% joint venture interest in the Angel's Camp Property in southern Oregon to Orsa Ventures Corp. (Orsa). As consideration, Orsa will issue one million common shares to the Company upon closing and $390,000 in cash over several years. Americas Bullion Royalty Corp. will retain a 1.25% Net Smelter Return Royalty on the project.
About Angel's Camp
The Angel's Camp Project is comprised of 158 unpatented lode mining claims which encompass approximately 3,000 acres adjacent to Orsa's Quartz Mountain Property which is held by separate agreement with Seabridge Gold Inc. The Quartz Mountain Property is an epithermal hot spring system with a 2.85 million ounce Inferred gold resource of 110,448,000 tonnes grading 0.80 grams per tonne gold (see Orsa news releases dated October 24, 2011 and February 15, 2012). Mineralization is hosted in two rhyolite domes known as Quartz Butte and Crone Hill. Lying adjacent to the defined resource of the Quartz Mountain Property, the Angel's Camp Project contains several other rhyolite domes which are known to host epithermal gold mineralization as identified by surface sampling as well as a number of drill holes (news releases of May 29 and Sept 11, 2009). Orsa has advised that it will launch an aggressive exploration program on these additional domes in addition to its continuing development work at Quartz Mountain.
Prior to this agreement, Orsa was the non-managing partner of the 50% joint venture interest in Angel's Camp through an Option Agreement with Seabridge Gold Inc.
The Company's Agreement with Orsa is subject to regulatory approval.
The technical content of this news release has been reviewed and approved by Michael Maslowski, BSc, CPG, the Company's Chief Operating Officer and a Qualified Person as defined by National Instrument 43‐101.
Americas Bullion Royalty Corp.
Americas Bullion Royalty Corp. is a precious metals royalty and streaming company designed to provide revenue as well as lower risk exposure to shareholders through project diversity in stable, mining-friendly jurisdictions. The Company's existing 34 property portfolio, comprising more than 100,000 acres predominantly in Nevada, is highlighted by Gross in-kind Royalties on Midway Gold's Pan and Gold Rock deposits, as well as 2 separate projects encompassing more than 34 square miles at Barrick Gold's Bald Mountain project in Nevada.
Current royalty revenue is expected to accelerate as early as 2014 as several of these projects commence production. Americas Bullion Royalty Corp.'s prime royalty portfolio is unique in the mineral development industry due to its ability to receive the majority of projected revenues in-kind (gold bullion as opposed to cash), its possession of gross royalties with no exposure to operator cost, as well as its security of title with no buyback or buyout provisions.
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance. There are numerous risks and uncertainties that could cause actual results and Americas Bullion's plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, Americas Bullion assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.
SOURCE Americas Bullion Royalty Corp.