Agnico Eagle Limited Signs Agreement with Aura Silver to Recommence Drilling Project
Canada-based Agnico Eagle Limited has announced it has entered into an option agreement with Aura Silver Resources Inc. to resume drilling at Aura’s Greyhound Property located in Nunavut, Canada.
The deal will allow Agnico Eagle exclusive rights to earn an undivided 51 percent ownership interest in the Property, incurring $1,750,000 in work expenditures in the first three years.
Agnico Eagle will also have the option to increase its ownership interest in the Property to 70 percent over a further three year period by A.) either solely financing the Feasibility Study or solely incurring $5,000,000 of additional work expenditures and B.) providing to the Aura Silver’s cash option payments.
According to Aura Silver CEO, Robert Boaz, the company is pleased Agnico Eagle is proceeding with the drilling program. "We are extremely happy to partner with Agnico Eagle given their in-depth knowledge of the area geology and their extensive expertise in exploration and development in Nunavut.”
Agnico Eagle will be the operator of the Greyhound Property and will utilize its mining equipment and employees to conduct work programs.
“We can now drill targets for what we anticipate to be high-grade gold and silver which have been determined by a combination of Aura Silver's past geochemical (both organic and inorganic) and geophysical analyses as well as Agnico Eagle's analysis of the data, said Boaz"
The Greyhound property is approximately 35 kilometers north of Agnico Eagle’s Meadowbank gold mine. The two properties are connected by the mine’s all-weather road which also provides access to the inland ocean port of Baker Lake.
To view more on the agreement click here: http://www.aurasilver.com/s/NewsReleases.asp?ReportID=658177
