Mining Option Agreement Template for Canada

1. Net Smelter Returns Royalty: Details of any retained royalty rights, used when the optionor retains a royalty interest

2. Area of Interest: Provisions covering newly acquired adjacent properties, used in areas with expansion potential

3. Joint Venture Conversion: Terms for converting to a joint venture upon option exercise, used when parties plan ongoing cooperation

4. Feasibility Study Requirements: Specific requirements for feasibility studies, used in more advanced properties

5. Security Provisions: Requirements for performance bonds or other security, used in higher-risk situations

6. Right of First Refusal: ROFR terms for future property dealings, used when parties want ongoing property rights

7. Community Relations: Specific community engagement requirements, used when significant local impact is expected

1. Schedule A - Property Description: Detailed legal description of the mineral properties, including claims, permits, and coordinates

2. Schedule B - Maps and Plans: Maps showing property boundaries, claims, and significant features

3. Schedule C - Existing Encumbrances: List of any existing royalties, liens, or other encumbrances on the property

4. Schedule D - Required Permits: List of permits, licenses, and authorizations required for operations

5. Schedule E - Initial Work Program: Detailed description of planned exploration and development work

6. Schedule F - Form of NSR Agreement: Template agreement for any retained royalty rights

7. Schedule G - Technical Report: Recent technical reports or resource estimates on the property

8. Schedule H - Indigenous Agreements: Existing agreements or MOUs with Indigenous groups

9. Schedule I - Environmental Liabilities: Known environmental issues or rehabilitation requirements