Silver Range Resources Ltd (CVE:SNG) told investors Friday it has now finalized the option deal on its drill-ready Cold Springs project in Nevada with Volt Energy Corp, which has now changed its name to Supernova Metals Corp (CVE: SUPR).
The latter can acquire a 75% interest in the asset by paying Silver Range a total of C$300,000 in cash and performing a minimum of 2,000 meters of drilling over three years. Silver Range will retain a 2.5% net smelter return (NSR) that can be bought down to 1% by Supernova paying C$1.25million in cash.
READ: Silver Range Resources options highly prospective Skylight project in Nevada to Rush Gold Corp in cash-and-share deal
The prospect generator also updated investors on exploration in Nevada, where after June's resurgence in silver prices, it said work was carried out on a high-grade silver prospect and a camp-scale silver target, as well as two high grade gold targets.
Regarding the latter two gold targets, at the Sniper property, Silver Range said a soil geochemical survey was completed in August, while at the Loner property, during July and August, the group extended the soil survey and conducted ground total magnetic field and electromagnetic field surveys.
At the silver targets, the firm said it has consolidated its Bellehelen and Kawich properties, along with a recently staked target into what is called the Bellehelen project.
Grab samples of material from dumps and adits in the district sampled by Silver Range have returned up to 430 grams per ton (g/t) silver and 10.35 g/t gold.
During July and August, Silver Range conducted soil sampling, ground total magnetic field and horizontal loop electromagnetic (HLEM) surveys, and prospecting near the Ajax mine, it also told investors.
In addition, exploration consisting of soil sampling, magnetic field and horizontal loop electromagnetic (HLEM) surveys was also completed on the Legal Tender project - a high grade silver prospect about 62 kilometers (km) northwest of Tonopah in Nye county.
Previously, Silver Range has collected grab samples from dumps and adits on the property returning analyses up to 1,875 g/t silver.
The summer exploration program consisted of 10 line-km of geophysical surveys and soil surveys covering a portion of the geophysical survey grid.
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