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Blue Thunder Mining (TSXV: BLUE) and O3 Mining (TSX-V:OIII) have signed a definitive agreement that allows Blue Thunder to acquire 100% interest in O3’s Fancamp and Embry gold properties in Quebec.
In a press release, the miners said that to go ahead with the deal, Blue has to issue 4.5 million common shares to O3 and grant a 2% net smelter return royalty to O3 over the properties, subject to Blue having the option to buy-down to a 1% NSR for C$750,000 at any time.
The acquisition positions Blue Thunder as the largest exploration landholder in the Chibougamau gold district
“The signing of the agreement is an exciting milestone for the company and enhances Blue Thunder’s strategy of consolidating prospective ground along strike from known gold deposits, focused in the Chibougamau gold district,” Robert Cinits, the buyer’s CEO, said in the media brief. “With this acquisition, Blue Thunder now holds approximately 51,000 hectares of exploration ground.”
The Fancamp gold property comprises 37 contiguous mining claims covering an area of approximately 1,895 hectares. It is located about 55 kilometres southwest of the town of Chibougamau and is strategically situated between Blue’s Muus and Muus East properties.
The Embry property, on the other hand, is an early-stage exploration project, approximately 17 kilometres north of Fancamp and 25 kilometres southwest of Chibougamau, comprising 12 contiguous mining claims covering approximately 668 hectares.
