Noble Mineral Exploration has executed an agreement with MacDonald Mines Exploration Ltd. to purchase all of MacDonald’s interest in the Holdsworth gold property, located 25 kilometres northeast of Wawa, Ontario in Corbiere and Esquega Townships.
The media release explains that as payment for the Property, Noble will issue to MacDonald 4,000,000 common shares (the “Shares”) of Noble, as well as 2,000,000 warrants expiring 3 years after issuance and exercisable at $0.15 per common share of Noble. Noble and MacDonald have agreed that the Shares are valued at $0.07 per Share. Noble’s common shares closed at $0.09 on August 21, 2020. The Shares and the Warrants will be subject to a 4 month hold period.
The Property was held by Noble until it was sold to MacDonald in transactions completed in 2016 and 2017. Noble’s repurchase of the Property remains subject to TSX Venture Exchange approval.
Vance White President and CEO of Noble said “We are pleased to have reacquired this project to add to our gold holdings portfolio in light of the work carried out by MacDonald and the discovery of a new shear zone which will need additional follow up. Also, we have recently taken ~450kg samples of the Oxide Sands on the Property from various pits and trenches, which have returned assay results for Gold (Au) of 3.42-7.93g/t and 15.0 – 73.9 g/t for Silver(Ag). One 25kg. sample has been sent out for testing to a facility in Montreal to determine if it can be converted to a concentrate from which the gold and silver can be recovered. If the testing is determined positive and with gold prices at a current ~Cdn$2,500/oz, the Holdsworth Oxide Sands property may prove to be a near term source of cash flow.”