Thunder Mountain Gold, Inc. and BeMetals Corp. Terminate the South Mountain Project Option Agreement
December 30, 2022 at 11:48 am EST
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Thunder Mountain Gold, Inc. announced that effective December 29, 2022, the Company has agreed to the termination of the option agreement (the
"Option Agreement") with BeMetals Corp. (TSXV: BMET) (OTCQB: BMTLF) (FSE: 1OI.F) ("BeMetals"), to acquire up to a 100% interest in the South Mountain Project ("South Mountain" or the "Project" or the "Property") in southwest Idaho, U.S.A. The South Mountain Mine is a high-grade polymetallic pre-development project focused on zinc, silver, gold and copper, located seventy miles southwest of Boise, Idaho (See Figure 1). High-grade mineralization occurs as a carbonate replacement deposit ("CRD"), both in massive sulfide zones, and skarn-altered mineralized zones. The Project was intermittently mined from the late 1800s to the mid- 1950s and its existing 8,000+/- feet of underground workings remain intact and well-maintained. Historic production at the Project has largely come from high-grade massive sulfide bodies that remain open at depth and along strike. According to historical smelter records, approximately 53,642 tons of mineralized material was mined, milled, and smelted. Thunder Mountain Gold purchased the South Mountain Mine, located on 326 acres of patented claims, in 2007 and commenced exploration and development, with expenditures of approximately USD 12million. An option agreement with BeMetals Corp. ("BMET") was entered into on February 28, 2019. BMET
conducted approximately 18,000 feet of underground core drilling to successfully expand the existing massive sulfide zones. The Project is largely on and surrounded by private surface land, and as such, the permitting and environmental aspects of the Project are expected to be straightforward. Permits are in place for underground exploration activities and the Company does not anticipate significant barriers to any future development at the Project. BeMetals focused their initial work on the Project on developing a resource in the up dip and downdip DMEA 2 and Texas massive sulfide zones. The work significantly increased the amount of massive sulfide, particularly in the downdip extension of the DMEA 2.
Thunder Mountain Gold, Inc. is a precious metals explorer. The Company is focused on developing precious and base metal projects in North America. The Company, including its subsidiaries, owns mining rights, mining claims, and properties in the mining areas of Nevada and Idaho, which includes its South Mountain Property in Idaho, and its Trout Creek Property in Nevada. Its land package at South Mountain consists of over 18 patented mining claims encompassing approximately 346 acres, 36 acres of private land, 21 unpatented mining lode claims covering approximately 290 acres, and approximately 489 acres of leased private land in the South Mountain Mining District, Owyhee County, Idaho. The Trout Creek project is a gold exploration target located along the western flank of the Shoshone Mountain Range in the Reese River Valley in Lander County, Nevada. The Project is located approximately 155 air miles northeast of Reno, Nevada, or approximately 20 miles south of Battle Mountain, Nevada.