Golden Minerals enters into agreement with Golden Gryphon for Sand Canyon
Golden Minerals announced that it has entered into an earn-in agreement with Golden Gryphon Explorations for the Sand Canyon project in northwestern Nevada, where surface work has identified a large unexplored system of epithermal veins. The project consists of 527 claims totaling approximately 16 square miles. It is located 50 miles northwest of Winnemucca and 18 miles northwest of the historic Sleeper Gold Mine that was operated by Amax Gold Inc. and produced approximately 1.7 million ounces of gold and 2 million ounces of silver between 1986 and 1996. Initial sampling and mapping conducted by Golden Gryphon and confirmed by Golden Minerals have identified multiple sets of epithermal veins on the property exposed at a high level and generally trending north to slightly northeast. Golden holds an option to earn 60% interest in the Sand Canyon project by spending $2.5M in exploration expenses over four years, with guaranteed minimum expenditures of $500,000 in year one. To continue to earn interest in the project, Golden must spend at least $750.000 in years two and three and $500,000 in year four, and drill at least 5,000 feet of core or 10,000 feet of reverse circulation or a combination of the two, by the end of the second year. Golden paid $25,000 cash and $50,000 in reimbursed exploration expenditures to acquire the option and will make staged payments of an additional $135,000 on the next three anniversaries of the agreement.