Canadian Mining Journal

News

Canarc to acquire fully permitted project in Mexico

… Canarc Resource has announced that it plans to purchase 100% of Oro Silver Resources, which owns the fully permitted El Compas gold-silver property in Mexico’s Zacatecas state. Oro Silver Resources is wholly owned by Marlin...



Canarc Resource has announced that it plans to purchase 100% of Oro Silver Resources, which owns the fully permitted El Compas gold-silver property in Mexico’s Zacatecas state. Oro Silver Resources is wholly owned by Marlin Gold Mining (TSXV: MLN; US-OTC: MLNGF).

Under the proposed transaction on July 6, Canarc would issue Marlin 19 million Canarc shares in exchange for its 100% stake in the company, making Marlin Canarc’s largest shareholder, with a 10% stake. The agreement grants Canarc until Sept. 30 to complete its due diligence on the 29 km2 property.

If the deal goes ahead, Marlin will get one seat on Canarc’s board and keep the Altiplano royalty buyback option, where it can repurchase a 1.5% net smelter return royalty (NSR) on certain mining claims for US$1.5 million. It will also receive a 1.5% NSR on all non-Altiplano claims that are not associated with the royalty.