Iconic Minerals Terminates Option Agreement for New Pass Gold Property

Iconic Minerals Ltd. (TSXV: ICM) (OTC: ICMFF) (FSE: YQG) has announced the termination of its property option agreement with Gold Basin Resources Corporation (TSXV: GXX) (OTCQB: GXXFF) (Source: Newsfile Corp. - February 24, 2025). The agreement, formed on May 3, 2024, would have allowed Gold Basin to acquire a 50% interest in Iconic's New Pass gold property in Churchill County, Nevada. The termination occurred due to Gold Basin's failure to fulfill the Option Exercise Conditions as required by the agreement.

The New Pass property consists of 107 unpatented mineral claims covering 2,140 hectares and is located three hours east of Reno, near Highway US-50E. Under the option agreement terms, Gold Basin would have needed to pay CAD $750,000 in cash and deliver CAD $750,000 in common shares in the capital of Gold Basin to acquire the 50% interest. The Option Agreement has been terminated as Gold Basin failed to deliver upon the Option Exercise Conditions as was required, and as such, Gold Basin holds no interest in the Property.

The New Pass Project, located in Central Nevada, approximately 27 miles west of Austin, contains an Inferred Mineral Resource of 15,515,488 short tons (14,075,414 metric tons) at 0.022 ounce per ton (0.75 grams/metric ton) gold equivalent or 341,750 ounces of gold equivalent comprised of 282,986 ounces of gold at an average grade of 0.018 ounces per ton (0.62 grams/metric ton) and 3,139,054 short tons (2,847,702 metric tons) of silver at an average grade of 0.202 ounces per ton (6.92 grams/metric ton). These resources were determined at a cut-off grade of 0.01 oz/ton gold equivalent and a gold to silver ratio of 60/1. For this ratio, metallurgical recoveries and net smelter returns are assumed to be 100%. The Inferred Resource was done using 137 drill holes over a strike length of 3,800 feet. Vulcan software was utilized to create a 'Block Model' of the resource volumes and weighted average grade.

The termination of the option agreement has several implications for the future of the New Pass gold property project. Iconic will retain full ownership of the property, allowing the company to maintain control over the project's direction and any future decisions regarding exploration, development, or potential partnerships. However, the loss of potential investment and partnership with Gold Basin may hinder the project's progress and limit Iconic's ability to advance the project without securing alternative funding sources. Iconic may now need to explore other opportunities to secure funding and collaboration for the project.

In conclusion, the termination of the option agreement between Iconic Minerals and Gold Basin Resources for the New Pass gold property was primarily due to Gold Basin's failure to meet the required payment and share delivery conditions. This termination has several implications for the project's future, including the loss of potential investment and partnership, retention of full ownership, potential for future partnerships, and the impact on the project's exploration and development timeline. Iconic will need to reassess its strategic plans and explore new opportunities to mitigate the impacts of the termination and advance the New Pass gold property project.