First Mining Finance (FF-V) Aug 22, '16 is pleased to announce that it has signed an agreement with BRS Ventures (BRV-V), under which First Mining will sell all the issued and outstanding shares of Minera Terra Plata S.A. de C.V., a subsidiary of First Mining, which owns the Peñasco Quemado, La Frazada and Pluton properties located in Mexico.
TERMS OF THE AGREEMENT:
First Mining will sell its 100% interest in the Properties for a total of six million shares of BRS on a post-split basis. After closing of the transaction, First Mining will own 7.2% of the issued and outstanding shares of BRS. Upon completion of sale of the Properties, First Mining will retain a 2.5% net smelter return ("NSR") royalty for each property and 1.5% may be purchased by BRS for US$1 million. BRS is planning to change its name to Silver One Resources Inc. This transaction is subject to acceptance by the TSX Venture Exchange.
Keith Neumeyer, Chairman of First Mining stated, "Given recent improvements to sentiment in the mining sector we are pleased this transaction helps to unlock the value of three under explored Mexican silver assets. This transaction follows our mineral bank business model of monetizing assets by entering into agreements with third parties that move our projects forward while First Mining retains residual interests in the properties. We have confidence in the BRS management team and we look forward to reaping the benefits of the accelerated advancement of these properties."
THE PROPERTIES
Peñasco Quemado, Sonora, Mexico
Peñasco Quemado, is located in northern Sonora, 60 km south of the town of Sasabe and comprises 3,746 hectares. A 2006 drilling program outlined a historical measured and indicated resource of 2.57 million tonnes at a grade of 117 grams per tonne (g/t) silver for a silver resource of 9.63 million ounces. The silver mineralization is associated with manganese oxides in a near surface shallow westerly dipping zone of polymictic conglomerate in the northern part of the deposit and in stockwork quartz and manganese oxides in a rhyolite dome in the southern part of the deposit.
La Frazada, Nayarit, Mexico
La Frazada is located approximately 300 km northwest of Guadalajara and is a 299.10 hectare property hosting silver rich epithermal veins with base metals. In 2008, measured and indicated historical mineral resources were estimated to be 583,000 tonnes at 250 g/t silver, 0.87 % lead, and 2.44% zinc and a historical inferred resource of an additional 534,000 tonnes at 225 g/t silver, 0.92% lead, and 2.62% zinc.
Pluton, Durango, Mexico
Pluton is a 6,534 hectare property comprised of three contiguous exploration concessions and is strategically located within the historic "Ojuela-Mapimi Mining District" and lies along the eastern front of the Sierra Madre Oriental in northern Durango adjacent to Excellon's operating La Platosa Silver Mine. Exploration targets at Pluton are silver-lead-zinc carbonate replacement deposits, which may lie beneath the shallow alluvial cover.
ABOUT FIRST MINING FINANCE CORP.
First Mining is a mineral property holding company whose principal business activity is to acquire high quality mineral assets with a focus in the Americas. The Company currently holds a portfolio of 28 mineral assets in Canada, Mexico and the United States with a focus on gold. Ultimately, the goal is to continue to increase its portfolio of mineral assets through acquisitions that are expected to be comprised of gold, silver, copper, lead, zinc and nickel.
ON BEHALF OF THE BOARD OF
FIRST MINING FINANCE CORP.
Keith Neumeyer, Chairman
First Mining Finance Corp.
Patrick Donnelly
President
604-639-8854
First Mining Finance Corp.
Derek Iwanaka
Vice President, Investor Relations
604-639-8824
www.firstminingfinance.com |
