First Mexican Gold Corp. Acquires 100% Interest in the Fernet Property
July 06, 2020 at 08:48 am EDT
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First Mexican Gold Corp. announced it has acquired a 100% interest in the Fernet property, located in northwestern Quebec (the Acquisition). The Fernet Project covers an area of 4,480 hectares, in the northern Abitibi region of Quebec and is contiguous with Wallbridge Mining Company Limited's (Wallbridge Mining) Fenelon project. The Fernet Project is approximately 15 km northwest of the Fenelon gold project, 4 km north of the Martiniere gold deposit (open pit-constrained Indicated gold resource of 431,000 ounces at an average grade of 2.0 g/t and an Inferred gold resource of 11,000 ounces at an average grade of 2.5 g/t; an additional underground Indicated resource of 159,000 ounces at an average gold grade of 4.5 g/t and an Inferred resource of 43,000 ounces at an average gold grade of 5.8 g/t - Balmoral Resources news March 27, 2018), and 55 km east of Detour Lake mine (~15.4 Moz mineral reserves including proven mineral reserves of 3.4 million ounces (85.2 million tonnes at an average grade of 1.24 grams per tonne) and probable mineral reserves of 12.1 million ounces (413.2 million tonnes at an average grade of 0.91 grams per tonne) as of December 31, 2018 - The Project is underlain by Archean greenstone volcanic rocks crosscut by several second and third order structures which are interpreted to be splays off of the gold bearing Sunday Lake Deformation Zone. Of particular interest for the Company are the intersections of northwest and northeast trending faults, which seem to be a significant control on gold mineralization at the neighbouring Fenelon, Martinière, and Lac du Doigt gold discoveries. This indicates the gold-bearing potential of the Fernet Project. Mineralization hosted on adjacent and/or nearby properties is not necessarily indicative of mineralization hosted on the Fernet Project. The Acquisition will be carried out in accordance with the terms of an option agreement (the "Option Agreement") between the Company and the vendor of the Fernet Project (the "Vendor") dated July 5, 2020, pursuant to which the Company will acquire a 100% interest in the Fernet Project, in consideration of: the Company will pay the sum of $82,000 to the Vendor over a period of three (3) years from the closing date of the Acquisition; issue to the Vendor an aggregate of 500,000 common shares in the capital of the Company, to be issued in several tranches; and grant to the Vendor a 3% net smelter returns royalty ("NSR") (subject to the right and option of the Company to purchase 1% of the NSR for a price equal to $1,000,000). The completion of the Acquisition remains subject to the approval of the TSX Venture Exchange ("TSXV").
QcX Gold Corp. is a Canada-based junior mining company, which is engaged in exploring for gold and volcanic massive sulphide (VMS) style mineralization on its properties in Quebec, Canada. The Company is engaged principally in the acquisition, exploration, and development of mineral properties. Its projects include Golden Giant Property and Fernet Property. Golden Giant Project is located in the James Bay region of Quebec. The project comprises of two properties such as Golden Giant East, covering an area of 3,377 hectares, and Golden Giant West, which covers an area of 5,488 hectares. The Fernet Property is located in northwestern Quebec. The project covers an area of approximately 4,480 hectares, in the northern Abitibi region of Quebec. The Company also owns interest in the Kali project, located in the James Bay lowlands area of Quebec. The project consists of multiple prospective land parcels covering approximately 10,074 hectares.
QCX GOLD CORP. 