Common use of Grant and Exercise of Option Clause in Contracts

Grant and Exercise of Option. (a) The Optionor hereby grants to the Optionee the sole and exclusive right and option to acquire up to an undivided 100% right, title and interest in and to the Property, free and clear of all charges, encumbrances, claims, liabilities and adverse interests of any nature or kind, except for the Royalty. (b) The Option shall be in good standing and exercisable by the Optionee in regard to the Property by paying the following amounts on or before the dates specified in the following schedule for the Property: (i) paying the Optionor $10,000 within three (3) business days of the date of this Agreement, issuing to the Optionor 100,000 Shares in the capital stock of the Optionee; (ii) on or before the second anniversary of the execution of this Agreement, issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (iii) on or before the third anniversary of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (iv) on or before the third anniversary of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (v) on or before the fourth anniversary of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (vi) on or before the fifth anniversary of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (vii) on or before the sixth anniversary of the execution of this Agreement, paying to the Optionor $20,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (viii) on or before the seventh anniversary of the execution of this Agreement, paying to the Optionor $30,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (ix) on or before the eighth anniversary of the execution of this Agreement, paying to the Optionor $40,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (x) on or before the ninth anniversary of the execution of this Agreement, paying to the Optionor $50,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (xi) on or before the tenth anniversary of the execution of this Agreement, in addition to the payments described in (i) to (x) above, paying to the Optionor $1,000,000, in which case the Optionor shall retain a two percent (2%) Royalty OR, paying to the Optionor $2,000,000, in which case the Optionor shall retain a one percent (1%) Royalty; and (xii) paying all Property maintenance fees and performing all property maintenance obligations as they become due. (c) The Optionor acknowledges and agrees that the Shares will be issued in accordance with all applicable securities laws and will be subject to hold periods and restrictions on resale in accordance with applicable securities laws and it is the Optionor's responsibility to determine what those hold periods and restrictions are before selling or otherwise transferring any Shares.

Grant and Exercise of Option. (a) 5.1 The Optionor Optionors hereby grants grant to the Optionee the sole and exclusive right and option option, subject to the terms of this Agreement, to acquire up to an undivided a 100% rightlegal and beneficial interest in the Property, title free and clear of all Encumbrances save and except for the Permitted Royalties (the “Option”).‌ 5.2 To exercise the Option, Optionee must: (a) subject to Part 12, incur and pay for total Exploration Expenditures of $3,000,000 in respect of the Property in accordance with the following schedule:‌ (i) subject to Section 15.1, a total of $300,000 on or before the first anniversary of the Effective Date, which incurrence is an obligation of the Optionee and is not optional;‌ (ii) a total of $1,000,000 on or before the second anniversary of the Effective Date; (iii) a total of $1,500,000 on or before the third anniversary of the Effective Date; (iv) a total of $2,000,000 on or before the fourth anniversary of the Effective Date; and (v) a total of $3,000,000 on or before the fifth anniversary of the Effective Date; and‌ (b) pay to Canasil cash payments totalling $375,000 in accordance with the following schedule: (i) $50,000 on or before the second anniversary of the Effective Date; (ii) $75,000 on or before the third anniversary of the Effective Date; (iii) $100,000 on or before the fourth anniversary of the Effective Date; and (iv) $150,000 on or before the fifth anniversary of the Effective Date. 5.3 This Agreement is for an option only and, for greater certainty, other than as set out in Section 5.2(a)(i), nothing in this Agreement will be construed as obligating Optionee to do any acts, incur any expenditures or make any payments hereunder, and any act done, expenditure incurred or payment made hereunder will not be construed as obligating Optionee to do any further act, incur any further expenditure or make any further payment. 5.4 Once Optionee has complied with the requirements of Section 5.2 and Section 5.7, the Optionee will be entitled to provide a written notice of exercise of the Option (the “Exercise Notice”) to Canasil and the Optionee will be deemed to have exercised the Option as of the date of the Exercise Notice (the “Option Exercise Date”) and will be vested with 100% legal and beneficial interest in and to the Property, free and clear of all charges, encumbrances, claims, liabilities Encumbrances save and adverse interests of any nature or kind, except for the RoyaltyPermitted Royalties. (b) The Option 5.5 Optionee shall be entitled to accelerate any time period for incurring and paying the Exploration Expenditures or making any cash payments hereunder. All cash payments to be made under this Agreement shall be made to a bank account designated by ▇▇▇▇▇▇▇ in good standing writing to the Optionee from time to time. 5.6 Upon the due exercise of the Option, the Optionors will take such steps as will be necessary (including delivering duly executed transfer documents), and exercisable in a timely manner, to effect transfer from Minera to Optionee, of registered title to the Property, subject to its obligations under this Agreement.‌ 5.7 In this Agreement, a written notice delivered by the Optionee to Canasil by no later than 30 days after any date listed in regard to the Property by paying the following amounts on or before the dates specified in the following schedule for the Property: (i) paying the Optionor $10,000 within three (3) business days of the date of this Agreement, issuing to the Optionor 100,000 Shares in the capital stock of the Optionee; (iiparagraph 5.2(a) on or before the second anniversary which Exploration Expenditures are to be incurred and paid and accompanied by a statement of a senior officer of the execution of this Agreement, issuing Optionee to the Optionor 25,000 Shares in effect that the capital stock amount of Exploration Expenditures has been incurred and paid by the applicable date shall be conclusive evidence of the Optionee; (iii) on or before making thereof unless Canasil questions the third anniversary accuracy of such statement within 15 days of receipt. If Canasil questions the accuracy of the execution statement, the matter shall be referred to a mutually determined national firm of this AgreementChartered Professional Accountants for final determination. If such firm determines that the Exploration Expenditures incurred and paid were less than the minimum Exploration Expenditures to be incurred for the then current time period, paying the Optionee shall not lose any of its rights hereunder provided the Optionee pays to the Optionor $10,000 and issuing to the Optionor 25,000 Shares Canasil in the capital stock cash within 15 days of the Optionee; (iv) on or before the third anniversary receipt of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock determination 100% of the Optionee; (v) on or before amount below the fourth anniversary Exploration Expenditures threshold for the then current time period. If the Optionee makes such payment, it shall be deemed to have timely incurred and paid Exploration Expenditures equal to such payment. If the firm of Chartered Professional Accountants determines that the Exploration Expenditures incurred and paid were less than 95% of the execution of this Agreementminimum Exploration Expenditures to be incurred for the then current time period, paying to the Optionor $10,000 and issuing to Optionee shall pay the Optionor 25,000 Shares in the capital stock entire cost of the Optionee; (vi) on or before the fifth anniversary determination; if they were 95% to 100% of the execution of this Agreementminimum Exploration Expenditures to be incurred for the then current time period, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock cost of the Optionee; (vii) on or before determination shall be paid by the sixth anniversary Optionee and Canasil equally; if in excess of 100% of the execution of this Agreementminimum Exploration Expenditures to be incurred for the then current time period, paying to Canasil shall pay the Optionor $20,000 and issuing to the Optionor 25,000 Shares in the capital stock entire cost of the Optionee; (viii) on or before the seventh anniversary of the execution of this Agreement, paying to the Optionor $30,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (ix) on or before the eighth anniversary of the execution of this Agreement, paying to the Optionor $40,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (x) on or before the ninth anniversary of the execution of this Agreement, paying to the Optionor $50,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (xi) on or before the tenth anniversary of the execution of this Agreement, in addition to the payments described in (i) to (x) above, paying to the Optionor $1,000,000, in which case the Optionor shall retain a two percent (2%) Royalty OR, paying to the Optionor $2,000,000, in which case the Optionor shall retain a one percent (1%) Royalty; and (xii) paying all Property maintenance fees and performing all property maintenance obligations as they become dueChartered Professional Accountant's determination. (c) The Optionor acknowledges and agrees that the Shares will be issued in accordance with all applicable securities laws and will be subject to hold periods and restrictions on resale in accordance with applicable securities laws and it is the Optionor's responsibility to determine what those hold periods and restrictions are before selling or otherwise transferring any Shares.

Grant and Exercise of Option. (a) The Optionor hereby grants to the Optionee the sole and exclusive right and option to acquire up to an undivided 100% right, title and interest in and to the Property, free and clear of all charges, encumbrances, claims, liabilities and adverse interests of any nature or kind, except for the Royalty. (b) The Option shall be in good standing and exercisable by the Optionee in regard to the Property by paying the following amounts on or before the dates specified in the following schedule for the Propertyschedule: (i) paying the Optionor $10,000 within three 7,500 on signing the letter of intent (3paid), (ii) business days of paying the date Optionor $51,150 on or before the execution of this Agreement, Agreement and issuing to the Optionor 100,000 Shares 500,000 common shares in the capital stock of the Optionee;Optionee as soon as practicable following the execution of this Agreement, (iiiii) issuing to the Optionor 150,000 shares in the capital stock of the Optionee on or before the first anniversary of this Agreement, (iv) issuing to the Optionor 150,000 shares in the capital stock of the Optionee on or before the second anniversary of the execution of this Agreement, and (v) issuing to the Optionor 25,000 Shares 200,000 shares in the capital stock of the Optionee; (iii) Optionee on or before the third anniversary of the execution Agreement. (c) The Optionee shall also pay Timber Wolf the following amounts on or before the dates specified in the following schedule, with such amounts and terms as further described in the Timber Wolf Agreement: (i) paying $3,000 on signing of this Agreement, , (ii) paying to an additional $7,500 on or before the Optionor first anniversary of the Agreement, (iii) paying an additional $10,000 and issuing to on or before the Optionor 25,000 Shares in the capital stock second anniversary of the Optionee;Agreement, (iv) paying an additional $12,500 on or before the third anniversary of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee;, (v) paying an additional $25,000 on or before the fourth anniversary of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee;, (vi) paying an additional $25,000 on or before the fifth anniversary of the execution of this Agreement, paying to the Optionor $10,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee;, (vii) paying an additional $50,000 on or before the sixth anniversary of the execution of this Agreement, paying to the Optionor $20,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee;, (viii) paying an additional $200,000 on or before the seventh anniversary of the execution of this Agreement, paying to the Optionor $30,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee;, (ix) paying an additional $200,000 on or before the eighth anniversary of the execution of this Agreement, paying to the Optionor $40,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (x) on or before the ninth anniversary of the execution of this Agreement, paying to the Optionor $50,000 and issuing to the Optionor 25,000 Shares in the capital stock of the Optionee; (xi) on or before the tenth anniversary of the execution of this Agreement, in addition to the payments described in (i) to (x) above, paying to the Optionor $1,000,000, in which case the Optionor shall retain a two percent (2%) Royalty OR, paying to the Optionor $2,000,000, in which case the Optionor shall retain a one percent (1%) Royalty; and (xii) paying all Property maintenance fees and performing all property maintenance obligations as they become due. (cd) The Optionor acknowledges and agrees that the Shares will be issued in accordance with all applicable securities laws and will be subject to hold periods and restrictions on resale in accordance with applicable securities laws and it is laws. (e) All payments made pursuant to Section 4(b) shall be mad by check or wire transfer delivered to the Escrow Agent or to any single depository as the Optionor may instruct. Upon making payment to the Escrow Agent or depository, the Optionee shall be relieved of any responsibility for such payment to the Optionor's responsibility to determine what those hold periods and restrictions are before selling or otherwise transferring any Shares.