The mining newspaper for Alaska and Canada's North
The mining newspaper for Alaska and Canada's North
Independence Gold Corp. July 5 reported signing an option agreement with Taku Gold Corp. to acquire the Rosebute property in the White Gold district of the Yukon.
This 14,387-hectare (35,551 acres) property hosts two gold discoveries known as the Norwest and Hudbay zones.
The Norwest zone - located in the northern portion of the 14,387-hectare (35,550 acres) property - is defined by three gold-in-soil anomalies within a roughly 2,000 meter diameter.
One hole drilled in 2012 cut 22.6 meters averaging one gram per metric ton gold.
Located 3,000 meters southwest of Norwest, the Hudbay zone consists of three known north trending gold-in-soil anomalies.
The southern end of Hudbay is especially robust, hosting an area roughly 500 by 350 meters with soil sample values typically greater than 60 parts per billion gold.
Trenching here in 2012 encountered 6.2 g/t gold over five meters; and 1.5 g/t gold over 20 meters.
Located 58 kilometers (36 miles) south of Dawson City, Rosebute lies immediately west of Independence Gold's Henderson property.
The company has identified two drill targets at fault intersections underlying areas with high concentrations of coarse gold at the southern end of Rosebute.
Independence can acquire a 75 percent interest in Rosebute by making staged cash payments totaling C$295,000; issuing Taku 1 million Independence shares; and investing C$2 million on exploration over a three-year period.
Upon completion of the 75 percent earn-in, Taku will have the right to elect to participate as a 25 percent joint venture partner, or elect to sell the remaining interest to Independence for C$500,000 and an additional 1 million Independence shares.
If Taku elects to sell, it would retain a 1 percent net smelter royalty on the property, with Independence having the right to buyback half of the royalty for C$500,000.
In addition, Rosebute is subject to a 2 percent underlying royalty, with the right to purchase 1 percent for C$2 million.
Over his more than 16 years of covering mining and mineral exploration, Shane has become renowned for his ability to report on the sector in a way that is technically sound enough to inform industry insiders while being easy to understand by a wider audience.
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