Last checked at 
LONDON (Alliance News) - Sunrise Resources PLC Thursday said it has signed a lease agreement and option to acquire a group of patented mining claims covering the historic Bay State Silver mine in White Pine County, Nevada.
The lease covers shallow silver and tungsten workings over several hundred metres of strike length with historical high grade silver production, Sunrise said in a statement.
Three recent company grab samples from outcrops, the part of a rock formation that appears at the surface of the ground, produced assay results of 8.7 to 17.4 ounces per tonne of silver.
A follow up sampling programme will start shortly, said Sunrise.
The Bay State patents are held by Sunrise under an extendable 10-year lease and option to purchase agreement. In order to maintain its interest in this agreement the company must make annual payments which start at USD5,000 and rise in annual increments of USD2,500 up to a maximum of USD20,000 per year.
Sunrise may purchase the Bay State patents at any time after making a decision to proceed with commercial scale mining for USD250,000.
"The mine has been tied up in patents since 1874 and within the same family interests for the past seventy years and does not appear to have had the same level of exploration seen on similar silver prospects in Nevada. We are delighted to lease this exciting silver prospect where associated tungsten mineralisation adds an intriguing extra dimension," said Executive Chairman Patrick Cheetham.
"We have been negotiating this lease and purchase option for several months now and so I am very pleased it is now agreed," he added.
Sunrise saw its shares rise 5% to 0.420 pence per share Thursday morning.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
Copyright 2014 Alliance News Limited. All Rights Reserved.
