Renaissance Gold Inc. signed definitive earn-in agreements allowing Hochschild Mining PLC to earn up to a 70% interest in the former's gold-prospective Mars and Ferguson Mountain projects in Nevada.
Hochschild unit Hochschild Mining (US) Inc. paid the company US$50,000 upon signing.
Hochschild can earn an initial 51% interest in the Mars project by spending US$5.0 million over five years and paying US$300,000. It has a one-time option to elect to secure an additional 19% interest by spending another US$5.0 million within an additional four years.
Renaissance said Jan. 17 that it recently entered into a lease-option agreement with a third party to acquire 11 additional unpatented mining claims covering a historical mercury occurrence adjacent to the Mars claim block.
The third-party lease has a 10-year term and includes annual lease payments to buy out the property for US$300,000. The vendor's interest will convert to a 1.5% net smelter return royalty, of which 1 percentage point would be purchasable for US$1.0 million.
Hochschild can acquire a 51% interest at the Ferguson Mountain project by spending US$3.0 million over five years and paying US$300,000 and can purchase an additional 19% interest by spending another US$3.0 million within another four years.
Renaissance President and CEO Robert Felder noted that the company now has six active exploration agreements in Nevada funded by five different partners.