Serengeti Resources Inc. said March 4 that it signed a binding agreement to acquire Finlay Minerals Ltd.'s Atty and Electrum Resource Corp.'s ATG copper properties in British Columbia.
The properties cover 4,498 hectares, both surrounding the northern boundary of Centerra Gold Inc.'s Kemess North copper project.
The junior base metals miner will pay C$625,000 and commit to a C$12 million exploration spend, both over eight years, to Finlay. On the other hand, Electrum will receive staged payments of 200,000 shares over four years.
In addition, Electrum retains a 1.5% net smelter royalty on the ATG claims, as well as an underlying 3% NSR on the Atty property. Serengeti has an option to reduce the 3% NSR on the Atty property to 1.5% and terminate certain terms of a previous purchase agreement between both Electrum and Finlay by paying C$500,000 over eight years.
Meanwhile, Serengeti also agreed to pay C$1 million or 500,000 shares, whichever is lesser, upon reaching a production decision at Atty.
