Vancouver, British Columbia--(Newsfile Corp. - February 26, 2026) - Great Basin Metals Inc. (the "Company" or "Great Basin") is pleased to announce that it has entered into a purchase agreement with Chris Osterman ("Osterman") to acquire interests in and to the unpatented lode mining claims held by Osterman in the Covellite Project and EI Tigre Project
The Covellite Project is located on the west flank of the Sierrita Mountains, 14 km due west of the Freeport McMoRan Sierrita Porphyry Copper Mine, and 50 km southwest of downtown Tucson, Arizona. Interest in the area was sparked by the discovery of a massive 9 kg silver nugget by metal detectorists. On examination, the silver contained 15% mercury, which, when combined with the shape of the metal, suggested that the material was a man-made artifact, perhaps a product of primitive smelting and refining, which had been buried years ago and never recovered. The metal detectorists in their search for more silver, began to discover detrital fragments of massive covellite and chalcocite, both copper sulfide minerals with significant silver contents. An analysis of one of these covellite samples taken by APEX Geoscience returned 32.1% Cu, 1130 gpt Ag, and 0.671 gpt Au. A well-organized sweep over the area documenting these covellite vein fragments with GPS showed a pattern which led to a long-abandoned mine shaft. The area, at surface, is underlain by Jurassic schists and Proterozoic granite to the west.
The target of the Covellite Project is twofold: firstly, the source of the massive silver-bearing, covellite-chalcocite mineralization serves as an attractive standalone mineral deposit; secondly, a deeper, porphyry source of the covellite-chalcocite vein is a distinct possibility. Massive covellite is an unusual, seldom-found occurrence in mineral deposits. Historically the copper deposits of Butte, Montana were started with massive covellite and bornite veins. The massive sulfide vein fragments found on the Covellite project along with the nearby Sierrita mine could be an indication of deeper copper mineralization. Future exploration will focus on both targets.
The El Tigre Project is located 65 km southeast of Willcox, Arizona, in the Chiricahua Mountains, the northern-most extent of the Sierra Madre of Mexico, one of the most prolific silver-producing regions of the world. Discovered in the 1940's as the U.S. government built a road over the rugged Chiricahuas, the El Tigre vein contained up to 600 opt silver in a 10 m wide epithermal quartz vein (Tsuji, 1984). The El Tigre vein was mined over 100 m vertically by 4 adits and the ore was shipped to the Phelps Dodge smelter in Douglas, Arizona. Little work appears to have been done on the property over the last four decades. There is no indication of drilling, although there is an existing road which connects the four adits to the nearby road, which transects the mountain range. Two grab samples taken by APEX Geoscience contained 2.98 gpt Au, 723 gpt Ag and 0.66 gpt Au, 457 gpt Ag respectively. The El Tigre vein lies on the edge of a major Tertiary volcanic caldera and occurs adjacent to an argillically altered rhyolitic dike in a massive andesite. Given the road infrastructure and little need for additional road building other than widening for drill pads, the next step in exploration could go directly to drill testing of the existing vein and as such, Great Basin intends to apply for drill permits on both Covellite and El Tigre immediately.
Terms of the Purchase Agreement
The Purchase Agreement shall provide for the Company to acquire a one hundred percent (100%) right, title, and interest (subject to a 0.5% NSR) in and to the unpatented lode claims comprising the Covellite Project and the El Tigre Project (the "Projects"), in consideration of:
the issuance of an aggregate of 6,000,000 common shares in the capital of the Company, being 3,000,000 common shares in respect of each of the Covellite Project and the El Tigre Project;
cash consideration in the aggregate amount of $20,000, being $10,000 in respect of each Project; and
the grant of a 0.5% net smelter returns royalty on all products produced from the Projects.
National Instrument 43-101 Disclosure
Chris Osterman, an Independent Advisor to the Company, is a Qualified Person as defined by NI 43-101, Standards of Disclosure for Mineral Projects. Chris Osterman has reviewed and approved the technical content in this news release.
About the Company
Great Basin Metals Inc. is a junior mineral exploration and development company based in Vancouver, British Columbia, that currently holds a 49% interest in the Sunnyside Project near Patagonia, Arizona, 100% of the Covellite Project in Tucson, Arizona and 100% of the El Tigre Project in Willcox, Arizona. Great Basin Metals Inc. is a reporting issuer in the provinces of British Columbia, Alberta, and Ontario.
ON BEHALF OF THE BOARD
Greg Thomas
Chief Executive Officer
For further information contact:
Great Basin Metals Inc.
Telephone: (604) 512-6041
Email: gregt.tac@gmail.com
Forward-Looking Statements: This News Release may contain certain "forward-looking" statements and information relating to the Company which are based on the beliefs of the Company's management, as well as assumptions made by and information currently available to the Company's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, exploration and development risks, expenditure and financing requirements, title matters, operating hazards, metal prices, political and economic factors, competitive factors, general economic conditions, relationships with vendors and strategic partners, governmental regulation and supervision, seasonality, technological change, industry practices, and one-time events. Should any one or more of these risks or uncertainties materialize or change, or should any underlying assumptions prove incorrect, actual results and forward-looking statements may vary materially from those described herein.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/285476
Source: Great Basin Metals Inc.
