Aurizon is pleased to announce the signing of a letter of intent with Everton Resources Inc., ("Everton"), whereby Aurizon can acquire up to a 65 % interest in Everton's Wildcat property located in the James Bay region, 350 kilometres north of Matagami, Quebec. The Wildcat property is 100% owned by Everton and comprises 411 mining claims, covering 21,476 hectares, and is located near the area of Goldcorp's Eleonore deposit.
The key terms of the letter of intent are as follows:
- Aurizon can earn a 50% interest in the project by incurring expenditures of $3,250,000 over four years, including 3,000 metres of drilling within two years.
- Aurizon will also subscribe for a private placement of 1,000,000 units of Everton at a price of $0.25 per unit, each unit comprising one common share and one share purchase warrant, exercisable to acquire one additional common share at $0.40 per share for a term of two years.
- Aurizon will be the operator during the earn-in period for the initial 50% interest in the project, after which a joint venture will be formed.
- After earning its initial 50% interest in the project, Aurizon may then elect to earn an additional interest of 15%, for a total interest of 65%, by making cash payments totaling $300,000 over three years from the election date, incurring expenditures totaling $3,000,000 over three years from the election date, and delivering an independent pre-feasibility study by the end of the fourth anniversary of the election date.
- In addition, in the event that prior to the end of the eighth year of the initial option agreement, mineral resources of at least 2,000,000 ounces of gold, at an average grade of at least 6 grams of gold per tonne, are discovered, Aurizon shall make a payment of $1,500,000, payable in Aurizon Common Shares, subject to regulatory approval.
Aurizon may earn 60% of the Opinaca property and 65% of the Wildcat property comprising groups of claims blocks controlled by Azimut Exploration and Everton Resources. The property, which covers 56,791 hectares, is located in the James Bay area, Northern Quebec, bordering the Eleonore project owned by Goldcorp.
During the year, the Company incurred $1.1 million of work expenditures at the Wildcat project.
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Information of a scientific or technical nature contained in this web site regarding the Rex South Property has been prepared under the supervision of Martin Demers, P. Geo., Exploration Manager of Aurizon and a Qualified Person under NI43-101.
This page last updated: April 19, 2013