Comstock Gains After Agreeing to Sell Lucerne Assets to Tonogold

(Bloomberg) -- Comstock Mining Inc. surges 43 percent in pre-market trading after announcing a definitive agreement to sell its Lucerne properties to Tonogold Resources for $15 million cash, and $8 million in relief of future lease and reclamation obligations.

  • Deal includes $10 million in cash payments to Comstock in early 2019, helping the company eliminate debt; Comstock to receive another $5 million from Tonogold in early 2020
  • Tonogold also gets option to lease American Flat property and equipment; Comstock will retain 1.5 percent royalty in Lucerne net smelter
  • Sees deal closing between March and May
  • Companies will hold a call to discuss the deal at 11 a.m. New York time 888-297-8935 pw 1295670

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