The TSX Venture Exchange has accepted documentation in connection with an option agreement between Cypress Development Corp. and Pure Energy Minerals Corp. dated Aug. 22, 2016, under which Cypress has granted to Pure an option to earn up to a 70-per-cent interest in Cypress’s 76 lithium placer claims located in Southern Clayton Valley, Nevada. In order to earn an initial 51-per-cent interest in the property, Pure must:
- Pay $75,000 (U.S.) and issue 350,000 shares to Cypress within five business days of exchange acceptance;
- Pay $100,000 (U.S.), issue 750,000 shares to Cypress and incur $300,000 (U.S.) in expenditures on the property on the first anniversary of the agreement;
- Incur $500,000 (U.S.) in expenditures on the property by the second anniversary of the agreement.
In order to earn an additional 19-per-cent increase its interest in the property and increase its interest in the property from 51 per cent to 70 per cent, Pure must:
- Within 60 days of earning the 51-per-cent interest in the property issue 500,000 shares to Cypress and give notice of the intent to exercise of second option;
- Incur $1-million (U.S.) in expenditures on the property within 24 months of giving the notice;
- Issue 500,000 shares to Cypress within 24 months of giving the notice.
Cypress will issue a total of 750,000 shares to Jordan Trimble, an arm’s-length party, as a finder’s fee.