Harfang Exploration Inc. announced it has exercised its option to acquire 100% interest in the high-grade Egan Gold Property, subject to regulatory approvals. Egan is strategically located in the heart of Ontario's prolific Abitibi gold camp, central to mining operations in Timmins, Kirkland Lake, and Matachewan. Harfang has exercised its option to earn 100% interest in the Property in exchange for a combination of cash and shares.

Exploration conducted by Harfang has generated several high-priority targets. The Egan gold property was initially optioned based on the discovery of the E1 Zone where logging activities exposed a northeast-trending shear zone with a well-developed stockwork of quartz veins hosted in syenite. Pursuant to an option agreement and amendment signed in August 2020 and August 2022, respectively, Harfang had the option to earn 100% interest In the Property.

Harfang and the Vendors subsequently agreed to divide the final cash payment of $170,000 into two separate instalments of $85,000 each, payable on August 17, 2023 (paid) and February 5, 2024, and postpone the share issuance to February 5, 2024. The Vendors have recently agreed to receive, as their final instalment, a total of $27,554 in cash and 510,670 common shares of Harfang at a deemed price of $0.1259 per share, equivalent to a 10-day VWAP. The share issuance is subject to the approval of the TSX Venture Exchange.

The Company will proceed with the cash payment and the share issuance once approval is received and earn 100% interest in the Egan Property, subject only to a 2% net smelter return royalty in favour of the Vendors.