The Company has a 100% interest in the RALLEAU Property, located within the Abitibi Greenstone Belt in Quebec, approximately 40 km east of Lebel-Sur-QuÃ©villon, Quebec. It covers a favorable area of Volcanogenic Massive Sulfide (VMS) mineralization approximately 20km southeast of the NYRSTAR's producing Langlois mine hosting reserves and resources of 8.3 MT of 11%Zn, 0.8%Cu and 53 g/t Ag (Breakwater 2004 annual report) - http://www.nyrstar.com/operations/Pages/mining.aspx. Previous owner Breakwater Resources Ltd. was acquired by Nyrstar N.V. (http://www.nyrstar.com) in a friendly, $663 million all-cash take over in August 2011. Previous mapping and sampling identified anomalous Cu-Zn VMS style mineralization and alteration on the property. Several untested airborne input geophysical anomalies within the favorable felsic volcanic rocks are coincident with anomalous base metal values that have been returned in surface sampling. Chip sample results elsewhere in the region returned values up to 1.56% Cu, 17.2 g/t Ag over 14 meters.
The 2006 Drill program by Megastar, which consisted of five diamond drill holes for a total of 1,545.7 metres, resulted in discovery of significant intersection of a massive Sulfide environment. Drilling tested coincident Magnetic, DeepEM conductors and favorable geology. Dr. Mathieu PichÃ¨, Ph. D, Geo. an independent qualified person, completed the core logging and sampling as well as the assessment report. All EM conductors are explained; while no economic Au, Ag, Cu or Zn mineralization was found in the assayed samples, local anomalous values correspond to the geochemical alteration. Geochemical data was used by Dr. PichÃ¨ to characterize the rock types as well as their alteration type and intensity.
The whole rock analyses show Na2O depletion in the footwall. Several samples have strong K2O enrichment within the hanging wall, which is typically seen associated with many Abitibi VMS Deposits. In addition, DDH MAR-06-01 crossed a significant zone of sericitized rhyolite, also considered a key element in VMS exploration. The company has therefore added a total of 17 claims to the east of this hole where the strong sericite alteration potentially intensifies. Dr. PichÃ¨ states that The Ralleau Property rocks could therefore have been affected by carbonate, K feldspar and sericite minerals dominated alterations. Such alterations affecting intermediate to felsic calc-alkaline volcanic rocks is found in the host rocks of the Selbaie VMS to epithermal base metals deposit of Quebec, northwestern portion of the Abitibi Greenstone Belt (PichÃ¨, in press.). It is also a major feature of Mattabi type VMS deposits (Morton and Franklin, 1987).
From 2006 to 2010, the Company has completed the following exploration work in a number of successive programs:
On February 28, 2011 the Company announced receipt of NI 43-101 compliant technical report summarizing the results of work to date on the Ralleau Project from MRB & Associates of Val-d'Or, Quebec. MRB's report recommends a two-phase $1.75M exploration program consisting of further target delineation and definition, followed by diamond drilling. The Company is assessing its options and the property and seeking joint venture opportunities.
On July 10, 2015 the Company received a NI 43-101 compliant technical report summarizing the results of the 2014/2015-field work program on the Ralleau Property from Roger Moar, B.Sc., OGQ (No 733). Mr. Moar was retained to conduct a geological mapping and a lithogeochemical sampling program on the Ralleau property. The NI 43-101 technical report recommends further, 3 - Phase, $388,765 work program as follows:
Phase I ($45,580) - To extend the lithogeochemical and mapping program over the eastern portion of the Ralleau property covering an area approximately 8 km2. It is also recommended to include immobile incompatible elements (Zr, Y, Nb and REE (Rare Earth Elements) in the analytical data in order to establish geochemical affinities and define precursor volcanic rock type. These elements are generally considered immobile during hydrothermal alteration and metamorphism. The objective of Phase I will be to delineate prospective alteration zones associated with electromagnetic anomalies outlined by the helicopter-borne VTEM survey.
Phase II ($66,220) - Based on positive results generated from the Phase I, a Pulse-EM survey is recommended as follow-up to the lithogeochemical sampling program.
Phase III ($276,965) - The third phase of the proposed exploration program is conditional on positive results generated from Phase II. It comprises a 1 500 m diamond-drilling program to test high-priority targets delineated by the Pulse-EM survey.
The Ralleau Property comprises 59 contiguous mineral claims covering 3,323.85 hectares.
On April 5, 2017, the Company entered into an option agreement with Deeprock Minerals Inc. (“optionee”) on the Company’s wholly-owned Ralleau Property. Under the terms of the option agreement, the optionee will be deemed to have exercised its option to acquire a 50% interest in the property by cash payments of $100,000, issuance of 750,000 common shares, and incurring Exploration Expenditures of $250,000.
On September 11, 2017, the optionee changed its share capital structure by 1:2 forward split. Consequently, the 750,000 common shares to be issued to the Company will be prorated proportionally, aligning with the split.
On March 15, 2018, the Company and the optionee amended the terms of the option agreement for the Ralleau Property. Under the amended agreement, the Company will receive 1,700,000 post-split (850,000 pre-split) common shares instead of 1,500,000 post-split (750,000 pre-split) common shares.
On June 30, 2018, the Company and the optionee entered the second amendment agreement to amend the terms of the option agreement for the Ralleau Property. Under the second amended agreement, the Company will receive 600,000 post-split common shares, which is due on the earlier of August 31, 2018 and the date the optionee’s common shares are listed and begin trading on the Canadian Securities Exchange (“exchange listing date”). Moreover, the total exploration expenditure of $25,000 is due on or before October 31, 2018 in lieu of June 15, 2018 under the first amended agreement. As a result of the amendments, the optionee is required to fulfill the following terms:
(a) Cash payment of $100,000 and issuance of 1,700,000 post-split common shares as follows:
(b) Exploration expenditures of $250,000 on the Property as follows:
May 31, 2018
Feb. 28, 2018
November 30, 2017
August 31, 2017
May 31, 2017
Feb. 28, 2017
November 30, 2016
August 31, 2016
May 31, 2016
Feb. 29, 2016
November 30, 2015
August 31, 2015
May 31, 2015
Feb. 28, 2015
November 30, 2014
August 31, 2014
May 31, 2014
Feb. 28, 2014
November 30, 2013
August 31, 2013
May 31, 2013
February 28, 2013
November 30, 2012
August 31, 2012
May 31, 2012
Feb. 29, 2012