Precious metals recovery company Fulcrum acquires Teck Hughes surface rights
Aim-listed Fulcrum Metals, a company pioneering the use of innovative cyanide-free technologies to recover precious and critical metals from mine waste and support site remediation, has signed agreements to acquire surface rights at the Teck Hughes tailings project, in the Kirkland Lake gold camp of Ontario.
The company has secured five surface rights totalling 270 acres of the project area, representing a significant milestone in advancement of the project.
The deal was made with North American Land Holdings and White Cliff Holdings, comprising a C$220 000 cash consideration and the granting of a 1.5% net smelter royalty (NSR) to the vendors.
Fulcrum retains the right to buy down the NSR to 0.75% for a total payment of C$750 000, with a further C$500 000 payable to reduce the NSR to 0.5%.
The surface rights agreement strengthens the company’s overall land position within the project area and supports the company’s strategy to advance Teck Hughes into the next stage of development.
It provides Fulcrum with the necessary land access and operational flexibility to support ongoing exploration activities, environmental studies, infrastructure planning and future development work.
Having secured long-term access to key project and infrastructure areas, as well as land tenure and operational certainty, Fulcrum has materially reduced development risk and improved project development flexibility for future mine planning and infrastructure positioning.
The transaction is expected to close within 30 days.
Fulcrum CEO Ryan Mee comments the surface rights for the Teck Hughes tailings project is an important strategic step. “We now have the access and operational certainty needed to advance the project and to further derisk future development. Achieving this milestone strengthens the long-term value of Teck Hughes and positions us for the next phase of development and project evaluation.”
Fulcrum will continue to progress technical work programmes and stakeholder engagement initiatives as it advances its broader tailings strategy.
Moreover, the agreements also include a one kilometre area of interest around the boundaries of Fulcrum’s Teck Hughes and Sylvanite tailings projects for both surface and mining rights.
As part of the agreements, Fulcrum has first right of refusal for any existing or newly acquired property for a period of five years based on a fixed price of twice the original acquisition cost and a similar NSR structure.
