Mr. Greg Burns reports
BRAVURA EXECUTES DEFINITIVE AGREEMENT FOR 2ND COBALT PROSPECT NEAR COBALT, ONTARIO
Bravura Ventures Corp.
has closed its previously announced letter of intent dated Aug. 10, 2017, and has signed the definitive agreement to acquire 100 per cent of the approximately 1,200-hectare Kahuna cobalt-silver property, located 37 kilometres south of Cobalt, Ont.
About the Kahuna cobalt property
The Kahuna cobalt property is located 14 kilometres northeast of the town of Temagami and 37 kilometres south of the town of Cobalt near the eastern border of Ontario. The district is mining friendly, having a rich history of cobalt and silver production. It is the epicentre of past-producing cobalt mines in Ontario.
Property status and configuration
The Kahuna cobalt property is composed of 77 claim units and covers approximately 1,200 hectares.
Access and infrastructure
The property is accessible by boat from Lorrain Lake, which is accessed by 12 kilometres of well-maintained gravel surface roads off of a major paved highway connecting the nearby town of Temagami and New Liskeard. The property is located 12 km from rail and power distribution lines.
Cobalt and silver mineralization occurs in calcite veins within the Nipissing diabase as erythrite and native silver. The grade of five tonnes of material collected during past production was reported to be 22 per cent cobalt, and an assay of 20 ounces per ton silver was reportedly obtained from a vein on the property. This information was from the Mineral Deposit Inventory for Ontario (MDI31M04SE00035).
Friday Mines Ltd. operated the property in the 1920s, sinking a shaft and drifting on a 10-inch-wide calcite vein with cobalt mineralization. Five tonnes of cobalt mineralization was produced with a grade of 22 per cent Co. In the 1960s, Gibson Mines Ltd. explored the property and found cobalt and silver mineralization. An assay of 20 ounces per ton silver was reportedly obtained from a vein as well. More recently, in 1998, a portion of the property was staked, and a small soil survey reported cobalt in soil up to 440 parts per million, as well as gold-in-soil anomalies. This information was from the Mineral Deposit Inventory for Ontario (MDI31M04SE00035).
Bravura plans to acquire 100 per cent of the Kahuna property in a share exchange agreement in consideration for:
- Payment for an amount of $300,000 and the issuance of one million common shares to be paid upon closing.
The properties are subject to a 0.5-per-cent net smelter return royalty on cobalt-gold production, which includes advance royalty payments of $25,000 annually on Dec. 31, beginning in 2020. The company has the option at any time to purchase 0.5 per cent of the royalty on payment of $500,000. The original vendors of the property will retain a 1-per-cent NSR on the properties. Bravura will have the right to purchase the 1 per cent for $1.0-million.
"We are pleased to have secured the Kahuna cobalt property. Bravura will continue with our mandate of acquiring quality cobalt projects in politically stable areas," said director Greg Burns.
Mike Waldegger, PGeo, is the qualified person as defined in National Instrument 43-101, who has reviewed and approved the contents of this press release.
We seek Safe Harbor.
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