Breaking News : Puma Exploration and Trevali Mining Corporation enter into Strategic Development and Exploration Alliance
On March 2nd 2018, Puma Exploration and Trevali Mining Corporation (TV-TSX) has signed a non-binding Letter of Intent (LOI) setting the terms of a Strategic Alliance for the development of the Murray Brook Deposit (ML 252) and the exploration of combined mining properties in the Restigouche–Armstrong Belt region of New Brunswick.
LOI highlights :
Development of the Murray Brook Deposit
- Trevali will provide up to 7.5 million dollars funding to finalize the acquisition of the Murray Brook Deposit by Puma within the timeframe negotiated with Votorantim Metals Canada Inc. (“VMC”) and El Nino Ventures Inc. (“ELN”) and to repay the $2.0 million loan received by Puma (see news release February 26th, 2018);
- Following the acquisition by Puma of the VMC and ELN interest, the Murray Brook Deposit (ML252) shall be owned by TV and PUMA on a 75% and 25% basis respectively;
- Trevali brings to the Strategic Alliance its expertise in advanced stage project management, with a proven track record of efficiently moving assets from exploration, through permitting and development, to production;
- Once mine planning and operational requirements are concluded, the aim would be to move the Murray Brook Deposit to a production decision in a timely manner and tentatively to production in a two to three-year range.
Strategic Exploration Alliance
- The Strategic Exploration Alliance between Trevali and Puma covers all existing claims held by both companies in the Murray Brook Project area as well as any new claims in the Restigouche–Armstrong Belt region covering more than 32,000 hectares of prospective land in the northern boundary of the Bathurst Mining Camp;
- The Alliance includes six (6) properties for a total of 391 claim units (8,987 hectares) with the initial ownership set at 51% for Trevali and 49% for Puma;
- Through this Alliance, Puma gains access to four (4) new properties (1,286 ha.) all 100% previously held by Trevali.
Concurrent Private Placement
- In connection with the signature of the LOI, Puma and Trevali also entered into a subscription agreement pursuant to which Trevali agreed to subscribe for CDN$500,000 worth of units in the capital of Puma. Each Unit shall be offered at a price of $0.09 and will consist of one common share and one-half of a warrant. The Warrants will be fully transferrable, for a three year term and the exercise price will be $0.12.
Sustainable Mining Exploration
New Brunswick is a province rich in natural resources, qualifying as the seventh best place in the world for mineral exploration by the Fraser Institute in 2014. Puma Exploration projects are located nearby and inside the famous Bathurst Mining Camp (BMC).
Puma Exploration has become a major player in mineral exploration in New Brunswick through the acquisition of a diversified portfolio of mining properties. In 2014, the Company was honored to receive the Prospector of the Year award from The New Brunswick Prospectors and Developers Association. The Corporation benefits from the proximity of several infrastructures: In addition to the structured road network bordering its projects, a major seaport, the one of Belledune, is located near the city of Bathurst.
In addition to its portfolio of mineral properties in New Brunswick, Puma Exploration has an equity interest in BWR Exploration (BWR: TSX-V) following the Little Stull Lake (Manitoba) gold property transaction.
Flagship Project - Murray Brook
❖ A preliminary economic assessment (PEA) was obtained on the Murray Brook deposit in July 2013 by Votorantim Metals Canada Inc. A copy of the PEA was filed on SEDAR by El Nino Ventures Inc. Puma Exploration plans to update the PEA in the first half of 2018.
❖ The Murray Brook deposit contains historical resources of 1 billion pounds (lbs) of zinc, 183 million lbs of copper, 390 million lbs of lead, 23.9 million ounces (“oz”) of silver and 338,000 oz. of gold within historical Measured and Indicated Resources of 17,884,000 tons @ 2.73% Zn, 0.47% Cu, 0.99% Pb, 41.7 grams per ton (“g/t Ag”) and 0.59 g/T Au.
❖ Preliminary metallurgical tests indicated recoveries of up to 88% zinc.
❖ Gravity and soil geochemical targets exist along strike from the Murray Brook deposit and there are high priority drill-ready targets in favorable stratigraphy and along strike from the nearby Caribou Mine within Mineral Claim Block 4925.