ONTARIO – Pure Gold Mining of Vancouver has bought 100% of the Derlak gold property from Orefinders Resources in a cash and share deal. Pure Gold will pay $500,000 and issue 1.29 million common shares to Orefinders.
Map showing the location of the Derlak claims.
The Derlak claims fill a gap in Pure Gold’s Madsen gold project about 15 km west of Red Lake. The Madsen land package now covers 47 km2 and includes the key structural break that hosts the past-producing Howey, Hasaga, Buffalo, Madsen and Staratt Olsen gold mines.
Pure Gold says the purchase helps secure a long life for the Madsen project. The projected upper limit of the Madsen mineralization crosses the Derlak acquisition boundary at roughly 1.2 km below surface, and the projected lower limit crosses it at 2.2 km.
The closing of the transaction is expected in March 2017. For a long section showing Austin horizon relative to the property acquisition, click here.