Business
PJX Resources Signs Letter of Intent with DLP Resources (MG Capital) to Option up to 75% Of DD Property
TORONTO, ON / ACCESSWIRE / June 22, 2020 / PJX Resources Inc. (TSXV:PJX) ("PJX") and DLP Res...
About this update from Pjx Resources Inc.
[{"type":"text","content":"PJX Resources Signs Letter of Intent with DLP Resources (MG Capital) to Option up to 75% Of DD PropertyTORONTO, ON / ACCESSWIRE / June 22, 2020 / PJX Resources Inc. (TSXV:PJX) (\"PJX\") and DLP Resources Inc. (\"DLP\"), the wholly owned subsidiary of MG Capital Corporation, are pleased to announce the signing of a Letter of Intent (\"LOI\") to finalize a definitive Option Agreement in relation to PJX's Sullivan-type Lead Zinc Silver DD Property (or the \"Property\" ) by July 2, 2020.The DD Property has potential to host a high-grade Sullivan style deposit that is located near Cranbrook, British Columbia, Canada. The Sullivan Deposit occurs at a geological horizon called the Lower-Middle Aldridge Contact or \"LMC\" horizon. A 1425 metre sub-vertical hole (PAN-18-01) to test a Magnetotelluric (MT) geophysical anomaly stopped short of the LMC horizon.PJX and DLP believe there is an opportunity to drill this hole to a greater depth and locate the LMC zone and potential Sullivan style mineralization.The key terms of the Letter of Intent \"LOI\" are:DLP to earn a 50% undivided interest in the DD Property by spending $4 million in exploration expenditures and making a total of $250,000 cash payments to PJX over 48 months of the effective date of the agreement.DLP will have the right to earn an additional undivided 25% interest (75% total interest) by delivering a bankable commercial feasibility study on the Property within 96 months of the effective date of the agreement.Upon DLP's exercise of the Option and acquisition of a 50% or 75% interest in the Property, as applicable, the parties will enter into a joint venture agreement for the further development of the Property.Ian Gendall, President of DLP commented \"The geology and Sullivan type deposit potential make the DD Property very attractive. No holes have tested the LMC horizon on the Property and the historic holes drilled to test the LMC horizon in vicinity of the DD Property have encountered geology that supports the potential for a Sullivan Type Deposit. The thickness, alteration, and mineralization of the LMC horizon increases and is strongest in historic holes drilled closest to the DD Property. This points to the DD Property as the location with the best potential to host a Sullivan Type deposit in the Panda geological basin\".Ian further commented \"Our key advantages are...