Brascan Enters into Option Agreement to Acquire a 100% of Middle Arm Fault Property
Vancouver, British Columbia--(Newsfile Corp. - November 4, 2021) - Brascan Gold Inc. (CSE: BRAS) ("Brascan" or the "Company") is pleased to announce, further to its news release dated October 20, 2021, that it has entered into an option agreement (the "Agreement") with Jason Flight, Wayne Hurley, Kenneth Lewis and Daniel Jacobs (collectively, the "Optionors") to acquire a 100% interest in the Middle Arm Fault property located 30 km south of the town of Baie Verte, Newfoundland (the "Property"). The Property contains three (3) contiguous mineral claims covering 650 hectares.
Newfoundland and Labrador is ranked among the top 10 mining jurisdictions world-wide by the Fraser Institute, and boasts excellent infrastructure reflecting its long mining history including roads, grid power, port facilities, complete mining services as well as a skilled and experienced workforce.
The option claims are contiguous with the northern boundary of Maritime Resources Corp.'s Whisker Valley Project, and 14 km north of Maritime's past-producer Hammerdown gold deposit, which is described in some detail in Maritime's PEA (McCracken et al., 2020)1.
The Property covers a portion of the regionally significant Middle Arm Fault, which extends more than 15 km to the southwest, where it is spatially associated with several gold showings, as reported on the Newfoundland and Labrador Geoscience Atlas (https://geoatlas.gov.nl.ca/Default.htm). A 2.5 km long magnetic high anomaly occurs adjacent to the Middle Arm Fault on the Property, and Brascan considers this anomaly to be a target warranting follow up exploration.
Pursuant to the Agreement, the Company may acquire a 100% interest in the Property by: (i) making an aggregate cash payment to the Optionors of $168,000; (ii) issuing an aggregate of 670,000 common shares of the Company to the Optionors; and (iii) incurring an aggregate of $725,000 in exploration expenditures on the Property all prior to the fourth anniversary of the date of the Agreement. The share issuances, cash payments and exploration commitments gradually increase over the term of the Agreement. The Optionors will retain a 2.5% net smelter royalty, 1.5% of which may be purchased by Brascan for $2,000,000.
About the Company
The Company is a gold exploration issuer based in Vancouver, BC. The Company holds an option over the Vulcan Property, located in the Fort Steele Mining Division in southeastern BC and the Middle Arm Fault property, located 30km south of the town of Baie Verte, Newfoundland.
For more information, investors should review the Company's filings that are available at www.sedar.com.
Contact Information
Balbir Johal
Director
Telephone: 604 812 1747
Email: [email protected]
Forward-Looking Statements
This news release contains certain forward-looking statements that are "forward looking information" within the meaning of applicable securities laws. All statements that are not historical facts, including without limitation, statements regarding future estimates, plans, programs, forecasts, projections, objectives, assumptions, expectations or beliefs of future performance, including statements regarding the share issuances, the cash payments and the exploration expenditures, the viability of exploration at the Property and the NSR are "forward-looking information". These forward-looking statements reflect the expectations or beliefs of management of the Company based on information currently available to it. Forward-looking statements are subject to a number of risks and uncertainties, including those detailed from time to time in filings made by the Company with securities regulatory authorities, which may cause actual outcomes to differ materially from those discussed in the forward-looking statements. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements and information contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
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