West Mining has signed an option agreement with ESN Investment to earn a 100% interest in two mineral claims in northern British Columbia.
These claims are additions to West's Spanish Mountain West and Junkers properties.
The agreement stipulates that West will issue an aggregate of seven million common shares to ESN and its affiliates.
West agreed to issue 4.75 million shares at a deemed price of $0.19 per share as soon as practicable following the execution of the option agreement.
Additionally, West will issue 1.125 million shares within six months of the agreement's execution and another 1.125 million shares within one year.
All shares issued under this agreement will be subject to a four-month hold period as per applicable securities laws. West plans to issue the initial 4.75 million shares on or around 22 October 2024.
Upon exercising the option, West will grant ESN a 1% net royalty interest on the claims.
It also retains the right to buy back half of this royalty within one year of starting commercial production for $500,000 (C$689,434).
Furthermore, West settled a $24,000 debt with a creditor by issuing 126,315 common shares at a deemed price of $0.19 per share.
The Spanish Mountain West land addition is situated in the central Quesnel Belt, around 70km north-east of Williams Lake, covering 412.93 hectares (ha).
This claim increases the area of West's adjacent Spanish Mountain West Property by 45% and extends to the eastern shore of Quesnel Lake.
The mineral claim is within the same geological strata known for polymetallic showings of copper, lead, gold, silver and zinc at Cedar Creek.
The Junkers Property land addition comprises a 1,372.49ha claim located 200km south-east of Dease Lake, expanding the property by 65%.
West has begun exploration work on the Junkers and Spanish Mountain properties.
This includes analysing multispectral satellite images alongside existing geophysical and sampling data to identify promising targets for gold, copper and silver that will undergo further field investigation.
