The TSX Venture Exchange has accepted for filing documentation pertaining to an agreement dated April 6, 2018, as amended, between Ridgestone Mining Inc. and YQ Gold de Mexico S. de R.L de C.V. Pursuant to the agreement, the company has acquired the option to acquire 100 per cent of the Rebeico property, Mexico.
The company is required to make an aggregate of $500,000 (U.S.) in cash payments to YQ Gold over a period of six months, of which $350,000 (U.S.) may be satisfied through the issuance of common shares of Ridgestone.
In addition, the company must also incur exploration expenditures of $1-million (U.S.) within two years and pay 50 per cent of the net profits derived from commercial production from the property to a maximum amount of $1.45-million (U.S.) to YQ Gold.
Upon exercise of the property option, a 2-per-cent net smelter returns royalty (NSR) will be granted to certain shareholders of YQ Gold. The company will have the right to repurchase one-half of the NSR, being 1 per cent, for $1-million (U.S.).
Insider/pro group participation: not applicable
For additional information, please refer to the company's news releases dated April 9, 2018, and June 11, 2018.
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