Honey Badger Silver adds to position in Thunder Bay Silver District

Honey Badger Silver Inc. has signed a letter of intent with Romios Gold Resources Inc. to acquire an 80% interest and control of 1,870 hectares in 87 mining claims covering additional historic silver properties in the Thunder Bay Silver District.

These new claims comprise substantial portions of the historic Victoria Mine and Federal Mine silver properties, plus the Lily of the Valley, Caribou and Cloud Bay prospects (collectively the “Properties”) see Figure 1.

“These Properties add to Honey Badger Silver’s clear strategic position in this famed historic high-grade silver camp; this latest acquisition is a further illustration of Honey Badger Silver’s strategy to create a high-value/high-growth silver company,” said Chad Williams, Chairman & CEO. “Importantly, all of our projects are located along trend and within the two primary corridors hosting most of the Thunder Bay Silver District’s richest silver mines.”

LOI Terms

In consideration for an 80% interest in the project, Honey Badger Silver has agreed to: a) issue shares of the Company to Romios Gold for a value of $150,000 at a price equal to the volume weighted average price of its common shares, trading on the TSXV for the thirty trading days immediately preceding the date of the transaction’s announcement, and b) free-carry all costs and expenses related to the maintenance and advancement of the Project to pre-feasibility. Romios Gold shall grant a right of first refusal to Honey Badger Silver on its 20% remaining interest, post-transaction. If any party is diluted to a 10% or less interest in the joint venture, such party’s interest shall be converted to a 2% net smelter return royalty (2% NSR).

The transaction is expected to close on or before July 30, 2021.

Tags: Northern Ontario / Deals & Financial / Silver / All Articles