The Plateau South Project
The Plateau property is a newly discovered district scale gold system consisting of more than 3167 claims covering some 662 square kilometers that has produced excellent drill results and widespread high grade gold mineralization found over 50 km that remains open, is largely unexplored and has many of the early indicators of an emerging gold camp in the making.
Strategic alliance with Newmont Mining Corp valued at $53MM CAD
Newmont plans for 10,000 meters of drilling at Plateau district scale gold system in 2018.
Newmont is a world-class miner and partner with the depth and experience to take the Plateau district scale gold system from exploration through development and into production.
Highlights of the Newmont and Goldstrike agreement from 2017
Newmont must spend CAD $17.4M in exploration expenditures and pay CAD $8M (Total of CAD $25.4M) by March 2021 to earn 51% interest. This includes completing a NI 43-101 resource estimate.
Newmont’s firm commitments over 2017 and 2018 of Phase 1, including the financing at CAD $0.4742 per unit (closed), cash payments and exploration expenditures, total CAD $14,658,450 (includes USD $2M in cash payments).
If Newmont elects to proceed with Phase 2, it must incur a minimum of an additional CAD $21.4M (US$16M) in exploration expenditures and complete a feasibility study by December 15, 2027 to earn an additional 24% for a cumulative total of CAD $ 53M. If it does not complete Phase 1 and Phase 2, its interest will revert to a 49% dilutable interest.
After completion of Phase 2, Newmont must fund all expenditures at Plateau, including ongoing drilling and any other exploration, and environmental compliance, until it delivers a program and budget for the development of the first mine or mines on the property. If Goldstrike then exercises its Financing Option, Newmont must fund 100% of all costs relating to the Plateau project for the duration of the Venture, including all mine development costs, with Goldstrike’s share of such costs to be repaid from 80% of Goldstrike’s share of project cash flow.