Solstice Gold reports that it has entered into an option agreement (the Option) with Green Technology Metals that supplies Green Technology with the potential to earn a 100% interest in a collection of lithium exploration properties situated in Ontario.
Image Credit: Shutterstock.com/ Mark Agnor
The package includes the Root Bay (3 claims), Pennock (8 claims), Gathering Lake (15 claims), and Superb Lake (5 claims) projects, all non-core holdings situated in NW Ontario (jointly, the Property).
This agreement provides Solstice shareholders exposure to the exciting Lithium market and is another example of the value we will generate from our recently acquired royalty and property portfolio. We currently have over eighty properties out under option or available for sale and our strategy of creating an attractive portfolio of distinct and permanent royalties is well underway.
Mike Timmins, Chief Executive Officer, Solstice
Mike Timmins added, “Future new agreements will also generate significant cash inflows, value to our shareholders with newly established royalties and allow us to focus on our core district-scale exploration projects in Red Lake, Atikokan, and Nunavut.”
Under the agreement, Green Technology, an Australian Securities Exchange listed mineral exploration company, is obligated to offer cash payments totaling C$180,000 to Solstice spanning a three-year period.
Upon the completion of the first anniversary of the Option, Green Technology is free to dispose of one of the Property’s claims packages and decrease future cash payments by 20%. Upon exercise of the Option by Green Technology to completely purchase the Property, Solstice is to be given a 1.5% net smelter return royalty.
Green Technology is given the right to repurchase 0.5% of the royalty at any time following the exercise of the Option and before the beginning of commercial production at the Property for C$800,000.
Solstice controls a widespread portfolio of copper, gold and lithium/REE projects in Ontario which are presented for 100% sale or option.