Valor Resources Limited (Valor or the Company) (ASX: VAL) is pleased to advise that it has entered into a binding Earn-in agreement (Earn-in Agreement) with leading global gold and copper producer Barrick Gold Corporation (Barrick) covering Valor’s Charaque Project in Peru.
Under the terms of the Earn-in Agreement, Barrick will be granted a 5-year option providing the right to acquire a 70% interest in the Charaque Project for cash payments totalling US$800,000, and exploration spending incurred of US$3,000,000 as follows: ï· Barrick will make an upfront cash payment of US$200,000 upon granting of the option. ï· Barrick will make payments of US$100,000 on each of the first, second, third and fourth anniversary dates (totalling US$400,000). ï· To complete the 70% Earn-in interest, Barrick will make a payment of US$200,000. ï· To exercise the option, Barrick must incur exploration spending of a minimum of US$3,000,000. During the first two years, Barrick guarantees a minimum expenditure of US$500,000. ï· Barrick may earn an additional 10% interest (totalling 80%) by exercising a second option with a US$1,000,000 cash payment and sole fund all costs and deliver to Valor Resources a Pre-Feasibility Study
