Record Resources Completes Sale of Non-Core Assets in Ontario
Record Resources (REC.V) has completed the sale of non-hydrocarbon and non-hydrogen rights on an optioned in Ontario, the company said Wednesday.The sale reflects continued prioritization of its oil and gas assets in Gabon, including the Ngulu block that covers 1,214 square kilometers, it added."This transaction is all part of company's plan to divest its non-core assets and is consistent with its strategy of unlocking value from its mining properties and hydrogen assets," Record said.RJK Explorations has acquired the rights to diamonds, precious and base metals found on the Lorrain-Bucke property. Record will maintain 100% of the rights to any hydrogen or hydrocarbons found by work completed by RJK, Record said. RJK will hold no royalty on hydrogen or hydrocarbon discoveries following the transaction, it added.With RJK, Record will own a 1% gross over-riding royalty interest on the discovery of any diamond-bearing kimberlite pipes with a buy-back of 0.5% for $500,000 to RJK.After the purchase from Record, RJK will then have a 100% interest to the discovery of any diamond, precious and base-metals found on these claim blocks.Regarding the cash payments due under a 2025 option agreement, RJK will pay $23,000 in February 2027. Record will also make a final cash payment of $23,000 in February 2028. There is an underlying 2% royalty to diamond, precious and base-metals production with regards to these lands in favour of the original vendors.RJK will also complete about $52,000 in work commitments on the claims. The total value of the transaction is approximately $75,000 in favour of Record Resources.Shares were unchanged at $0.06 in Canada yesterday.
