Lion Copper & Gold Corp. (LCGMF)

[ComstockRoyalty]

OTC:DOLFF Deal with NYSE:FCX Freeport McMoran Deal Triggered $
Up to $40 Million

VANCOUVER, BC--(Marketwired - January 19, 2017) - Quaterra Resources Inc. ("Quaterra" or the "Company") and its subsidiary Singatse Peak Services LLC ("SPS") today announced a 2017 drill program of at least 15 drill holes to test targets throughout the Company's 51-square-mile land package located in the historic Yerington District of Nevada.

Freeport-McMoRan Nevada LLC ("Freeport Nevada") has agreed to make accelerated option payments of up to $1.5 million. SPS has determined that these will be used to fund the 2017 drill program. (All amounts are expressed in U.S. dollars). Freeport Nevada is a wholly owned subsidiary of Freeport Minerals Corporation, which in turn is a wholly owned subsidiary of Freeport-McMoRan Inc. (NYSE: FCX).

Freeport Nevada's accelerated $1.5 million option payments are in addition to an option payment last month of $1.25 million by Freeport Nevada to SPS that is being used for property maintenance, G&A and environmental compliance at Yerington. Last month's option payment was the second of a four-tranche agreement totaling $5.75 million over two years announced in June last year to extend Stage 2 of Freeport Nevada's option to acquire an interest in the Company's Yerington Copper Project. Freeport Nevada has the right to terminate the agreement at any time with 60 days' notice. (Please see news release dated June 13, 2016).

In June 2014, Quaterra and its subsidiary SPS entered into an agreement which gives Freeport Nevada an option to earn an initial 55% interest in SPS by providing $40.7 million in option payments to SPS. In June 2016, Stage 2 of the agreement was potentially extended by another two years. The Stage 2 extension option payments and any accelerated option payments will reduce the payments required for Freeport Nevada to earn its initial 55% interest in SPS. Freeport Nevada can earn a further 20% in SPS (increasing its holding to 75%) by spending $99.5 million or by funding a feasibility study, whichever comes first. Before then, Freeport Nevada can terminate the agreement at its discretion.

Quaterra's Yerington Copper Project is located in the historic Yerington Copper District, about 70 miles southeast of Reno, Nevada.



https://www.juniorminingnetwork.com/junior-miner-news/press-releases/989-tsx-venture/qta/28468-quaterra-resources-announces-2017-drill-program-at-yerington-copper-project-nevada.html