West Vault to lease water right for Hasbrouck

Jan 18, 2023

2023-01-18 11:23 ET – News Release

Mr. Sandy McVey reports

WEST VAULT MINING ACQUIRES A SECOND WATER RIGHT FOR THE CONSTRUCTION-READY HASBROUCK GOLD PROJECT, NEVADA

West Vault Mining Inc. has executed a long-term water right lease agreement to lease a water right from a nearby mining company, giving West Vault the right to extract and utilize sufficient groundwater to support all planned operations at its 100-per-cent-owned Hasbrouck gold project near Tonopah, Nev.

Upon the execution of the Agreement on January 10, 2023, the Company made an initial one-time payment of US$68,000 and paid an annual fee of US$12,000 (the “Annual Fee”). During the 28-year term of the Agreement, West Vault may divert and use up to 614 acre-feet of water annually. Looking forward, to maintain the Agreement in good standing, each year West Vault will pay the Annual Fee as well as the cost of maintaining the water right and appropriating the water up to a maximum cost of US$18,000 annually. No other usage fees will be applied.

Sandy McVey, West Vault CEO, commented, “Water is critical to any mining project in dry areas, especially in Nevada where there is an increasing demand for a decreasing supply. The Water Right provides further assurance that the Hasbrouck Gold Project has the necessary water for the full life-of-mine. The 28-year life of this Water Right provides great optionality for choosing the best time to construct the Hasbrouck Project. The Water Right is in addition to a similar water right lease agreement we already have, which is set to expire in 2027.”

About West Vault

West Vault owns 100% of the construction-ready Hasbrouck Gold Project, a heap-leach gold-silver project with robust economics, located in Nevada. All key permits are in hand and there are no known technical, environmental, economic, or social obstacles to advancing the project to construction and production.

Qualified Person

Sandy McVey P.Eng., CEO and COO for West Vault, as a non-independent Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”), has reviewed and approved the technical information disclosed in this news release.

We seek Safe Harbor.

https://www.westvaultmining.com/