Integra Resources to acquire DeLamar project in Idaho, US
Integra Resources has agreed to acquire 100% of the DeLamar gold and silver project in Idaho, US, from a subsidiary of Kinross Gold.
Under the agreement, Integra will offer C$7.5m ($6.07m) and 9.9% of all issued and outstanding shares once the transaction is closed.
The agreement also comprises variable net smelter return (NSR) royalty on the project, payable to Kinross.
Integra Resources president and CEO George Salamis said: "We are pleased to be part of this formative transaction with Kinross because, in our view, the pedigree and genesis of this asset opportunity bears some striking similarities to Integra Gold’s asset acquisition of Sigma-Lamaque, back at its nascent stages.
"The Integra team is keen to get working on financing and executing an aggressive path of exploration and future studies. We believe the exploration upside potential for both heap-leachable gold-silver mineralisation at surface and high-grade, vein-type 'feeder' mineralisation is very promising."
Located 80km south of Boise in southern Idaho, the site contains Kinross's DeLamar Mine that produced 1.6Mozs of gold, as well as 100 million ounces of silver and closed in 1998.
It comprises around 5,300 acres of claims, in addition to 4,100 acres of leased lands with around 1,575 drill holes and 145,940m of drilling outlined in historic databases.
Currently, Integra is close to completing an updated resource estimate for the project.
The proposed acquisition offers the company the opportunity to explore underground targets through modern techniques.
Separately, the company has signed letters of intent with two undisclosed companies to acquire 47 claims covering 238ha in the Florida Mountain gold and silver project, which borders DeLamar to the east.