Sterling Metals has exercised its option to acquire full ownership of the Adeline Copper-Silver Project in Labrador, Canada.
The acquisition, finalised through an option agreement with Chesterfield Resource dated 6 March 2023, is set to be completed by 30 June 2024.
The terms of the acquisition include a cash payment of C$200,000 ($145,825) and the issuance of an additional 8.5 million common shares in Sterling Metals.
Following the transaction, Chesterfield will hold approximately 12.69 million shares, representing a 5.46% interest in Sterling Metals.
The issued securities will be subject to a statutory hold period of four months and one day, in line with applicable securities laws.
The Adeline Project spans a 44km x 11km basin and features numerous copper showings. Despite this, the area has seen limited drilling and systematic exploration.
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Sterling Metals’ inaugural drill programme, conducted last December, comprised 11 holes, with ten confirming copper mineralisation. This initial success suggests the potential for a robust mineral system within the project area.
Sterling Metals CEO Mathew Wilson said: “Since early 2023, we have recognised the significant potential of the Adeline Project, due to its large scale and substantial copper and silver showings across the 44km basin.
“With the Adeline Project now firmly in our portfolio, we are strategically positioned with two large-scale copper and silver exploration opportunities in Labrador and Ontario, both of which are ranked among the top ten mining jurisdictions in the world by the Fraser Institute this year.
“This acquisition not only enhances our strategic advantage as an explorer but also provides substantial leverage to rising copper and silver prices as we advance work programmes on both projects to drive future discoveries.”
