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Fremont Gold Acquires Option on Gold Canyon Property in Eureka County Nevada
Vancouver, British Columbia--(Newsfile Corp. - January 16, 2018) - Fremont Gold Ltd. (TSXV: FR...
About this update from Hayasa Metals Inc.
[{"type":"text","content":"Fremont Gold Acquires Option on Gold Canyon Property in Eureka County NevadaVancouver, British Columbia--(Newsfile Corp. - January 16, 2018) - Fremont Gold Ltd. (TSXV: FRE) (OTC Pink: USTDF) (the \"Company\") is pleased to announce that it has entered into an option agreement with Ely Gold Royalties Inc. and its wholly-owned subsidiary Nevada Select Royalty, Inc. (\"NSR\" also the \"Optionor\"), to acquire the Gold Canyon Property (the \"Property\"), consisting of 26 unpatented lode mining claims covering approximately 460 acres situated in Eureka Country, Nevada.Gold Canyon is part of the original Gold Bar mining complex operated by Atlas Precious Metals Inc. (“Atlas”) from 1986-94, with historic production of 41,000 oz from the Gold Canyon pit (out of a total 588,000 oz from the entire Gold Bar complex) 1.Located only 900m NW of McEwen Mining Inc’s (“McEwen”) Gold Ridge ore body, part of McEwen’s new Gold Bar mine development – scheduled to produce 65,000 oz/annum for eight years starting in the first quarter of 20192.Gold Canyon along with the pits that make up McEwen’s new Gold Bar development were formerly satellite pits to the original Gold Bar mine, which lies 5kms SW and is controlled by Fremont.Mineralization at Gold Canyon is controlled by a northeast trending high angle feeder structure.  Recent Nevada Select Royalty (“NSR”) rock chip sampling of this structure from the NE end of the pit returned values of up to 9.15 g/t Au3.The feeder structure can be traced to the northeast to the Northwest Gold Ridge target, also controlled by Fremont and identified by Atlas in a 1997 report1 (see figure below).Atlas drilled one hole just northeast of the Gold Canyon pit; Hole 100-45 returned 60 feet grading 0.112 oz/ton (18.3m @ 3.48 g/t Au)Under the terms of the option agreement, the Company can earn a 100% interest in the Property by making payments totalling US$802,500 as follows: an initial payment of US$15,000, a US$37,500 payment in June 2018, a US$75,000 payment in December 2018, a US$112,500 payment in December 2019, a US$112,500 payment in December 2020, a US$150,000 payment in December 2021, and a final payment of US$300,000 in December 2022. The Company can accelerate the exercise of the option and acquire the Property at any time by making all p...