Purchase Agreement For Pino de Plata Property

BRIDGEWATER, NS - Silver Spruce Resources Inc. reported that it has finalized a Purchase Agreement for the Pino de Plata epithermal silver/base metal/gold property located in the Sierra Madre Occidental gold/silver belt in western Chihuahua state, Mexico.

The Purchase Agreement enables Silver Spruce to acquire a 100% interest in the four concessions comprising the Pino de Plata property for US$1.0 million plus a 3% Gross Production Royalty (GPR) capped at US$4.0 million. The Company also agreed to settle and has since paid US$11,000 in mining taxes owed on the concessions. The US$1.0 million is payable is quarterly installments of $125,000. Beginning November 30, 2015. In addition, the Agreement calls for Advance Royalty payments of $10,000 monthly to begin thirty days after full payout of the initial US$1.0 million has occurred. These Advance Royalty payments are considered part of the $4.0 million cap.

Management believes that this Purchase Agreement fairly represents the value of the property at this stage of the exploration cycle. The current property owners' willingness to provide payment terms that will enable the Company conserve cash as it moves forward with an exploration program that presents significant upside potential to both parties is appreciated.