The option agreement between Prosper Gold and Sabina Gold & Silver Corporation from August 9, 2020, required the company to issue an aggregate of 900,000 shares to Sabina, along with a cash payment of C$40,000, and incur an aggregate cost of C$2.6 million in expenditures on the properties.
Prosper has an option to acquire the remaining 30% interest in the two properties, which would give Prosper full ownership. The two companies will also enter into royalty agreements in connection with the 70% interest option.
The Golden Sidewalk project is a gold exploration project situated over 160sq km of mineral claims and mining leases in the western Birch-Uchi Greenstone Belt, which is about 60km east of Red Lake, Ontario.
The company recently identified a highly prospective section known as the Golden Corridor in the centre of the property. The Skinner property lies north of the Golden Corridor.
On February 7, Prosper Gold traded on the Toronto Stock Exchange at C$0.44/share, which was down 2.2% during the day. Its shares plunged below the $1 mark in October last year ahead of the company's phase-two drilling at the Golden Sidewalk property.
