Financing Options

Mineral Survey #1875 (1215+ acres)   @ $495,000 = ($407.40 per acre)

Mineral Survey #1144 (763+ acres)     @$285,000 = ($373.38 per acre)

Discount if both purchased together ($100,000)= $680,000 for all

Lohman Mining and Commercial Inc. will offer owner financing to qualified buyers upon credit approval for up to 4 years. Terms will be 40% down payment with annual balloon payments plus interest at 9%. The balloon and interest payment can be structured to be payable in October of each year to allow for mining.

Lohman Mining and Commercial Inc. also offers a 10% cash discount if the buyer pays for the property(s) in full at closing.

Or, there is a purchase with royalty option:  Claims can be bought for 60% of the straight purchase price if it is coupled with a production royalty.  In this scenario payment will be as follows: A 30% down payment upon purchase of the claim(s). A 15% additional payment of sales price due and payable by May 31 of 2012 and a last additional payment of 15% due and payable by October 31, 2012. There is no interest on these payments. Buyer also will pay sellers a production royalty for 20 years with a minimum $25,000 annual royalty payment in gold or cash or 10% of gold mined that season whichever is greater, due and payable by October 31 of each year. Cash value of raw royalty Coffee Creek placer gold will be calculated at 85% of New York Spot price on September 30 of each year. Buyer may purchase sellers remaining production royalty rights from seller after 10 years for a payment of $300,000 in cash, or gold as calculated above.

A similar structured purchase and royalty arrangement can be calculated for each Mineral Survey claim block group separately.   

During the term of the production royalty seller will have the right to have full access to all buyers mining operations including sluice boxes and cleanup devices, employees,  and all accounting records and paperwork. Buyers will be required to notify sellers or their designated agent at least 10 days in advance of any “cleanup” and will provide accommodations for a sellers’ representative if desired.