Zeus North America Mining (CSE:ZEUS) has signed an option agreement to acquire patented mining claims in Butte County, Idaho.
The company will acquire a 100% interest in the claims over five years through its wholly owned subsidiary CJ-1 LLC, subject to CSE approval.
Zeus will make staged cash payments totalling US$750,000 ($1.08 million) to vendor Gary Baker.
The schedule includes US$15,000 upon signing, US$25,000 at six months, US$40,000 at years one and two, and US$50,000 at years three and four, with a final payment of US$530,000 by the fifth anniversary.
Upon completion of all payments, Baker will retain a 2% net smelter returns royalty on the claims. Zeus can buy back half the royalty for US$1 million at any time.
The company has the option to satisfy all payments early with an aggregate US$500,000 payment within 18 months of signing.
Zeus North America Mining is an exploration company focused on mineral exploration across Idaho properties, including the 101-claim Cuddy Mountain project, adjacent to Hercules Metal’s (TSX-V:BIG) Leviathan copper porphyry discovery.
The company also holds the 57-claim Selway property and 38-claim Great Western property, covering approximately 4,200 acres combined.
The company recently entered into option agreements to acquire interests in the Delker and Bulls Eyes copper-gold properties in Nevada.
Write to JC Villarba at Mining.com.au
Images: Zeus North America Mining
