Gold Lion Options the South Orogrande, Robber Gulch, and Erikson Ridge Gold Projects in Idaho from EMX Royalty - Seite 3

Commercial Terms Overview

Each Project is covered by a separate exploration and option agreement (each, an “Agreement”). Pursuant to each Agreement, Gold Lion can exercise its option to earn 100% interest in the respective Project by completing the following milestones on or before the dates indicated (all dollar amounts in USD):

	Shares	Cash		Exploration Commitment
On Effective Date	200,000	$15,000
15 months from Effective Date		$25,000		$100,000
2nd Anniversary of Effective Date	250,000	$40,000		$200,000
3rd Anniversary of Effective Date		$70,000		$300,000
4th Anniversary of Effective Date		$150,000		$400,000
5th Anniversary of Effective Date	500,000	$300,000		$500,000

For cash option payments beginning on the 2^nd anniversary to the 5^th anniversary of the effective date, Gold Lion may elect to pay half of the value of the option payments through the issuance of Gold Lion common shares.

Upon Gold Lion's exercise of the option for a Project, EMX will retain a 3.5% NSR royalty on the Project, of which Gold Lion may purchase up to 1.0% of the NSR royalty (the first 0.5% for 350 ounces of gold or cash equivalent prior to the third anniversary after exercise of the option, then the remaining 0.5% can be purchased at any time thereafter, until commercial production, for 1,150 ounces of gold or cash equivalent). Gold Lion may, at its election, make up to one-half of the payment for the first 0.5% through the issuance of Gold Lion common shares. After exercise of the option, annual advance royalty (“AAR”) payments are due starting at $30,000 on the first anniversary of the exercise of the option and increasing $10,000 per year to a maximum of $80,000 per year. All AAR payments cease upon commencement of commercial production from a Project. AAR payments will constitute prepayment of and advance against the 3.5% NSR royalty and will be set off against 70% of the 3.5% NSR royalty.