Damara Gold Corp. (TSXV:DMR) has entered into purchase agreement to acquire a 100% undivided interest in 203 map designated mineral exploration claims covering approximately 9,675 hectares located in the Labrador Trough region of Quebec, known as the Vanlab Property.
The Vanlab Property
The VanLab property covers a portion of the Labrador trough approximately 200 km northwest of Schefferville. Historical public data obtained from the files of the Ministère de l’Énergie et des Ressources naturelles-Québec indicates the presence of various minerals. The main potential interest includes vanadium, copper, cobalt and scandium. One historical sample reported six per cent Vanadium (showing Surprise 2, GM41311). The result from this sample has not been independently verified by Vanlab.
The entire claim block has been surveyed by modern airborne electromagnetics, magnetics and radiometrics. Vanlab obtained this public data from the ministry files and reprocessed it to identify specific targets for a 2023 field programme. The primary exploration focus will be vanadium, copper and cobalt.
The Purchase Agreeme
Subject to TSX Exchange approval, Damara will acquire the Sellers’ 100% interest in and to the Vanlab Property in exchange for the following consideration:
(a) the issuance by the Damara to the Sellers on within five business days of Exchange approval an aggregate of 4,000,000 units (each a “Unit”). Each Unit shall be comprised of one common sharein the capital of Damara and one non-transferable share purchase warrant.Each Warrant shall entitle the Sellers to acquire one additional common share in the capital of Damara.
(b) the Damara will grant to the Seller of a two per cent net smelter return royalty (NSR Royalty) on Closing.
Pursuant to the terms of the Purchase Agreement the Sellers may be entitled to a 0.5% net smelter return royalty in any interest Damara acquires in additional claims within an area of interest of the Vanlab Property.
For further information please visit: https://www.damaragoldcorp.com
