Dolly Varden To Acquire Homestake Ridge Gold-Silver Project From Fury Gold Mines
Shawn Khunkhun, President and CEO of Dolly Varden Silver (TSX.V: DV – OTC: DOLLF) joins us to discuss the definitive agreement dated December 6, 2021, pursuant to which Dolly Varden will acquire from Fury Gold Mines (TSX: FURY) a 100% interest in the Homestake Ridge gold-silver, located adjacent to the Dolly Varden Project in the Golden Triangle, British Columbia. This is $50 million acquisition where Dolly Varden will pay Fury Gold $5 million in cash and the balance in 76.5 million shares of equity under the agreement, and upon completion of the Transaction, Fury will own approximately 36.9% of Dolly Varden on an outstanding basis.
The Homestake Project hosts a resource estimated to contain 165,993 ounces of gold and 1.8 million ounces of silver in the Indicated category and 816,719 ounces of gold and 17.8 million ounces of silver in the Inferred category, and comes out to around a 137 silver equivalent resource.
Shawn outlines the area between the two projects that appears to have 3 large anomalies for further exploration and that there will be an aggressive drill program in 2022 to move some categories of inferred ounces into indicated ounces, as well as plenty of expansion and new discovery targets. We also discuss that the company is still awaiting the assay results the 10,000 meter drill program from 2021 around the Torbit and Wolf targets that will be released to the market as they come in.
If you have any follow up questions for Shawn regarding Dolly Varden Silver, then please email us at Fleck@kereport.com or Shad@kereport.com.