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Sparton Resources Inc. Announces Company Doubles Size of Claim Area Near Sir Harry Oakes Gold Property in Ontario
TORONTO, Feb. 11, 2020 (GLOBE NEWSWIRE) -- Sparton Resources Inc. (TSXV.SRI) ("Sparton" or the "Company") announced today that it has acquired an additional fou
About this update from Sparton Resources Inc.
[{"type":"text","content":" TORONTO, Feb. 11, 2020 (GLOBE NEWSWIRE) -- Sparton Resources Inc. (TSXV.SRI) (\"Sparton\" or the \"Company\") announced today that it has acquired an additional fourteen (14) mining claim units (the “Claims”) adjacent to and nearby the 3 former Sir Harry Oakes Mining Leases (the “Leases”) held under option in the Matachewan gold mining area of northern Ontario. Sir Harry Oakes is one of Canada’s most successful mining figures, who originally acquired claims central to this land package in the 1930s. See Sparton News release dated September 25, 2019. CLAIM PURCHASE AGREEMENTS Sparton has executed Purchase Agreements with two owners to acquire a 100% interest in the 14 claim units. This increases the total size of the property held by Sparton in the area to approximately 600 hectares or 1500 acres. For the purchases on closing Sparton will pay a total of 2,000,000 common shares of the Company as to 1,000,000 shares to each of the owners. In addition, each owner will be eligible to receive a 2% Net Smelter Return Production Royalty from any production on their vended claims and 50% of this royalty may be purchased by the Company at any time for the sum of USD$2.5 million dollars. One claim owner will be reimbursed exploration expenses of approximately $6,850 spent on its claims which include a portion of the aero-magnetic survey. TECHNICAL INFORMATION Five of the Claims are contiguous to the three Oakes Leases and others adjoin the 14 claim units staked earlier by Sparton in the same general area. The others cover the interpreted strike extension of the zone tested by the Oakes shaft and the drill holes completed there. Other claims cover favourable host rocks such as “syenite porphyry” that host mineralization on the Leases and also at the nearby Young Davidson Gold Mine. All the Claims are accessible from Ontario Highway 566 and four of them have been covered by the drone supported aero-magnetic survey completed over the leases in late 2019. A distinct magnetic anomaly is associated with the Oakes zone and extends onto the newly acquired adjacent Claims. The technical information reviewed to date indicates that limited detailed exploration has been carried out on the new Claims. SUMMARY “Sparton has strategically acquired these new claims to eliminate fragmented ownership of any di...