Mr. Byron Coulthard reports
BRS RESOURCES LTD. SIGNS DEFINITIVE AGREEMENT TO ACQUIRE HIGH-IMPACT GOLD-SILVER CONCESSIONS IN SONORA, MEXICO
Further to BRS Resources Ltd.'s previous letter of intent, it has signed a definitive agreement to acquire high-potential mineral concessions in the premier Mulatos gold belt, located 11 kilometres north of Yecora, Sonora, Mexico.
This strategic transaction is intended to expand the company's exploration footprint to over 1,000 hectares targeting high-grade epithermal precious metal deposits (gold, silver and copper) situated along the same prolific corridor as major operating mines including Alamos Gold's Mulatos mine and Agnico Eagle's La India mine.
Operating structure and local execution
As the local operating entity in Sonora, Mexico, Canson Mining Group SA de CV would directly oversee:
Work force and hiring: managing local labour and field site operations
Permitting and environment: handling regulatory filings, surface rights and environmental compliance
Community relations: building direct partnerships with local Mexican stakeholders
Logistics and tax compliance: directing regional supply chains, land taxes and corporate compliance
Transaction and key highlights
Tier 1 jurisdiction: The concessions -- including the La Guadalupana and El Senor de los Guerreros claim blocks -- cover 1,053 hectares of prime epithermal gold-silver-copper potential.
Definitive agreement terms: Pursuant to the definitive agreement, BRS may earn a 75-per-cent interest in the properties by expending $5-million (U.S.) in exploration and development over a five-year period and, at its sole discretion, making a payment of $5-million (U.S.) at the end of the five-year period. BRS has agreed to grant the vendors a 3-per-cent net smelter return royalty (the NSR) with the option to buy back 2 per cent of the NSR for $3-million (U.S.). BRS has agreed to pay $100,000 (U.S.) which will be used by the vendors for the preparation of a National Instrument 43-101 technical report. As part of the acquisition, the vendors have agreed to grant to BRS a right of first refusal in connection with the sale of any of their interest in the properties. Completion of the acquisition is subject to BRS obtaining all necessary regulatory approvals.
Technical advancement: BRS intends on engaging technical consultants (ALS Geo Resources) to oversee site visits and data integration to advance a NI 43-101-compliant technical report.
Active field program: BRS intends on advancing high-resolution drone geophysics unmanned aerial vehicle magnetics with GDI Geofisica Aplicada de Mexico) and 3-D inversion modelling to finalize primary targets ahead of its drilling campaign.
"Signing this definitive agreement and establishing our formal operational structure through Canson Mining Group SA de CV represents a pivotal milestone for BRS Resources. By pairing our disciplined exploration strategy with robust local operational capability in Sonora, we are fully equipped to execute our upcoming drill programs and unlock significant value for our shareholders," said Byron Coulthard, president and chief executive officer of BRS Resources.
About BRS Resources Ltd.
BRS Resources is a mineral exploration company focused on the identification, evaluation, and acquisition of mineral exploration properties using sustainable and innovative practices. BRS prioritizes building trust within the communities where it operates and creating lasting value for its stakeholders through responsible resource development.
BRS's principal property is the Cowtrail property, which is currently in the exploration stage. The Cowtrail property consists of 32 minerals claims covering 4,400 hectares located in south-central British Columbia, Canada.
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