Richmond Hill Resources (RHR ) has entered into a conditional agreement for the sale and purchase of the Bartlett Mining Claims located in Ontario, Canada.
The transaction is with Ulvestone Ltd, a BVI-registered company controlled by James Ikin, who is a substantial shareholder of the company.
The Bartlett claims are directly adjacent to Richmond's Martello gold project, in the areas of Kawashegamuk Tabor Lakes.
The project comprises 29 mining claims encompassing approximately 871.5 hectares.
The aggregate consideration payable by the company is C$125,000 in cash on completion, and C$550,000 in shares to be allotted in four equal instalments.
The consideration shares will be subject to a lock-in agreement.
The Bartlett Claims will also be subject to two net smelter return royalties, one held by Ursa Polaris Developments Corporation at 1.75%, and one held by Gravel Ridge Resources for 1.5%.
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The deal remains subject to due diligence, but at this point it looks a compelling addition to Martello, considerably adding to Richmond’s landholding in a highly prospective area. And it’s good to see Richmond continuing to cut creative deals in a highly advantage gold price environment. The company has not been shy to transact over the past 12 months, and as a result it’s been able to build up a sizeable and intriguing portfolio of Canadian assets.