Doubleview to option Red Spring Project
Doubleview Capital Corp. (“Doubleview”) (TSX-V: DBV, FRANKFURT: 1D4, OTC: DBLVF) is pleased to announce that it has entered into an option agreement with a private company (the “Optionee”) in respect of Doubleview’s Red Spring Copper-Silver-Zinc Project (the “Red Spring”), located 120 km north of Smithers, BC. The private company was acquired by Mucho Cobre Resources Inc. (“Mucho Cobre”) earlier this month.
Under the terms of the Option Agreement, Mucho Cobre will be the operator and has the right to earn up to a 60% interest in the Red Spring over five years as follows: paying an aggregate of $500,000 to Doubleview, incurring $4,000,000 on exploration and issuing an aggregate of 2,000,000 common shares to Doubleview. Exploration tax credits incurred on the Red Spring property will be shared by the parties.
“The Red Spring property is a strata-bound ‘redbed’-type copper deposit similar to those in several very large European and Asian copper mining districts,” said Doubleview President and CEO Farshad Shirvani. “Earliest property work in the 1970s included twelve short, widely-spaced drill holes, some of which intersected strong copper and silver values, including 136 feet (41.5 metres) with 0.54% copper and 0.61 oz/ton silver. Doubleview’s geological and geochemical survey work since 2013 has confirmed the merits of the main Red Spring zone and identified new areas, that included values as high as 225 g/t Silver, 3.89 % Copper and 1.55 % Zinc from the 2016 geochemical soil survey. We welcome Mucho Cobre Resources Ltd. who is joining us in continuing our exploration of this exciting property. Doubleview has received a provincial Mines Act Permit for work including drilling”.
The Optionee will acquire a 60% interest on Doubleview’s 90% owned Red Spring upon:
- the Optionee paying an aggregate of $500,000 to Doubleview as follows:
- $15,000 on or before the first anniversary of the date of this Agreement;
- $25,000 on or before the second anniversary of the date of this Agreement;
- $60,000 on or before the third anniversary of the date of this Agreement;
- $125,000 on or before the fourth anniversary of the date of this Agreement; and
- $275,000 on or before the fifth anniversary of the date of this Agreement.
the Optionee issuing an aggregate 2,000,000 common shares (the “Shares”) to Doubleview as follows:
- 250,000 Shares on the date of this Agreement;
- 250,000 Shares on or before the first anniversary of the date of this Agreement;
- 250,000 Shares on or before the second anniversary of the date of this Agreement;
- 500,000 Shares on or before the third anniversary of the date of this Agreement; and
- 750,000 Shares on or before the fourth anniversary of the date of this Agreement.
the Optionee incurring aggregate Exploration Expenditures of $4,000,000 on the Red Spring as follows:
- $150,000 of Exploration Expenditures on or before the first anniversary of this Agreement;
- an additional $350,000 of Exploration Expenditures on or before the second anniversary of this Agreement;
- an additional $1,000,000 of Exploration Expenditures on or before the third anniversary of this Agreement;
- an additional $1,000,000 of Exploration Expenditures on or before the fourth anniversary of this Agreement;
- an additional $1,500,000 of Exploration Expenditures on or before the fifth anniversary of this Agreement.
Doubleview will retain a 0.5% Net Smelter Royalty upon commencement of Commercial Production, of which all of the Net Smelter Royalty may be purchased for $600,000.
Mr. Erik A. Ostensoe, P. Geo., a consulting geologist and Doubleview’s Qualified Person with respect to the Red Spring Property as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects, has reviewed and approved the technical contents of this news release. He is not independent of Doubleview as he is a shareholder and co-vendor of the Red Spring Property.
About Doubleview Capital Corp.
Doubleview Capital Corp., a mineral resource exploration and development company, is based in Vancouver, British Columbia, Canada, and is publicly traded on the TSX-Venture Exchange [TSX-V: DBV], [OTCBB: DBLVF], [GER: A1W038], [Frankfurt: 1D4]. Doubleview identifies, acquires and finances precious and base metal exploration projects in North America, particularly in British Columbia. Doubleview’s flagship the Hat Gold-Copper Property has an Option Agreement with Hudbay Minerals Inc. who is carrying out exploration to further the project towards a feasibility study and to earn a cumulative interest of 65%.
On behalf of the Board of Directors,
Farshad Shirvani, President & Chief Executive Officer
For further information please contact:
Doubleview Capital Corp.
409 Granville St., Suite #880
Vancouver, BC V6C 1T2
Farshad Shirvani, President & CEO
T: (604) 678-9587
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