HAWK:CC - HAWKEYE Closes Sale of its BC Golden Triangle Properties to Newcrest
(TheNewswire)
Vancouver, BritishColumbia, Canada – TheNewswire – June 22, 2022 - HAWKEYE Gold & DiamondInc. (the “Company” or "HAWKEYE")(TSXV:HAWK ) ; (OTC:HWKDF) ( Frankfurt Ticker:HGT ) ; ( WKN:A12A61 ) ( ISIN: CA42016R3027): is pleasedto announce it has closed upon the sale of itsMcBride, Railway, Boomerang and Todagin properties (“Properties”)to Newcrest Red Chris Mining Ltd. (“Newcrest”), a wholly-ownedsubsidiary of Newcrest Mining Limited (ASX, TSX, PNGX: trading symbol NCM ) , for total consideration ofCAD$1,400,000. Of the $1,400,000, theCompany received $1,203,317.50 directly and directed Newcrest to paythe remaining $196,682.50 to various third parties.
The sale is also subject to a royalty agreement in favour of Hawkeyeby way of a separate royalty agreement further described below. The Transaction was finalized through anAsset Purchase Agreement between the Company and Newcrest dated March18, 2022 (the “Agreement”) which was announced by a news releasedated March 21, 2022 (news release No. 373 – 2022 ). TheCompany received shareholder approval for the acquisition of theProperties by Newcrest at a Special Meeting of Hawkeye’sShareholders held on May 31, 2022.
The Properties are located in Tahltan First Nation Territorystrategically situated in the Golden Triangle of northwest BritishColumbia with the McBride, Railway and Todagin properties beingsituated contiguous to the border of and in close proximity toNewcrest’s (70% interest) and Imperial Metal Corporation’s (30%interest) (TSX: III) Red Chris Mine. The Boomerang Property isapproximately 25 kilometres northwest ofTeck Resources Limited’s and Copper Fox Metals Inc.’s Schaft Creek deposit andapproximately 50 kilometres north of the Galore Creek deposit held byTeck Resources Limited and Newmont Corporation .
Hawkeye will retain a 2% Net Smelter Royalty (NSR) oneach of the Properties. Newcrest may purchase the first 1% of theNSR on each of the Properties for cash consideration of CAD$1,500,000per Property. Thereafter, Newcrest may purchase a furtherthree-quarters of the remaining NSR on each of the Properties bypaying Hawkeye an additional CAD$1,000,000 in cash per Property, inwhich case, Hawkeye would retain a 0.25% NSR interest in eachProperty. Newcrest’s entitlement to purchase these portions of theNSR will terminate sixty (60) days from the commencement ofconstruction of a mine on each property. The NSR is also subject toa right of first refusal in favour of Newcrest.
All amounts are in Canadian dollars.
About HAWKEYE
HAWKEYE Gold & Diamond Inc. is a junior mineralexploration and development company based in Vancouver, BritishColumbia (BC), Canada. The Company's precious and base metalsproperties are located in the prolific Golden Triangle of northwestBC, in the world-class Barkerville gold camp situated in the historicCariboo Mining District of central BC, and on Vancouver Island, BC,Canada. HAWKEYE's corporate mandate is to build strong asset growthand shareholder value through the acquisition of low-cost,high-potential opportunities with discovery potential, and to manageits business in an environmentally responsible manner whilecontributing to the local community and economy.
HAWKEYE GOLD & DIAMONDINC.
Per:
“Greg Neeld”
President & CEO
Vancouver: (604) 908-8511
Email: greg@hawkeyegold.com
Web Site: www.hawkeyegold.com
Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in the policiesof the TSX Venture Exchange) accepts responsibility for the adequacyor accuracy of this release.
Cautionary NotesRegarding Forward Looking Statements
This News Release containsforward-looking statements. Forward-looking statements arestatements that relate to future events. These statements are onlypredictions and involve known and unknown risks, uncertainties andother factors that may cause our or our industry’s actual results,levels of activity, performance or achievements to be materiallydifferent from any future results, levels of activity, performance orachievements expressed or implied by these forward-looking statements. While these forward-looking statements, and any assumptions uponwhich they are based, are made in good faith and reflect our currentjudgment regarding the direction of our industry, actual results willalmost always vary, sometimes materially, from any estimates,predictions, projections, assumptions or other future performancesuggested herein. Except as required by applicable law, the Companydoes not intend to update any of the forward-looking statements toconform these statements to actual results.
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