PERTH (miningweekly.com) – Dual-listed gold miner Chalice Gold Mines has signed a joint venture (JV) agreement with Canadian gold explorer Northern Superior Resources, to earn a 65% shareholding in the Croteau Est gold project, in Quebec.
Under the terms of the agreement, Chalice would spend C$4-million on exploration at the project area, within the next three years, with minimum expenditure capped at C$500 000 within the first 12 months.
Once Chalice has earned its 65% shareholding in the project, the JV would become a contributing JV.
Chalice told shareholders on Wednesday that the Croteau Est project complemented the company’s own Cameron gold project, in Ontario, which was acquired in 2014 as the foundation for the company’s North American growth strategy.
The Croteau Est project offers a unique combination of great location, with the potential to establish a resource quickly, walk-up drill targets and a great operating environment,” said Chalice MD Tim Goyder.
“Since acquiring the Cameron project last year, we have been actively reviewing and assessing potential bolt-on growth opportunities in North America. We are very pleased to have reached an agreement with Northern Superior, which is an established and respected Canadian exploration company, to farm-in to an outstanding gold exploration project.”
The Croteau Est project comprises 213 claims covering 8 316 ha owned by Northern Superior, as well as 109 claims, covering 3 856 ha, which were under option to the Canadian company.
Chalice noted that the tenement area included a 25 km strike length of prospective stratigraphy, including 17 drill-ready targets, which would require immediate follow-up drilling and a significant body of quartz-carbonate-sericite alterations and pyrite mineralisation.
While the JV would be managed by Chalice, the ASX- and TSX-listed company had entered into a technical service agreement with Northern Superior under which the Canadian firm would provide services on commercial terms.