EMX’s Southern Gold Line projects are located within the Northern Sweden’s “Gold Line” trend and the Skellefteå volcanogenic massive sulfide (VMS) belt. These projects are believed to be intrusion related gold systems (IRGS) or gold-rich VMS. The Southern Gold Line properties form a group of licenses in the vicinity of and around Dragon Mining Ltd’s Fäboliden gold development project in central Sweden*. This portfolio of gold licenses represents a continuation of EMX’s work along the “Gold Line” in central Sweden, a geologic trend that contains numerous precious metal occurrences, deposits, mines and exploration projects.
The Company’s reconnaissance sampling and mapping programs are ongoing in the area, with initial BLEG samples collected across portions of the licenses showing multiple areas with enrichments of gold in stream sediments.
In August 2020 EMX announced the execution of an option agreement for Southern Gold Line projects with New Dimension Resources (renamed to Capella Minerals TSX-V: CMIL, FRA: N7D2)(“CAP”) which provides EMX with up to a 9.9% equity interest in CAP, annual advance royalty payments, 2.5% Net Smelter Returns (“NSR”) royalty interests in the Projects and other considerations. See Company news release dated August 11, 2020 for more information.
*Note: The nearby mine provide geologic context for EMX’s Project, but this is not necessarily indicative that the Project hosts similar tonnages or grades of mineralization