Halifax-based Zonte Metals (TSX-V: ZON) announced today it has signed an option agreement to acquire 100% of the Cross Hills iron oxide copper-gold project, on the island portion of Newfoundland and Labrador in Canada’s Atlantic region.
The property is comprised of 327 claims covering 8,175 hectares including 90 claims optioned from the property vendor and an additional 237 claims map staked by Zonte.
“Historically, this project has been explored for a number of elements including rare earths and uranium as well as for its iron oxide copper-gold potential, however, all historic programs were limited in scope. Zonte plans to conduct a focused program followed by drilling as targets are defined. Exploration is expected to start shortly in the form a ground magnetic survey over portions of the project,” the miner’s President and CEO, Terry Christopher, said in a press release.
When examining the site, company experts collected samples where copper mineralization in the form of bornite was observed in magnetite veins within an area of about 270m by 100m. A few kilometres to the south, in the Carols Hat area, copper and uranium mineralization was also sampled.
If approved by the TSX Venture Exchange, the acquisition agreement entered into between Zonte and the property vendor would grant the Canadian junior the option to purchase a 100% interest in the project by making payments of $55,000 and issuing 1.5 million common shares over four years.
Zonte said it has also signed an option agreement to acquire 100% of the McConnells Jest project, in the Tintina Gold Belt, located in the Yukon Territory, which is composed of 172 claims totaling approximately 3,371 hectares.