West Vault Mining closes gold and silver stream transaction with Sprott

01 March 2021

On March 1, 2021, West Vault Mining Inc. (WVM: TSXV) (OTCQX: WVMDF) ("West Vault" or "the Company") announced the closing of a gold and silver Purchase and Sale Agreement ("Stream Agreement") with Sprott Private Resource Streaming and Royalty Corp. ("Sprott") for 1.41% of all refined gold and silver to be produced for the life of mine from the 100% owned and permitted Hasbrouck Gold Project in Nevada.



Under the terms of the Stream Agreement, Sprott paid West Vault an advance purchase deposit of US$6 million. An additional purchase deposit of US$1 million is to be paid to the Company within 10 days of the announcement of a Board-approved construction decision for the Hasbrouck Gold Project.  Sprott may elect to add the Hill of Gold property to the Stream Agreement by paying a final purchase deposit of US$300,000 within 60 days of paying the additional deposit. In addition to the amortization of aggregate purchase deposits received by the Company, a cash transfer price payable upon delivery of refined gold and silver to Sprott has been set at 20% of the market value per ounce of metal, as quoted by the London Bullion Market Association on the date of delivery.

Gowling WLG advised West Vault on the negotiation of this agreement with a team that included Brett Kagetsu, France Tenaille, Daniel Allen and Jill Dunn (corporate); Brent Kerr and Anita Yuk (tax); and Tim Ross (lending).


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