Mackay Gold & Silver (TSX-V: MACK) has announced that it will acquire Comstock’s (NYSEAMERICAN:LODE) Nevada mining assets for US$27 million ($38.57 million), creating the largest consolidated land package in the Comstock District’s 167-year history.
Comstock’s Silver City Lode properties are contiguous with Mackay’s existing holdings and include two oxide gold-silver deposits with historical resource estimates dating back to 2022, under US S-K 1300 standards.
The acquisition expands Mackay’s land position by 70% to 4,343 hectares, uniting the district’s three major vein systems — Silver City, Occidental-Brunswick, and Comstock — under single ownership for the first time.
Mackay will pay US$20 million in cash and issue 2 million common shares at closing, followed by a further US$7 million in cash and shares payable within 18 months.
CEO Darwin Green says land consolidation is central to unlocking modern exploration of the district.
“By removing the property boundaries that have long fragmented this camp, we can test targets and structural continuations that previous operators could never pursue,” Green says.
“This is a district that historically produced a large amount of gold and silver at very high grades, and that has seen remarkably little modern exploration, a rare combination that offers an attractive opportunity for significant new discoveries.”
The company says its balance sheet of over US$60 million provides sufficient funding for all cash payments, while maintaining a ‘strong’ treasury for ongoing exploration objectives.
Mackay’s near-term focus remains on its initial 20,000m drilling program at the Occidental-Brunswick lode, which is currently underway.
Mackay Gold & Silver is an explorer focused on acquiring and advancing mineral properties within the historical Comstock District of Nevada.
Write to Paula Fabe at Mining.com.au
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