It has now been almost 2.5 years since we visited the Cecilia silver-gold project owned by Riverside Resources (RRI.V) and the company has finally attracted the right joint venture partner to get the project moving forward. Carlyle Commodities Corp (CCC.C), formerly known as Delrey Metals which owned and subsequently relinquished the Four Corners project in Newfoundland has signed a definitive option agreement to acquire full ownership of Cecilia after making certain payments.
Carlyle will be required to pay C$200,000 over a three year period and issue 4.5 million shares (wit ha current value of C$1.8M) to Riverside while also committing to spending C$2.5M in exploration expenditures on Cecilia before acquiring full ownership. Riverside won’t remain empty-handed, as the company will retain a 2.5% NSR on the project and this NSR could potentially have some value further down the road should Carlyle’s exploration programs be successful.
A Phase 1 exploration program is already underway and Carlyle has mobilized a field team to narrow down the exploration targets at Cerro Magallanes. Carlyle will complete a mapping program and will also execute on a geophysical survey (including an IP survey) while taking more rock and soil samples along several targets.
Disclosure: The author has a long position in Riverside Resources. Riverside is a sponsor of the website.