Jul 22 2020
Troilus Gold Corp., a Toronto-based company, reports that it has added a total of 422 new claims to the Troilus property through acquisition and staking.
Plan view of Troilus Property showing new claims acquired from Globex and CMH, new claims staked by Troilus and area of royalty buyback. Image Credit: Troilus Gold Corp.
The new claims extend the land position by 23,005 ha to an overall area of 107,326 ha, as shown in the above image.
In April, we acquired 627 claims from O3 Mining Inc. and staked another 629 new claims, making us the largest claim holder in the Frôtet-Evans Greenstone Belt (see press release dated April 28, 2020) with the addition of more than 67,000 hectares to our property. These new acquisitions, coupled with additional staking by our team, further consolidates our position at a minimal cost to shareholders.
Justin Reid, CEO, Troilus Gold Corp.
Reid continued, “Our geological team has already been in the field accessing the newly acquired area in April and we believe the ground picked up as part of today’s announcement further add to the potential we hope to uncover in this underexplored area.”
In addition, we have completed a non-cash buy back and cancellation of a 1.5% NSR on the Troilus North claims which we acquired from EmGold in late 2018, an area that we expect to be a major exploration focus this year.
Justin Reid, CEO, Troilus Gold Corp.
Troilus Adds 422 Claims in Frôtet-Evans Greenstone Belt
Troilus Gold and Globex Mining Enterprises Inc. signed a definitive agreement, pursuant to which the former has procured 91 claims located to the south of the prevailing Troilus Project (Globex Claims).
As consideration for the procurement of the Globex Claims (Globex Acquisition), Troilus Gold has issued a total of 350,000 common shares (Consideration Shares) and also granted a Gross Metals Royalty of 2% to Globex Mining Enterprises relating to the Globex Claims.
Troilus Gold will retain the right to buy back a Gross Metals Royalty of 1% on the Globex Claims for CAD$1,000,000, at any time. The Globex Claims span an area of about 4,960 ha, including the Pyrox, Lac Testard Ouest, Rosario, Boulder Lake, Claudette Zone, Lac Chix, and Boulder Gold properties.
The Globex Claims span geophysical anomalies, several gold (Au) and copper (Cu) showings, horizons, and structures that are worthy of more comprehensive work using the Troilus geological model, such as historical grab samples that were earlier reported by Globex Mining Enterprises as follows:
- 50 g/t Ag and 11% Cu; 13.4 g/t Ag and 3.46% Cu; and up to 12.55% Cu and 5.79 g/t Au at Lac De Maurès Est
- 1.00 g/t silver (Ag) and 4.96 g/t Au at Boulder Lake property
- 5.50 g/t Ag and 1.79% Cu; 2.40 g/t Ag and 1.25% Cu at Claudette Zone
- 0.38% Cu, 378.42 g/t Ag, and 41.14 g/t Au at Lac Testard Ouest property
- 1.9 g/t Au and 1.2 g/t Au at Lac Chix property
In addition, Troilus Gold has signed a definitive agreement with 9219-8845 Qc. Inc. dba Canadian Mining House (CMH). As part of this agreement, Troilus Gold has procured a total of 21 claims located to the south of the prevailing Troilus Project (CMH Claims).
As consideration for the procurement of the CMH Claims (CMH Acquisition), Troilus Gold has paid cash consideration of CAD$69,000 (Consideration Payment) and has also granted a Net Smelter Royalty of 1% to CMH relating to the CMH Claims.
Troilus Gold will retain the right to buy back a Net Smelter Royalty of 0.5% on the CMH Claims for CAD$500,000, at any time, and to buy the remaining Net Smelter Royalty of 0.5% for CAD$1,500,000, at any time. The CMH Claims span an area of about 1,140 ha.
In conclusion, Troilus Gold has staked a total of 310 new claims (Staked Claims) spanning an area of about 16,905 ha. Together with the existing 84,600 ha property of Troilus Gold, the new claims bring the company’s overall land package to 1,076 km2 or 107,326 ha.
The new claims further reinforce Troilus Gold’s position as the largest mineral claims holder in the extremely prospective Frôtet-Evans Greenstone Belt.
Troilus Completes Royalty Buyback
Troilus Gold has also announced that it has repurchased the 1.5% Net Smelter Royalty (Greg NSR) in relation to the 209 claims (11,308.8 ha), called Troilus North, from Greg Exploration Inc. and specific individuals (Vendors).
The 209 claims were earlier procured from EmGold Mining Corp., thus annulling the Greg NSR. In consideration of the Greg NSR, 150,000 common shares (NSR Consideration Shares) were issued to the Vendors.
Closing of the Greg Royalty Buyback and the Globex Acquisition remains subject to final TSX approval. The NSR Consideration Shares and Globex Consideration Shares are subject to a statutory hold period of four months.