Terraco has royalty coverage on claims covering the Spring Valley Gold Project ("Spring Valley"), located in Pershing County, Nevada. Spring Valley is a joint venture between Barrick Gold Corp. ("Barrick") and Midway Gold Corp. ("Midway"), where Barrick has the right to earn 60% interest in the project by completing work expenditures totalling US $30 million before December 31, 2013.
Terraco's net smelter returns ("NSR") royalty coverage includes the option to acquire a 2.5% NSR royalty (by December 2016) on claims covering the majority of the Spring Valley deposit and an additional direct ownership and option for a 1%NSR royalty covering the remaining portion of the Spring Valley deposit. The map below provides a scematic of the royalties.
