VANCOUVER, Aug. 23, 2018 /CNW/ - Maverix Metals Inc. (the
"Company" or "Maverix") (TSX-V: MMX) is pleased to announce that it
has acquired a 1.5% net smelter returns royalty on the McCoy-Cove
project in Nevada (the "McCoy-Cove
Royalty").
The McCoy-Cove Royalty was originally intended to be included in
the royalty portfolio (the "Newmont Portfolio") that Maverix
recently acquired from Newmont Mining Corporation ("Newmont"), but
was subject to a right of first refusal ("ROFR") in favour of
Premier Gold Mines Limited ("Premier"). Prior to the closing of the
acquisition of the Newmont Portfolio, Premier provided notice to
Newmont that it would exercise the ROFR for a cash payment of
US$12 million. However, Premier has
now provided notice to Newmont that it will not be proceeding with
the ROFR exercise. As a result of the ROFR not being exercised,
Newmont has transferred the McCoy-Cove Royalty to Maverix.
McCoy-Cove is a development stage project located along the
highly prospective Battle Mountain-Eureka Trend in Nevada, USA. The Cove property hosts one of
the highest grade undeveloped gold deposits in Nevada. Cove was mined by Echo Bay Mines Ltd.
between 1987 and 2001 and produced 2.6 million ounces of gold and
100 million ounces of silver. McCoy was mined between 1986 and
2001, and produced approximately 0.9 million ounces of gold and 3.0
million ounces of silver. On January
10th, 2018, Premier and Barrick Gold entered into an exploration and
development agreement whereby Barrick
Gold will have an option to earn a 60% interest in the
exploration portion of the McCoy-Cove property by spending
US$22.5 million in exploration before
June 30th, 2022. On
May 15th, 2018, Premier
announced the results of a preliminary economic assessment of the
Cove project that outlined an eight-year mine life producing an
average of 92,400 ounces of gold per year. Premier has allocated a
budget of US$19 million towards
development and exploration at the Cove project in 2018 with more
than 8,000 metres of drilling planned. As of March 31st, 2018, the Cove project had
indicated resources of 0.9 million tonnes at 11.2 g/t containing
342,000 ounces of gold and inferred resources of 3.7 million tonnes
at 11.2 g/t containing 1.3 million ounces of gold.
For more information on the McCoy-Cove project, please visit
Premier's website at www.premiergoldmines.com and refer to the news
releases of Premier dated January 10,
2018, and May 15, 2018.
Premier has filed a technical report in respect of the Cove
project, dated June 29, 2018
(effective date March 31, 2018),
entitled "Preliminary Economic Assessment for the Cove Project,
Lander County, Nevada" which is
available under Premier's profile on SEDAR at www.sedar.com.
Qualified Person
Doug Ward, B.Sc., Mining
Engineering, MMSA, is Vice President Technical Services for the
Company, and a "Qualified Person" under NI 43-101, has reviewed and
approved the scientific and technical disclosure contained in this
press release.
About Maverix
Maverix Metals Inc. is a gold royalty and streaming company.
Maverix's mission is to provide its shareholders with significant
low risk leverage to the gold price and to increase underlying per
share value by expanding its portfolio with acquisitions of
high-quality royalties and streams that offer robust returns.
NEITHER THE TSX VENTURE EXCHANGE ("TSX-V") NOR ITS REGULATION
SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE
TSX-V) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS
RELEASE.
Technical and Third-party Information
The disclosure herein and relating to McCoy-Cove project in
which Maverix holds a royalty interest is based on information
publicly disclosed by Premier and information/data available in the
public domain as at the date hereof, and none of this information
has been independently verified by the Maverix. Specifically, as a
royalty holder, Maverix has limited, if any, access to the
McCoy-Cove project. Additionally, Maverix may from time to time
receive operating information from Premier, which it is not
permitted to disclose to the public. Maverix is dependent on, (i)
the operators of the properties and their qualified persons to
provide information to Maverix, or (ii) on publicly available
information to prepare disclosure pertaining to properties and
operations on the properties on which the Maverix holds royalty,
stream or other interests, and generally has limited or no ability
to independently verify such information. Although Maverix does not
have any knowledge that such information may not be accurate, there
can be no assurance that such third party information is complete
or accurate. Some information publicly reported by operators may
relate to a larger property than the area covered by Maverix's
royalty, stream or other interest. Maverix's royalty, stream or
other interests often cover less than 100% and sometimes only a
portion of the publicly reported mineral reserves, mineral
resources and production of a property.
SOURCE Maverix Metals Inc.