Sonoro Metals Corp.'s Minera Mar De Plata SA De CV unit executed a letter of intent to option the gold-prospective Rosario group of concessions, which cover 403.5 hectares in Mexico.
The new concessions are contiguous to the company's recently acquired Cerro Caliche concessions and will boost Sonoro's holdings in the Cucurpe Sonora Mega district to about 1,455 hectares.
Under the deal terms, Sonoro is required to make staged payments totaling US$1.6 million over 72 months.
Following the exercise of the option, the seller will hold a 2% net smelter returns royalty from the mineral sales from Rosario. The company will have the right to repurchase each 1% of the NSR for US$1 million.
The company plans to use existing data to identify targets for additional work on the property, including permitting activities and reverse circulation drilling later this year, it said March 5.
