Homerun Resources Inc. Conditional Purchase Agreement Belmonte Silica Concession

Rhea-AI Summary

Homerun Resources Inc. has executed a binding letter agreement for the conditional purchase of the Belmonte Silica Concession in Brazil. The concession comprises 69.4 hectares and is contiguous to concessions with district quality silica sand. HMR will make a cash payment of US$10,000 to ACS and have until March 31, 2024, to evaluate the concession. If the evaluation confirms high-quality silica, HMR will make a second payment of US$40,000 and acquire the concession.

Positive

• Homerun Resources Inc. has expanded its presence within the Belmonte Silica District through the conditional purchase of the Belmonte Silica Concession.
• The concession comprises 69.4 hectares and is located near the Port of Ilheus in Brazil.
• HMR will make a cash payment of US$10,000 to Aristóteles Chaves da Silva (ACS) within 10 days of the execution date.
• HMR has until March 31, 2024, to evaluate the concession through a 200-metre percussion drill program.
• If the evaluation confirms that over 25% of the concession contains 99.5% or higher quality silica, HMR will make a second payment of US$40,000 and acquire the concession.
• If the evaluation does not confirm the required silica quality, HMR will not make any further payment and still acquire the concession.

Negative

• None.

Vancouver, British Columbia--(Newsfile Corp. - November 2, 2023) - Homerun Resources Inc. (TSXV: HMR) (OTCQB: HMRFF) ("Homerun" or the "Company") is pleased to announce that the Company has executed a binding letter agreement dated November 01, 2023, between Homerun and Aristóteles Chaves da Silva (ACS), for the conditional purchase of the Belmonte Silica Concession in Belmonte, Bahia, Brazil, near the Port of Ilheus. The Belmonte Silica Concession comprises 69.4 hectares in the Belmonte Silica District and is contiguous to concessions that are known to contain district quality silica sand. The purchase is another step in the Company's continuing strategy to expand its presence within the District. The proposed terms and conditions of the agreement between the parties are as follows:

• HMR will make a cash payment to ACS of US$10,000 within 10 days of the execution date.
• HMR will have until March 31, 2024, to evaluate the concession and that evaluation will consist of a 200-metre percussion drill program to be conducted within the boundaries of the concession.
• If the evaluation drilling confirms that 99.5% or higher quality silica is contained in over twenty-five percent of the concession, HMR will make a second payment to ACS of US$40,000 and ACS will transfer one hundred percent of the concession to HMR.
• If the evaluation drilling does not confirm that 99.5% or higher quality silica is contained in over twenty-five percent (25%) of the area of the concession, HMR will make no further payment to ACS and ACS will transfer one hundred percent of the concession to HMR.

About Homerun Resources
Homerun Resources is focused on the development of its business within the critical and energy materials sectors. With a steadfast commitment to operational excellence, sustainability, and building shareholder value, Homerun Resources Inc. is poised to make a lasting impact in these industries.

On behalf of the Board of Directors of
Homerun Resources Inc.

"Brian Leeners"

Brian Leeners, CEO & Director
brianleeners@gmail.com / +1 604-862-4184 (WhatsApp)

FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE
The information contained herein contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/186111

FAQ

What is the name of the company mentioned in the press release?

The company mentioned in the press release is Homerun Resources Inc.

What is the purpose of the binding letter agreement?

The purpose of the agreement is the conditional purchase of the Belmonte Silica Concession.

Where is the Belmonte Silica Concession located?

The concession is located in Belmonte, Bahia, Brazil, near the Port of Ilheus.

What is the cash payment to be made by HMR?

HMR will make a cash payment of US$10,000 to ACS within 10 days of the execution date.

What is the deadline for HMR to evaluate the concession?

HMR has until March 31, 2024, to evaluate the concession.

What happens if the evaluation confirms high-quality silica?

If the evaluation confirms that over 25% of the concession contains 99.5% or higher quality silica, HMR will make a second payment of US$40,000 and acquire the concession.

What happens if the evaluation does not confirm the required silica quality?

If the evaluation does not confirm the required silica quality, HMR will not make any further payment and still acquire the concession.