Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Ascendant Resources (ASND) has signed a US$15 million metals stream agreement with Sprott Streaming and Royalty Corp
  • The agreement is for its Lagoa Salgada VMS project located close to Lisbon, Portugal
  • The company will use the proceeds from the transaction to complete the ongoing 43-101 compliant feasibility study for the project and advance permitting activities
  • Executive Chairman and Founder Mark Brennan sat down with Daniella Atkinson to discuss the partnership
  • Ascendant is a Toronto-based mining company
  • Ascendant Resources Inc. opened trading at C$0.135 per share

Ascendant Resources (ASND) has signed a US$15 million metals stream agreement with Sprott Streaming and Royalty Corp.

The agreement is for its Lagoa Salgada VMS project located close to Lisbon, Portugal.

The company will use the proceeds from the transaction to complete the ongoing 43-101 compliant feasibility study for the project and advance permitting activities.

The proceeds will also be used to fund the last instalment related to the earn-in for an 80-per-cent interest in the project and general corporate and working capital purposes.

The stream agreement provides for the sale and delivery to Sprott Streaming of 1.75 per cent of all metals produced from the project at a rate of 15 per cent of the market price until the delivery of 45,000 gold equivalent ounces.

Once that is achieved, the rate will be increased to 75 per cent of the market price.

In addition, Ascendant has the ability to buy down up to 50 per cent of the stream on or before two years following the date of commencement of commercial production at the project for up to US$10.5 million.

Executive Chairman and Founder Mark Brennan sat down with Daniella Atkinson to discuss the partnership.

“We are thrilled to be partnering with the very experienced and talented team at Sprott Streaming to fully finance our feasibility study at Lagoa Salgada in a non-dilutive and timely manner, allowing us to continue the development of the project to a construction decision.”

“Sprott Streaming is pleased to make this initial investment in Ascendant to advance the project to a construction and financing decision, and we recognize the potential of the deposit as defined to date and the exploration potential that would extend the mine life substantially,” noted Mike Harrison, Managing Partner of Sprott Streaming.

To facilitate funding in advance of commercial production, an affiliate of Sprott Streaming issued a US$15 million secured note that bears an annual interest rate of 10 per cent.

Ascendant is a Toronto-based mining company focused on the exploration and development of the highly prospective Lagoa Salgada VMS project located on the prolific Iberian Pyrite Belt in Portugal.

Ascendant Resources Inc. (ASND) opened trading at C$0.135 per share.


More From The Market Herald

" Osisko Mining (TSX:OSK) announces $75 million private placement

Osisko Mining (OSK) will undertake a C$75 million bought-deal private placement.
Dolly Varden Silver Corporation - President & CEO, Shawn Khunkhun.

" Dolly Varden Silver (TSXV:DV) reports highest-grade silver assay found so far on the Kitsault Valley Property

Dolly Varden Silver Corporation (DV) discovered the highest-grade silver assay found so far on the Kitsault Valley Property.

" Millennial Potash (TSXV:MLP) announces $2M private placement of units

Millennial Potash Corp. (MLP) has announced a private placement for gross proceeds of $2 million.

" Black Tusk Resources (CSE:TUSK) acquiring PegaLith Project

Black Tusk Resources (TUSK) has signed a $361,000 share purchase agreement to acquire 1396427 BC Ltd.