Canadian Mining Journal

News

GOLD: Barrick, Premier strike deal for McCoy-Cove and Rye properties



NEVADA – Barrick Gold of Toronto and Premier Gold of Thunder Bay, Ont., have entered into an exploration and development deal for two properties in this state.

The McCoy-Cove gold property that will be a joint venture of Premier Gold and Barrick. (Image: Premier Gold)

Barrick can earn a 60% interest in the McCoy-Cove property by spending US$22.5 million on exploration before the end of June, 2011. Premier will retain 100% ownership of the Cove deposit including the high grade Helen, 2201 and CSD-CSD Gap deposits. A 120,000-tonne bulk sample from the joint venture will be processed by Barrick.

Premier has also been given an option to acquire all of Barrick’s Rye vein property, subject to a back-in right by Barrick. Premier has agreed to spend US$3.0 million by the end of 2019 at Rye, which adjoins the company’s Goldbanks property option.

Details of the agreement can be found at www.PremierGold.com.