Under the terms of the Option Agreement, Overlord may earn up to a 70% interest in the property by paying Yale $100,000 ($50,000 received), issue to Yale 1,300,000 shares in Overlord (50,000 received), and incur a total of $2,100,000 in exploration expenditures on the Property over a four year period.
The first year’s requirement will be $200,000 in exploration expenditures followed by a further $400,000 in the following year, $750,000 in the third year and $750,000 in the final year of the Option Agreement. Subsequent share issuances of 500,000, 150,000, 350,000 and 250,000 shares on the first, second, third, and fourth year anniversaries will also be due in order to keep the Option Agreement in good standing.
About Yale Resources:
Yale Resources utilizes the project generator business model to maximize its exposure to discovery while minimizing shareholder risk. Yale currently has eight projects in its portfolio of which four are optioned with commitments totalling approximately $1.0M in expenditures during the next 12 months. At the same time Yale continues to work on its non-optioned properties as well as reviewing new projects.
On behalf of the Board,
Ian Foreman, P.Geo.