HALIFAX, June 22, 2016 /CNW/ - Stockport Exploration Inc.
(TSXV: SPT) ("Stockport") has entered into a cash and share option
agreement with Sovereign Gold Company Limited (ASX: SOC)
("Sovereign") of Australia to
acquire 100% of Stockport's 317 Claim Units within the Crescent
Lake Lithium Prospect in Ontario,
Canada. Should Sovereign complete the full option agreement,
Stockport will be paid $1,400,000 in
cash and shares. Stockport received $100,000 CAD upon signing the agreement. The
agreement calls for additional payments to be made during a 150 day
due diligence period including; $75,000 within 75 days of execution, and a
further $75,000 within 150 days of
execution as well as the issuance of $250,000 in shares of Sovereign upon completion
of the due diligence period. Upon exercise of the Option, Sovereign
must pay Stockport a further $400,000
in eight quarterly installments and $500,000 in cash or shares at Stockport's
election. Stockport will retain 100% of the Crescent Lake rights
should Sovereign fail to complete any requirements of the option
agreement. Stockport also maintains a 2% NSR on all minerals
related to the property. Sovereign retains the right to abandon or
accelerate payments at any period throughout the due diligence or
option period.
"We are very pleased to have found a partner in Sovereign to
advance this highly prospective Lithium prospect. Sovereign's
Lithium focus makes it an ideal partner for Stockport shareholders,
providing near-term and long-term exposure to this advancing
market" stated Jim Megann, CEO of
Stockport Exploration. "We look forward to getting on the ground
and uncovering the considerable potential of this property" added
Rocco Tassone, Managing Director,
Sovereign Gold Company Limited.
About Stockport Exploration Inc.:
Stockport is focused on the exploration of a district-scale land
package along a prolific gold-hosting greenstone belt in southwest
Kenya. The property package has
potential to host various mineral deposit types, the most prominent
being those of Lode-Gold and Copper-Zinc-Gold-Silver massive
sulphide association. Stockport also holds the La Morena
Copper-Silver property in Coahuila,
Mexico, and the KM61 property, which hosts a National
Instrument 43-101 compliant Molybdenum-Copper-Silver resource, also
near Armstrong, Ontario.
Forward-Looking Information:
This release includes certain statements that may be deemed
"forward-looking statements". All statements in this release, other
than statements of historical facts, that address future
production, reserve potential, continuity of mineralization,
exploration drilling, exploitation activities and events or
developments that the Company expects are forward-looking
statements. Although the Company believes that the expectations
expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in the forward-looking statements. For more
information on the Company and the risk factors inherent in its
business, investors should review the Company's Annual Information
Form at www.sedar.com
SOURCE Stockport Exploration Inc.