- SKRR Exploration (TSXV:SKRR) has signed an option agreement with Edge Geological Consulting to wholly acquire its Irving Lake property
- Under the terms of the agreement, SKRR must pay C$8,000 within five days of approval by the TSX Venture Exchange, as well as $600,000 in exploration expenditures over a three-year period
- Edge will act as the operator of exploration programs at the property for the duration of the agreement
- Irving Lake consists of 10 mineral claims across 6,457 hectares in Saskatchewan, Canada
- SKRR Exploration (SKRR) is holding steady at $0.31 per share, with a market cap of $5.07 million
SKRR Exploration (TSXV:SKRR) has signed an option agreement with Edge Geological Consulting to wholly acquire its Irving Lake property.
Edge currently holds all of the unencumbered title rights to 10 non-contiguous mineral claims on the property, which covers 6,457 hectares in Saskatchewan, roughly 120 kilometres northeast of the La Range townsite.
Mineral dispositions at the property cover prospective sections of the Pine Lake greenstone belt, which is found within the larger Glennie lithostructural domain.
In addition, Irving Lake sits just 20 kilometres south of the Seabee Gold Mine, owned by SSR Mining, which has an indicated mineral resource of 1.05 million ounces of gold at an average grade of 10.61 grams per tonne.
Under the terms of the agreement, SKRR will have to option to acquire 100 per cent of the Irving Lake property by making a cash payment of C$8,000 within five days of approval by the TSX Venture Exchange. The company will also need to put up $600,000 in exploration expenditures over a three years period.
Upon closing of the transaction, Edge will continue to act as the operator for all exploration programs. The company will also prepare any additional work programs and budgets, subject to the prior written approval of SKRR.
Unlike many agreements of this kind, the deal does not constitute an arm’s length transaction due to the fact that Ross McElroy, a director of SKRR, is also a director of Edge Geological Consulting. As such, it is considered a related party transaction.
Sherman Dahl, CEO of SKRR Exploration, believes this is a good step for the company.
“At SKRR Exploration, we have the management and board expertise, high quality assets, balance sheet strength and focus on exploration excellence that will generate value and growth for our shareholders,” he said.
SKRR Exploration (SKRR) is currently steady at $0.31 per share, as of 3:48pm EST.