PERTH (miningweekly.com) – Junior S2 Resources has struck a deal with TSX-V listed Renaissance Gold to earn a 70% interest in three highly prospective gold exploration properties in Nevada.
At each of the properties, S2 will be required to spend a minimum of $200 000 within two years, and could earn a 70% stake in each property by spending $3-million within five years.
“After a patient search for high-quality exploration opportunities in favoured jurisdictions we are pleased to have reached agreement to earn into these very compelling projects,” S2 MD Mark Bennett said on Tuesday.
“Each property comprises a compact land package with well-defined and through out drill-ready targets. Some of these targets are deep but their potential scale is very significant. The drill-ready nature of these opportunities complements the longer-term strategic value we believe we can add to our other exploration projects in Sweden and Finland.”
Bennett said that the deal structure enabled the company to drill test and either earn-in or move on to new targets.
“It’s a good fit for both parties because it matches S2’s exploration capability and capacity with RenGold’s proven expertise in defining and discovering significant gold mines in an established mining friendly state.”
Meanwhile, S2 has also made C$1-million investment in TSX-V listed GT Gold, which owns the Saddle gold discovery, in Canada.