Government Gulch segment of the Ranger-Page Project secured by Silver Dollar through option exercise
Silver Dollar Resources Inc., a mineral exploration company with a focus on Idaho's Silver Valley and the Durango-Zacatecas silver-gold belt, has made significant strides in its operations. The company recently completed the acquisition of an initial 75% interest in the Government Gulch portion of the Ranger-Page Project.
The Ranger-Page Project, located in the Coeur d'Alene Mining District, a top producer of silver, lead, and zinc, covers six historic mines and is strategically situated near Interstate 90. This provides easy access to power, water, local infrastructure, and a skilled workforce.
Silver Dollar has the option to acquire the remaining 25% interest in the Government Gulch property through good faith negotiations or by electing a purchase price. If negotiations fail, Silver Dollar may buy the 25% interest by paying $2.25 million in cash, or alternatively a combination of $1 million cash plus $1.25 million in shares, or $2.25 million in shares, depending on the negotiation outcomes.
If Silver Dollar does not exercise the Second Option by December 31, 2025, a joint venture will be formed, with Silver Dollar serving as operator. The agreement contains dilution provisions for joint venture participants where failure to contribute their share of expenses leads to dilution of interest. If an interest is diluted below 10%, the other party automatically acquires that interest, and a 2.0% net smelter returns (NSR) royalty applies.
Notably, Silver Dollar has the right to purchase half of such royalty (1.0% of net smelter returns) for US$1,000,000. If Silver Dollar exercises its option under the Government Gulch Agreement, it will grant Silver Valley Metals Corp. a royalty equal to 0.5% of net smelter returns from the Government Gulch property.
Silver Dollar's management team, led by President, CEO, and Director Gregory Lytle, is committed to an aggressive growth strategy and is actively reviewing potential acquisitions with a focus on drill-ready projects in mining-friendly jurisdictions. The company's portfolio includes the advanced-stage Ranger-Page and La Joya projects, as well as the early-stage Nora project.
Eric Sprott, a renowned mining investor, is a significant shareholder of Silver Dollar Resources Inc. The company's contact information, including a direct line, email, and physical address, is available for those interested in learning more.
The company's news release contains forward-looking statements, which may differ from actual results due to various factors. It is important to note that the Canadian Securities Exchange has neither approved nor disapproved of the contents of this news release.
Silver Dollar Resources Inc. can be contacted through their website, investor presentation, or social media platforms for more information. The source of this press release can be found on Newsfilecorp.com.
