Prospect generator Renaissance Gold Inc (CVE:REN) told investors it had optioned two Nevada projects to Hochschild Mining.
They are the Mars and Ferguson Mountain projects and upon signing, Hochschild paid the company US$50,000.
"We are very pleased to have an experienced gold producer and explorer like Hochschild as our partner on these two projects in Nevada," said Robert Felder, the president and CEO of Renaissance. "They recognize the excellent discovery potential on these projects and we very much look forward to working with them going forward."
Felder said that with the addition of these two agreements, the company currently has six active exploration agreements in Nevada funded by five different partners.
The Mars project in Lincoln County hosts a Carlin-type target in lower Paleozoic sedimentary rocks, characterized by anomalous gold in soils, and extensive jasperoid alteration with rock chip assays up to 3.7 g/t (grams per ton) of gold.
The Ferguson Mountain project in Elko county hosts a Carlin-type target in Devonian and younger carbonate host rocks.
In Mars, Hochschild has the option to earn up to a 51% interest by spending US$5 million over five years and making payments totaling US$300,000.
In addition, Hochschild must spend US$300,000 within 18 months of signing the definitive agreement.
A one-time option
Upon vesting, Hochschild has a one-time option to elect to earn a further 19% interest in Mars by spending a further US$5 million by the ninth anniversary of the definitive agreement.
In Ferguson, Hochschild has the option to earn up to a 51% interest by spending US$3 million over five years and making payments totaling US$300,000. Furthermore, Hochschild must spend US$200,000 (committed expenditure) within 18 months of signing the definitive agreement.
Upon vesting, Hochschild has a one-time option to elect to earn an additional 19% interest in the project by spending a further US$3 million by the ninth anniversary of the definitive agreement.
Also in today's release, Nevada-headquartered Renaissance Gold noted that Magna Terra Minerals (CVE:MTT) had completed drilling on their Piedra Negra Project in the Santa Cruz Province, Argentina and that drilling had started at the Luna Roja project.
The company holds a net smelter royalty (NSR) interest of not less than 1% nor greater than 3% on MTT's Gertrudis, El Meridiano, Covadonga and La Rosita projects as well as the Piedra Negra and Luna Roja (formerly named El Monte) projects.
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