TSXV: ITR; NYSE American: ITRG
www.integraresources.com
VANCOUVER, BC, Feb. 28,
2024 /CNW/ - Integra Resources Corp. ("Integra" or
the "Company") (TSXV: ITR) (NYSE American: ITRG) is pleased to
announce that through its wholly owned subsidiary, DeLamar Mining
Company ("DMC"), it has exercised an option (the "Option") to
acquire seventeen unpatented claims in the Rich Gulch area ("Rich
Gulch") (the "Acquisition"). The Rich Gulch claims are located
adjacent to the Florida Mountain Deposit at the DeLamar Project
(the "Project" or "DeLamar") in southwestern Idaho.
Rich Gulch is approximately 2 kilometers (1.2 miles)
west-southwest of the Florida Mountain Deposit at the base of the
Jacobs Gulch stockpile. Control of the Rich Gulch claims at the
Project will provide operational flexibility to the Company in
future mining and processing scenarios. In the upcoming Feasibility
Study, a Development Rock Storage Facility ("DRSF") will be located
at Rich Gulch to accommodate mining activities at the adjacent
Florida Mountain Deposit and Jacobs Gulch stockpile.
The Acquisition is expected to close on or about March 8, 2024. Upon closing of the Acquisition,
DMC will acquire all of the member interests of Rich Gulch, LLC
("Rich Gulch LLC"), the undivided 100% owner of the Rich Gulch
claims. The closing of the Acquisition is subject to the
satisfaction of certain closing conditions and consents, including,
but not limited to, the approval of the TSX Venture Exchange (the
"TSXV").
Integra's President, CEO & Director, Jason Kosec commented: "The acquisition of
the Rich Gulch claims represents a small, but strategic transaction
for Integra. Located immediately adjacent to the Florida Mountain
Deposit, Rich Gulch is an efficient location for a DRSF during
future mining operations at the Project. Work on an updated mine
plan, which includes the use of the Rich Gulch area, is underway
and will form the basis of a future Feasibility Study at DeLamar.
The Company continues to advance DeLamar through the National
Environmental Policy Act permitting process following the
submission of the Draft Mine Plan of Operations to the Bureau of
Land Management in December 2023.
DeLamar is one of the few development projects in the Western United States being advanced towards a
construction decision."
Summary Terms of the
Acquisition
Under the terms of an option agreement (the "Option Agreement")
as between DMC and an arm's length vendor (the "Vendor"), DMC has
the Option to purchase all of the member interests of Rich Gulch
LLC (the "Interests") pursuant to a membership interest purchase
agreement (the "MIPA"), to be entered into as between DMC and the
Vendor. DMC has exercised its option to enter into the
MIPA. Under the terms of the MIPA, DMC will acquire all of
the Interests in exchange for US$2,100,000 (the "Purchase Price"). The
Purchase Price is to be satisfied through the issuance of common
shares in the capital of the Company (the "Shares") based on the
five-day volume weighted average price ("VWAP") of the Shares
preceding the closing date of the Acquisition (the "Closing Date").
The MIPA provides that, notwithstanding the VWAP calculation, that
in no event shall the number of Shares issued to the Vendor for the
Interests be less than 840,000. The MIPA also provides that
the parties to the MIPA acknowledge and agree that the regulations
of the TSXV with respect to the setting of a floor issue price
(that may be different than the VWAP calculation) will apply to the
issuance of the Shares.
The Shares to be issued will be subject to a statutory hold
period of four months and a day, and a voluntary lock-up from which
25% will be released 45 and 90 days, respectively, from the Closing
Date, and 50% released on January 3,
2025.
As consideration for the grant of the Option pursuant to the
Option Agreement, DMC paid to the Vendor US$24,000 in cash.
No finder's fees have been paid or are payable in connection
with the Acquisition.
Qualified Person
The scientific and technical information contained in this news
release has been reviewed and approved by Raphael Dutaut, Ph.D
(P.Geo), Integra's Vice President, Exploration. Mr. Dutaut is a
"qualified person" as defined in National Instrument 43- 101 –
Standards of Disclosure for Mineral Projects ("NI
43-101").
DeLamar Project Overview
The past producing DeLamar Project, which includes the adjacent
DeLamar and Florida Mountain gold
and silver deposits, is located in Owyhee
County in southwest Idaho.
Since acquiring the Project in 2017, the Company has demonstrated
significant resource growth and conversion while demonstrating
robust economic studies in its maiden Preliminary Economic
Assessment and Preliminary Feasibility Study. An independent
technical report for the DeLamar Project has been prepared in
accordance with the requirements of NI 43-101 and is available
under the Company's profile at www.sedarplus.ca
About Integra Resources
Integra is one of the largest precious metals exploration and
development companies in the Great Basin of the Western USA. Integra is currently focused on
advancing its two flagship oxide heap leach projects: the past
producing DeLamar Project located in southwestern Idaho and the Nevada North Project, comprised
of the Wildcat and Mountain View deposits, located in northwestern
Nevada. The Company also holds a
portfolio of highly prospective early-stage exploration projects in
Idaho, Nevada, and Arizona. Integra's long-term vision is to
become a leading USA focused
mid-tier gold and silver producer.
ON BEHALF OF THE BOARD OF DIRECTORS
Jason Kosec
President, CEO and Director
Forward Looking and Other
Cautionary Statements
Certain information set forth in this news release contains
"forward‐looking statements" and "forward‐looking information"
within the meaning of applicable Canadian securities legislation
and applicable United States
securities laws (referred to herein as forward‐looking statements).
Except for statements of historical fact, certain information
contained herein constitutes forward‐looking statements which
includes, but is not limited to, statements with respect to:
closing of the Acquisition; the future financial or operating
performance of the Company and the Company's mineral properties and
project portfolio; the results from work performed to date; the
estimation of mineral resources and reserves; the realization of
mineral resource and reserve estimates; the development,
operational and economic results of technical reports on mineral
properties referenced herein; magnitude or quality of mineral
deposits; the anticipated advancement of the Company' mineral
properties and project portfolios; exploration expenditures, costs
and timing of the development of new deposits; underground
exploration potential; costs and timing of future exploration; the
completion and timing of future development studies; estimates of
metallurgical recovery rates; exploration prospects of mineral
properties; requirements for additional capital; the future price
of metals; government regulation of mining operations;
environmental risks; the timing and possible outcome of pending
regulatory matters; the realization of the expected economics of
mineral properties; future growth potential of mineral properties;
and future development plans.
Forward-looking statements are often identified by the use of
words such as "may", "will", "could", "would", "anticipate",
"believe", "expect", "intend", "potential", "estimate", "budget",
"scheduled", "plans", "planned", "forecasts", "goals" and similar
expressions. Forward-looking statements are based on a number of
factors and assumptions made by management and considered
reasonable at the time such information is provided. Assumptions
and factors include: closing of the Acquisition including the
timely receipt of all necessary approvals and consents, as
applicable; the Company's ability to complete its planned
exploration programs; the absence of adverse conditions at mineral
properties; no unforeseen operational delays; no material delays in
obtaining necessary permits; the price of gold remaining at levels
that render mineral properties economic; the Company's ability to
continue raising necessary capital to finance operations; and the
ability to realize on the mineral resource and reserve estimates.
Forward‐looking statements necessarily involve known and unknown
risks and uncertainties, which may cause actual performance and
financial results in future periods to differ materially from any
projections of future performance or result expressed or implied by
such forward‐looking statements. These risks and uncertainties
include, but are not limited to: risks related to the timely
receipt of all necessary approvals and consents, as applicable, in
connection with the Acquisition; integration risks; general
business, economic and competitive uncertainties; the actual
results of current and future exploration activities; conclusions
of economic evaluations; meeting various expected cost estimates;
benefits of certain technology usage; changes in project parameters
and/or economic assessments as plans continue to be refined; future
prices of metals; possible variations of mineral grade or recovery
rates; the risk that actual costs may exceed estimated costs;
geological, mining and exploration technical problems; failure of
plant, equipment or processes to operate as anticipated; accidents,
labour disputes and other risks of the mining industry; delays in
obtaining governmental approvals or financing; the speculative
nature of mineral exploration and development (including the risks
of obtaining necessary licenses, permits and approvals from
government authorities); title to properties; and management's
ability to anticipate and manage the foregoing factors and risks.
Although the Company has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those described in the forward-looking statements,
there may be other factors that cause actions, events or results
not to be as anticipated, estimated or intended. Readers are
advised to study and consider risk factors disclosed in Integra's
annual report on Form 20-F dated March 17,
2023 for the fiscal year ended December 31, 2022, and Millennial Precious Metals
Corp's management's discussion and analysis dated April 28, 2023 for the fiscal year ended
December 31, 2022.
There can be no assurance that forward‐looking statements will
prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements. The
Company undertakes no obligation to update forward‐looking
statements if circumstances or management's estimates or opinions
should change except as required by applicable securities laws. The
forward-looking statements contained herein are presented for the
purposes of assisting investors in understanding the Company's
plans, objectives and goals, and may not be appropriate for other
purposes. Forward-looking statements are not guarantees of future
performance and the reader is cautioned not to place undue reliance
on forward‐looking statements.
Cautionary Note for U.S. Investors
Concerning Mineral Resources and Reserves
NI 43-101 is a rule of the Canadian Securities Administrators
which establishes standards for all public disclosure an issuer
makes of scientific and technical information concerning mineral
projects. Technical disclosure contained in this news release has
been prepared in accordance with NI 43-101 and the Canadian
Institute of Mining, Metallurgy and Petroleum Classification
System. These standards differ from the requirements of the U.S.
Securities and Exchange Commission ("SEC") and resource information
contained in this news release may not be comparable to similar
information disclosed by domestic United
States companies subject to the SEC's reporting and
disclosure requirements.
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.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/integra-exercises-option-to-acquire-strategic-claims-at-delamar-project-302074741.html
SOURCE Integra Resources Corp.