York Harbour Metals Grants Firetail Resources Option for Major Newfoundland Copper-Zinc-Silver Project

Canadian exploration company York Harbour Metals has granted Australia-based Firetail Resources an option to earn up to an 80% interest in the York Harbour Copper-Zinc-Silver Project in Newfoundland and Labrador.

M4 shutterstock 2341978831Canadian exploration company York Harbour Metals has granted Australia-based Firetail Resources an option to earn up to an 80% interest in the York Harbour Copper-Zinc-Silver Project in Newfoundland and Labrador.

The project, encompassing six mineral licences and 189 mineral claims over a span of 4,725 hectares, represents a significant opportunity for Firetail Resources to expand its footprint in the mineral-rich region.

Key Details of the Agreement

The option agreement includes a 0.5% net smelter royalty (NSR) already in place, with an additional 2% NSR to be granted to York Harbour by Firetail. This agreement is contingent on receiving all necessary approvals, including the nod from the TSX Venture Exchange, alongside customary closing conditions.

Firetail Resources has demonstrated its commitment by paying an A$100,000 exclusivity fee and can exercise the option over a three-year period. The total consideration for the deal includes A$500,000, 175 million ordinary shares of Firetail, and a commitment to complete 10 kilometers of drilling at the York Harbour Project.

Strategic Move for Resource Expansion

This agreement marks a strategic move for both companies. For York Harbour Metals, it ensures the further development and potential success of the York Harbour project with the backing of a well-capitalized partner. For Firetail Resources, the option to earn a substantial interest in the project aligns with its goal of expanding its mineral resources and exploring new opportunities in promising territories.

Future Prospects

The York Harbour Copper-Zinc-Silver Project is poised to benefit significantly from this partnership. With Firetail’s investment and drilling commitment, the project could unlock substantial value, contributing to the economic development of Newfoundland and Labrador and advancing both companies’ positions in the global mining sector.

Completion of this deal will be closely watched by industry stakeholders as it could set a precedent for future collaborations in the region.

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