Canada’s Nine Mile Metals has announced the early exercise of its option to acquire full ownership of three significant mineral projects.
This move grants the company complete rights, titles and interest to 12 mineral claims across 38.94km², subject to a 2% net smelter royalty.
The projects that are part of the acquisition are California Lake, Canoe Landing Lake East and Nine Mile Brook East.
For this transaction, Nine Mile Metals issued 333,332 common shares at $0.075 each.
Furthermore, the company agreed with the optionors to convert the final $30,000 (C$40,971) cash payment into 333,334 common shares at a deemed price of $0.09 per share.
The California Lake VMS (volcanogenic massive sulphide) Project, which spans 35.83km², is located immediately north of the Canoe Landing Lake Project and includes a significant portion of the Spruce Lake Formation, known for its high potential.
On the other hand, Canoe Landing Lake VMS Project, covering 5.5km², lies along the east flank of the Canoe Landing Lake VMS Deposit, which has 22.8 million tons grading 0.64% lead, 1.82% zinc, 0.56% copper, 0.94 ounces per ton (oz/t) of silver and 0.034 oz/t of gold.
The company has also highlighted the strategic addition of the Upper Pabineau River and Nine Mile Brook properties, which add 9.02km² of prospective stratigraphy along the Boucher Brook Formation to its Nine Mile Brook VMS Project.
Nine Mile Metals director and CEO Patrick Cruickshank said: “This acquisition, coupled with the immense success of our 2022 California Lake East Drill Programme – a key component of the Target #8 Trend in our 2024 Western Portfolio Roadmap – firmly positions Nine Mile Metals for significant shareholder value enhancement.
“The complete ownership of the Source Target (Target #6) secured last fall further solidifies our western portfolio priority target trends.
“Now, with all claims owned and consolidated under Nine Mile Metals, we are poised to maximise economies of scale and operational efficiencies in land management. We share the optimism of our partners and look forward to a transformative 2024 as we advance our exploration initiatives.”
