Blue Moon Metals (MOON.V) said Thursday it is acquiring a land and water rights package near its Springer mine in Nevada for $3.5 million in cash and $4.5 million in shares.
The property consists of over 2,100 acres and the associated water permits hold over 1,500 acre-feet per year of water rights in the Imlay basin, a statement said.
The purchase is expected to be completed by early next year.
"This acquisition more than doubles Springer's existing water rights and ensures that Springer retains its flexibility to grow into the future as a hub-and-spoke processing complex. The land package can also act as a strategic logistics hub, with access to highway I-80 and adjoining the Union Pacific rail line," said Chief Executive Christian Kargl-Simard.
Blue Moon shares were last seen up CA$0.08, or 1%, to CA$8.32 on the TSX Venture Exchange.
Price: $8.33, Change: $+0.09, Percent Change: +1.09%