Reviewed by Danielle Ellis, B.Sc.Sep 24 2024
VR Resources Ltd. (“VR” or the “Company”) is pleased to report the successful closing of the recently announced acquisition agreement for the Empire, Silverback, and Golden Bear mineral properties in northern Ontario, with exploration activities set to begin immediately.
Location of VR’s newly acquired and recently expanded properties in northwestern Ontario, outlined in blue, showing proximity to greenstone belts with mafic and alkalic-felsic intrusions mapped by the OGS. The Empire District, an area covered by thin glacial till and is nearly unexplored relative to surrounding areas. Contained metal for advanced and producing projects are from publicly available sources and are not mineral resources. Image Credit: VR Resources Ltd.
The following is a summary of the acquisition.
- VR receives a 2% NSR, with the option to buy down at $4 million for each half percent, up to a 1% vendor-owned royalty.
- By issuing 600,000 shares and making an initial payment of $45,000, the first 90% interest is obtained.
- Upon the start of a diamond drill program on the Properties, a second $5,000 payment and the issuance of 400,000 common shares will grant the remaining 10% interest.
Empire and Silverback have been on VR’s radar for the past two years. We have monitored progress closely, as the vendor, Holbik Exploration, developed and began testing targets with airborne DIGEM geophysics and two scout holes on Silverback. Holbik has both re-examined regional datasets with an eye to new exploration models on historic showings, and been active on the ground prospecting (see Photo 1). I’m excited to be heading up to Thunder Bay this week to get my hands dirty on these new ideas and targets.
Justin Daley, CEO, VR Resources Ltd.
Daley continued, “The Properties represent a new chapter for low-cost, high-impact exploration by VR Resources, continuing our strategy for large-footprint copper-gold systems on deep crustal structures in Ontario. Scoping is well underway for advanced 3D DCIP geophysics this fall to target the source for surface mineralization: a large-footprint, disseminated sulfide system with copper and gold. We have been hard at work over the past week integrating these projects within our regional databases and staking new opportunities nearby.”
“Our expertise exploring under cover for our KSZ strategy north of Cochrane, paired with the deep regional knowledge of Holbik Exploration will enable us to quickly synthesize the results of Holbik’s initial exploration at Empire to identify and prioritize targets going forward. We look forward to providing further updates soon as we advance these targets, boots on the ground,” concluded Daley.
About the New Properties
The Properties currently consist of three adjacent blocks with 410 mineral claims totaling 15,229 hectares. The province of Ontario Ministry of Mines is in charge of managing the mineral rights for the Properties, which are situated on federal crown land.
On the claims and inside the Empire AOI, there is a 2% net smelter royalty. Although there are no yearly payments, to keep a mineral claim in good standing, the MENDM mandates specific yearly reporting requirements and exploration costs (such as mineral assessment reports). The Properties are located in the traditional territories of the Wabigoon Lake and Lac de Mille Lac First Nations.