U.S.REPORT Durvada farms out Nevada properties

Calgary-based Durvada Resources (ASE) has farmed out two of its gold properties in the Sandy Valley area of southwestern Nevada to Dundee Resources (VSE) and Reymont Gold Mines (ASE). In the first deal, Dundee can earn a 50% interest in Durvada’s Condor and Oro Amigo claims in Nevada. Dundee can earn its interest by paying $50,000 and issuing 200,000 shares to Durvada, in addition to spending $1.7 million on three stages of exploration. In the first two phases, Dundee must spend $200,000 on exploration by Aug. 31, and a further $200,000 by Dec. 31. Phase three requires the balance of $1.3 million to be spent by December, 1992.

The option agreement with Reymont allows the latter company to earn a 50% interest in Durvada’s Boss mine claims in Nevada. Reymont is required to pay Durvada $20,000 and issue 200,000 shares, as well as spend $1.5 million on exploration over three years.

Year one of the agreement requires Reymont to spend $50,000 on mapping, sampling and geophysics, while the second year calls for $200,000 to be spent on additional exploration. The balance of $1.25 million must be spent in the third year.