The signing of the agreement occurred on Sunday after Spectral completed the required due diligence on the properties.
Spectral CEO Jenifer Osterwalder said "Spectral has been searching for a new direction to compliment our existing assets in a way that greatly expands our revenue potential. We believe that it is critical for us to diversify outside of the technology sector into a field with financial growth prospects that match the current economic environment. As the price of gold hits unprecedented levels, and with the uncertain economic environment that exists, Spectral believes that the opportunity to acquire the Chita mining assets is a significant milestone for us."
Under the agreement, Spectral acquired a 47% interest in the two Chita mining properties. Spectral is required to provide the financing necessary to complete all exploration and development activities. Gamma will earn a net smelter royalty of 1% to 2% under the agreement. Gamma also received warrants to purchase 5,000,000 shares of Spectral at an exercise price of $1.00 per share.
"Over the next several months, we intend to acquire the financial, management, technical and operational expertise necessary to execute on this opportunity. I am 100% committed to Spectral being an outstanding partner in the development of these mineral assets and in our being a leader in the environmentally friendly methods we intend to use for resource extraction in addition to achieving a significant return on capital. We are still at the early stages of this process, but anticipate ramping up quickly." concluded Osterwalder.
Spectral Capital Corporation (the "Company" or "Spectral) is a development stage company that has traditionally operated technology based search engine properties and managed the development of its proprietary search engine technology. In August, 2010, the Company announced that it would expand outside of its focus on technology development into other areas that would provide additional short-term and long-term financing, revenue and earnings potential. In September, 2010, the Company purchased an interest in mineral properties in the Chita region of the Russian Federation. The Company is now in the process of adding financial, management, technical and operational expertise so that it can effectively capitalize on the opportunity represented by the Chita mines.