- VR Resources (TSXV:VRR) has completed its previously announced acquisition of the Hecla-Kilmer property in northern Ontario
- Under the terms of the deal, first announced on July 15, the company has paid an initial C$15,000 and issued a total of 75,000 common shares to the vendors
- The property consists of 80 mineral claims within one contagious block over 1,649 hectares, and sits near the company’s existing Ranoke property
- An exploration program is expected to begin immediately, and will include an airborne electromagnetic survey over the coming weeks
- VR Resources (VRR) is down 1.75 per cent and is trading at 28 cents per share
VR Resources (TSXV:VRR) has completed its previously announced acquisition of the Hecla-Kilmer property (HK) in northern Ontario.
Under the terms of a binding deal announced on July 15 this year, the company has paid an initial C$15,000 in cash and issued a total of 75,000 common shares to the vendors of the property.
In addition, the vendors have been granted a net smelter return royalty on the property of three per cent.
Consisting of 80 mineral claims within one contagious block over 1,649 hectares, the Hecla-Kilmer property sits roughly 35 kilometres southwest of the company’s existing Ranoke property.
Both the Hecla-Kilmer and Ranoke properties are located on substantial magnetic anomalies that extend along the western edge of the Kapuskasing Structural Zone.
To date, there have been no exploration or drilling efforts undertaken for copper-gold breccia systems at the Hecla-Kilmer property, presenting a significant opportunity for VR Resources.
With the acquisition now complete, the company intends to immediately launch an exploration program.
This is expected to include an airborne electromagnetic survey designed to identify a magnetite-copper-gold-fluorite hydrothermal breccia body within a largely untested polyphase complex.
Michael Gunning, CEO of VR Resources, noted that the Hecler-Kilmer property has been on the company’s radar for the last two years.
“The vendors of this acquisition brought HK to our specific attention three months ago, and deserve full credit for their instincts and conviction to find and re-examine a rubble pile of drill core that had been in the bush since 1971 and be the first to discover the presence of gold at HK,” he said.
Michael also added that the company has an existing regional database from its work at Ranoke, which it plans to integrate with the results of the proposed airborne survey.
VR Resources (VRR) is down 1.75 per cent and is trading at 28 cents per share at 11:19am EDT.