Western Exploration LLC Completes Private Placement by Agnico Eagle Mines USA
Western Exploration LLC, (“Western”), is pleased to announce the signing of a Subscription Agreement with Agnico Eagle (USA) Ltd, a subsidiary of Agnico Eagle Mines Ltd.(“Agnico”). Under the terms of the agreement, Agnico will provide up to $9M of financing to advance the Gravel Creek project located 80 miles north of Elko, Nevada. The funding will be provided in 3 equal tranches with the first tranche completed on May 15, 2020.
This is the second private placement Agnico has made into Western with the first placement of $7.1M being made in July 2017. After completion of the current placement, Agnico will hold approximately 18% of Western and will have the right to nominate one member to the Board of Directors as well as participate on a Technical Committee with the management of Western.
Darcy Marud, CEO of Western, had this to say about the Agnico transaction, “We are very excited to have concluded this private placement financing with such a highly respected company like Agnico. It will allow Western to advance drilling on the Gravel Creek deposit with a goal of extending the current NI 43-101 resource along strike and dip and give us access to the technical abilities of a preeminent global gold mining company”.
The Gravel Creek mineral deposit is a low sulfidation epithermal vein and breccia system of Miocene age that was discovered by Western geologists in 2013. Since discovery, 75 diamond and reverse circulation drill holes have been completed and a 43-101 compliant resource was completed by MDA of Reno, Nevada with an effective date of April 28, 2018.
The 2020 exploration program will commence in June and will focus on expanding Gravel Creek along strike to the NW, down dip along the major controlling structure and up dip , along favorable host stratigraphy, towards the previously operating Wood Gulch mine. A total of 10,000 meters of core drilling and 5,000 meters of reverse circulation drilling expect to be completed in the fall of 2020
About Western Exploration:
Western Exploration is a private, Nevada based company with a well experienced geology and mining team. The technical and operations abilities within the organization have seen projects transform from grass roots discoveries to world class gold mining operations. Gravel Creek is part of the Aura project, located 80 miles north of Elko, NV.
CEO, Western Exploration LLC