The Joy property sits in one of British Columbia’s most likely places to find a porphyry or epithermal deposit. (Credit: Amarc Resources)
BRITISH COLUMBIA – Vancouver-based Amarc Resources has agreed to option its Joy copper-gold property to Toronto’s Hudbay Minerals. Hudbay made a similar deal for Amarc’s Ike copper-molybdenum property last month.
Under stage one of the agreement, Hudbay can earn a 49% interest in the Joy property located 25 km north of the Kemess South mine site by making staged payments totaling $15 million before Dec. 31, 2020. This year’s commitment is $1.9 million. Stage two allows Hudbay to earn an additional 1% if spending to the end of 2020 totals $20 million. Amarc will be the operator during stage one and two.
The agreement also contains a provision to form a joint venture when Hudbay has acquired a 49% interest. Alternately, if Hudbay earns its 50% interest, it can become operator of the project and earn an extra 10%, bringing its interest to 60%.
Earlier prospectors took surface samples from the Joy property, but no drilling has been done. Amarc considers the targets at Joy are the northern extension of the Kemess porphyry copper-gold district. The company believes the a geochemical anomaly on the property points toward a large, shallow deposit.
Further information about the Joy property is contained in the corporate presentation posted at www.AmarcResources.com.