Salazar Resources Acquires Ecuadorian Exploration Assets from Silvercorp Metals for Royalty Consideration

Salazar Resources Limited has finalized a definitive agreement to acquire exploration assets in Ecuador from Silvercorp Metals Inc. The company will receive 80% interests in four mineral exploration properties in exchange for NSR royalties ranging from 1% to 1.5%. Salazar currently owns 20% of two of the projects and plans to farm out the Tarqui and Quimi projects in return for work commitments, cash, and equity. A non-refundable payment of $200,000 has been received, providing exclusivity.

Salazar Resources Limited (TSXV: SRL, OTCQX: SRLZF, FSE: CCG) has finalized a definitive agreement to acquire exploration assets in Ecuador from Silvercorp Metals Inc. Under the terms of the agreement, Salazar will receive an 80% interest in the Santiago and Pijilí Projects, and a 100% interest in the Tarqui and Quimi Projects, in exchange for net smelter return (NSR) royalties ranging from 1% to 1.5%. The transaction also includes options to repurchase portions of the NSR royalties for $1 million to $3 million [1].

The acquisition will provide Salazar with full ownership of the Santiago and Pijilí Projects, which it previously held a 20% stake in. The La Canela concession was excluded from the agreement. The company plans to farm out the Tarqui and Quimi Projects in return for work commitments, cash, and equity, retaining an interest of at least 25% [1].

Fredy Salazar, CEO of Salazar Resources, expressed satisfaction with the finalization of the agreement, stating, "Finalization of definitive agreements was more complicated than anticipated but I am very pleased we can now move forward to advance the properties acquired. We have received a non-refundable payment of US$200,000 from an Ecuadorian company, providing exclusivity for the projects" [1].

Salazar Resources Limited is focused on creating value and positive change through discovery, exploration, and development in Ecuador. The company has a strong understanding of the local geology and has been involved in the discovery of several major projects. This acquisition aligns with Salazar's strategy to make commercial discoveries and farm-out non-core assets [1].

For further information from Salazar Resources, please contact Nick DeMare, Director, at ndemare@chasemgt.com or at 604-685-9316. Please also visit the Salazar Resources website at www.salazarresources.com.

References:
[1] https://www.newsfilecorp.com/release/260201/Salazar-Signs-Definitive-Agreement-for-the-Purchase-of-Ecuadorian-Exploration-Properties-from-Silvercorp-Metals-Inc.