to all:
Wheaton starts work at Bellavista gold project
Wheaton River Minerals (WRM-T) has signed a 3-year deal to earn a full interest in the Bellavista gold project of
Minera Rayrock (MRN.A-T) in Costa Rica.
To earn the interest, Wheaton must pay Minera $100,000 and issue 500,000 shares and 2 million share purchase warrants
priced at $1 each and exercisable for five years. On the first anniversary of the agreement, the company will issue to Minera an
additional 500,000 shares.
Upon closure of the agreement, which is still subject to due diligence and regulatory approval, Wheaton will assume all costs
associated with the project and undertake a bankable feasibility study.
Wheaton will also pay Minera $10 for every ounce of recoverable gold identified in the study, to a maximum of $8.9 million.
Also, a variable-rate net profits interest will be paid to a third party.
Previous work on the Bellavista property included 34,000 metres of drilling in 224 holes, 498 bulk and channel samples, and
926 metres of underground development, including three raises.
Based on that work, Wheaton River has outlined a resource, in all categories, of 37.4 million tonnes grading 1.63 grams gold,
at a cutoff grade of 0.7 gram gold.
Within that resource, 10.7 million tonnes grading 1.76 grams are proven and probable reserves amenable to open-pit mining
methods. Three million tonnes grading 3.28 grams are classified as a resource and are potentially amenable to underground
bulk-Mining methods. That higher-grade resource is open in both directions.
Reserve calculations by Minera have since been verified by an independent engineering firm.
In July, Wheaton will conduct its own metallurgical and engineering studies.
Geotechnical drilling, permitting, additional underground development and environmental reviews will also be conducted. |
