Aerial View of Butte Highlands
Butte Highlands Overview
In January 2016, NJMC purchased a 50-percent interest in Butte Highlands Joint Venture LLC (“BHJV”) from Timberline Resources Corporation. BHJV owns the high-grade, underground, Butte Highlands Gold Project, located 15 miles south of Butte, Montana, within a prolific gold-producing region that includes several world-class, multi-million ounce gold deposits including Butte, Golden Sunlight, Montana Tunnels, and Virginia City. Management believes Butte Highlands is an excellent fit with the Company’s asset base, expertise, and business plan.
NJMC’s interest in the Butte Highlands project is “carried to production” by the joint venture partner, Highland Mining LLC. Under terms of the joint venture agreement, Highland Mining will fund all development costs associated with bringing the mine into production, with NJMC’s 50-percent share of costs to be paid from proceeds of future mine production. Proceeds are to be split on an 80-20 basis (to Highland and NJMC, respectively) until pay-back is reached, after which proceeds will be split evenly.