Element79 Gold (CSE:ELEM) has restarted new conversations with alternate parties that have expressed interest in purchasing the Stargo, Elder Creek and North Mill Creek projects in Nevada, US.
This news comes after Element79 made multiple attempts to push the previously announced transaction towards completion. The deal was first announced in September 2024.
As a result of the counterparty unable to meet terms required to complete the transaction, Element79 continues to hold the project portfolio.
Further, investment and consultancy firm Crescita Capital issued C$100,000 ($112,430) of capital to the company to advance community efforts for the Lucero Project in Peru.
The funds will be used for any financing efforts, including strategic sales of corporate assets and paying the mineral leases in Peru and Nevada. The company will also use the funds to complete its OTCQB uplisting and general working capital.
Element79 notes the convertible note drawn will carry a simple interest rate of 15% per annum until repaid or converted into shares of the company.
CEO James Tworek says the potential of Lucero remains a key motivation and driving force behind the company’s decision making.
“We remain cautiously optimistic that the upcoming June 30 deadline for formalisation between REINFOs and mineral right holders will continue to bring us closer to the goal of forging long-term contracts with the local miners and greater Chachas community,” Tworek says.
“While we progress in community relations month by month, we’re living the reality that relationship building and trust creation are exercises in communication, persistence, patience and mutual understanding.
“In the interim, recent team due diligence trips to review additional assets in Peru and Nevada, along with strategy sessions with advisors and key investors in the company have opened our eyes to a number of possible alternate growth strategies.”
Element79 Gold Corp is a mining company focused on gold and silver discoveries in Peru.
Write to Aaliyah Rogan at Mining.com.au
Images: Element79 Gold Corp
