The TSX Venture Exchange has accepted for filing documentation related to the Confederation Lake VMS (volcanic massive sulphide) property option agreement dated Oct. 21, 2016, between Pistol Bay Mining Inc. and AurCrest Gold Inc., whereby the company will acquire all the mining claims held by AurCrest in the Confederation Lake greenstone belt, southeast of Red Lake in Ontario.
Pistol Bay has the option to acquire a 100-per-cent interest in the AurCrest properties by paying AurCrest an aggregate of $250,000 and issuing an aggregate of five million common shares over four years with an initial payment of $25,000 and the issuance of one million common shares on closing, the payment of a further $25,000 within 90 days following closing, and the payment of $50,000 and the issuance of one million common shares on each of the four anniversaries following closing. The transaction is subject to the consent of Glencore PLC and is subject to the rights of Glencore in respect of the Confederation Lake property, including a 2-per-cent net smelter return (NSR) royalty in favour of Glencore.
Further information is available on the company's SEDAR profile in news releases dated Oct. 19, 2016, to Jan. 13, 2017.
Consideration: $250,000 cash and five million shares
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