Black Mammoth Metals acquires Gallinas property

Executive Summary

• Black Mammoth Metals Corp., via its subsidiary Antelope Creek Gold Corp., acquired a 100 % interest in the Gallinas Rare Earth Elements (REE) property in New Mexico through a long‑term lease with an option to purchase.
• The lease provides an option to buy the six federal mining claims for $300,000 plus royalty obligations (1.25 % NSR on leased claims and 0.5 % NSR on adjacent area), with an additional purchasable 0.5 % NSR for $500,000 before production.
• The Gallinas property contains approximately 15 historic intrusive breccia pipes considered among the highest‑ranked REE deposits in New Mexico, positioning Black Mammoth for future exploration and potential development.

Key Details

• Acquisition Structure: 40‑year lease with option to purchase; cash payments per schedule (table not reproduced).
• Purchase Option Price: $300,000 for the six leased federal mining claims.
• Royalty Terms: Vendor retains a 1.25 % net smelter return (NSR) royalty on the leased claims and a 0.5 % NSR royalty on claims within the broader area of interest (excluding staked claims).
• Additional NSR Purchase: An extra 0.5 % NSR may be bought for $500,000 at any time before production begins.
• Work Commitment: Completion of a magnetic survey required before the second anniversary of the lease.
• Property Size & Location: 49 federal unpatented claims covering ~376 ha (929 ac), located in the Gallinas Mountains, northern Lincoln County, NM; managed by the U.S. Forest Service.
• Geological Significance: Contains virtually all known intrusive breccia pipes (~15) in the Gallinas mining district; historic evaluations (U.S. Bureau of Mines 1943, early 1990s, recent studies) indicate high REE potential with potassic/sodic fenitization and carbonatization signatures.
• Historical Context: Prior limited exploration by former operators; Black Mammoth intends further evaluation to assess economic viability.
• Qualified Person Review: Mark J. Abrams, CPG No. 11451, director of Black Mammoth and qualified person under NI 43‑101, reviewed and approved the technical content.

Notable Quotes

(No direct quotes were provided in the release.)