On September 15, 2020, Canarc Resource Corp. (“Canarc Resource”) announced that it had granted an option (the “Option”) to Minkap Resources Inc. (“Minkap”) to acquire Canarc Resource’s Lightning Tree property located in Lemhi County, Idaho pursuant to the terms of a mineral property purchase agreement dated September 10, 2020. In order to exercise the Option, Minkap must issue to Canarc Resource an aggregate of 2,500,000 common shares and 2,500,000 common share purchase warrants of Minkap, pay an aggregate cash consideration of $137,500, spend an aggregate of $2,000,000 in exploration expenditures and grant Canarc Resource a 2.5% net smelter returns royalty in respect of the Lightning Tree property. In addition, Minkap has granted to Canarc Resource and DG Resource Management Ltd. (“DGRM”), together, the right to receive $1.00 per ounce of gold or gold equivalent, up to a maximum of $1,000,000, upon the filing on SEDAR of a resource of at least 1,000,000 ounces of gold or gold equivalent. The bonus payment is payable to Canarc Resource and DGRM on a pro-rata basis on the number of ounces of gold or gold equivalent from each of Canarc Resource’s and DGRM’s respective claims relative to the 1,000,000 ounces.
Canarc Resource is a mineral exploration company with a focus on advanced gold and silver assets located in North America.
Further details regarding Canarc Resource and the Option can be found on Canarc Resource’s website. Canarc Resource trades under the symbol “CCM” on the Toronto Stock Exchange.