New Point Exploration Corp. said May 22 that it reached an agreement to acquire Goldhat Resources Inc. and its U.S. subsidiary, which holds a long-term lease over the mining claims collectively known as the Empire lithium property, which covers about 600 acres in Nevada.
As payment, New Point issued 2.1 million shares to Goldhat shareholders.
Under the terms of the lease, the Goldhat subsidiary will make annual lease payments of US$15,000 in the first 10 years, with lease payments increasing to US$50,000 per year after the 10th year.
The Goldhat subsidiary must incur a US$75,000 spend per year over two years. The property owner retains a 2% net smelter returns royalty, with an option to buy back half of the NSR for US$1 million.
New Point is preparing an initial exploration program, which is expected to begin in the near term.
