GSP Resource Corp. Amends Option Agreement to Accelerate the Acquisition of a 100% Interest in the Alwin Mine Copper-Silver-Gold Project
Vancouver, January 8, 2025 - GSP Resource Corp. (TSX-V: GSPR / FSE: 0YD) (the "Company" or "GSP") announces that it has amended the Alwin Project option agreement (the "Option Agreement") with Richard John Billingsley and S. Gaye Richards (the "Vendors") dated January 30, 2020, as amended (see news releases dated January 30, 2020 and July 12, 2023), to accelerate the remaining payment obligations under the Option Agreement to acquire a 100% interest in the Alwin Copper-Silver-Gold Project (the "Alwin Project") in southwestern British Columbia, Canada. The parties have agreed to amend the Option Agreement to replace $62,500 of the remaining $125,000 cash due to the Vendors on or before February 5, 2025 with 625,000 common shares of the Company ("Shares") on or before February 5, 2025 at a deemed issuance price of $0.10 per Share. A remaining $62,500 in cash remains due to the Vendors on or before February 5, 2025. For clarity, the $50,000 cash payment due to the Vendors on or before February 5, 2024 was previously extended by one year by the parties. Additionally, the parties agreed to reduce the balance of the remaining Share payments by 1,000,000 Shares, such that an aggregate of 1,900,000 Shares remain issuable to the Vendor under the Option Agreement: (i) 900,000 on or before February 5, 2025; and (ii) 1,000,000 Shares on or before the earlier of a bankable feasibility study and February 5, 2028. The amendment agreement also confirms that the GSR Royalty, as defined and disclosed in the Company's news release dated June 30, 2020, is removed from the Option Agreement in entirety. Furthermore, the amendment confirms that the three Crown Granted Mineral Claims (the "CGs") owned by the Vendors that overlap with certain of the mineral claims comprising the Alwin Project as set forth in, and attached to, the first amendment agreement to the Option Agreement dated November 27, 2020, are deemed added to the Option Agreement as Schedule "A" thereto. The CGs are subject to a 2.5% net smelter royalty payable to Franklin Dean Miller. All Shares issued to the Vendors will be subject to a statutory hold period of four months and one date in accordance with applicable Canadian securities laws. The TSX Venture Exchange has approved the amendments disclosed herein.
The Company intends to complete all remaining cash and Share payments due to the Vendors under the Option Agreement within the following week and will announce the acquisition a 100% interest in the Alwin Project at that time.
About the Alwin Mine Project
The Alwin Mine Copper-Silver-Gold property is approximately 344 hectares and is located on the semi-arid, interior plateau in south-central British Columbia. The historic underground mine was developed over 500 m long by 200 m wide by 300 m deep. Production took place between 1916 to 1981 from five major subvertical high-grade copper mineralization zones totaling 233,100 tonnes that milled 3,786 tonnes of copper, 2,729 kilograms of silver and 46.2 kilograms of gold. The average diluted head grade was 1.5% copper.
The Alwin Project is adjacent with the western boundary of Teck Resources' Highland Valley Mine, the largest open-pit porphyry copper-molybdenum mine in western Canada. Alteration and mineralization of the Highland Valley hydrothermal system extends westward from the Highland Valley mine onto the Alwin Project (see GSP's news release dated January 30, 2020).
Qualified Person: The scientific and technical information contained in this news release has been reviewed and approved by Kristopher J. Raffle, P.Geo. (B.C.), principal and consultant of APEX Geoscience Ltd. of Edmonton, AB, a consultant to the Company and a "qualified person" as defined in National Instrument 43-101 - Standards of Disclosure for Mineral Projects. Mr. Raffle has verified the data disclosed, which includes a review of the sampling, analytical and test data underlying the information and opinions contained herein. Mineralization hosted on nearby properties is not necessarily indicative of mineralization that may be hosted on the Alwin Project.
About GSP Resource Corp.: GSP Resource Corp. is a mineral exploration & development company focused on projects located in Southwestern British Columbia. The Company has an option to acquire a 100% interest and title to the Alwin Mine Copper-Gold-Silver Property in the Kamloops Mining Division, as well as an option to acquire 100% interest and title to the Olivine Mountain Property in the Similkameen Mining Division, of which it has granted an option to earn a 60% interest to a third party.
For more information, please contact:
Simon Dyakowski, Chief Executive Officer & Director
Tel: +1 (604) 619-7469
Email: simon@gspresource.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
This news release contains "forward?looking information or statements" within the meaning of applicable securities laws, which may include, without limitation, the Company's intention to complete the remaining cash and share payments under the Option Agreement, intention to acquire a 100% interest in the Alwin Project, statements relating to the technical, financial and business prospects of the Company, its project and other matters. All statements in this news release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the price of metals, the ability to achieve its goals, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed and on reasonable terms. Such forward-looking information reflects the Company's views with respect to future events and is subject to risks, uncertainties and assumptions, including the risks and uncertainties relating to the interpretation of exploration results, risks related to the inherent uncertainty of exploration and cost estimates and the potential for unexpected costs and expenses, and those filed under the Company's profile on SEDAR+ at www.sedarplus.ca. Factors that could cause actual results to differ materially from those in forward looking statements include, but are not limited to, continued availability of capital and financing and general economic, market or business conditions, adverse weather or climate conditions, failure to maintain all necessary government permits, approvals and authorizations, failure to obtain or maintain community acceptance (including First Nations), decrease in the price of copper, gold, silver and other metals, increase in costs, litigation, and failure of counterparties to perform their contractual obligations. The Company does not undertake to update forward?looking statements or forward?looking information, except as required by law.
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