TirexResources Ltd. said May 5 that it has entered into an optionagreement with a private firm to acquire the 4,141-hectare Romovista goldproject in Kosovo.
Under the terms, Tirex can earn a 51% interest in theproperty by spending €1.0 million as well as making payments of about €100,000to the owner within a three-year period.
The company can earn a further 29% stake by spending anadditional €1.0 million on the property, upon which both parties will fund theproject's development proportional to their respective interests.
If the original owner decides not to move forward with thefunding, Tirex will have an option to acquire a 100% interest in the property,while the owner's interest will be converted into a 2.5% net smelter royaltyreturn. Tirex may buy back a 1% NSR by paying €1.0 million and the remainder ofthe NSR by making payments of €1.5 million. Meanwhile, the owner will reservethe right to sell each part of the NSR to any other party.
The Romovista project has an exploration license valid forup to seven years including extensions, and is prospective for gold andlead-zinc-silver mineralization.
Tirex is in the process of preparing an exploration programfor high priority targets on the project.