Arrow options four nickel-copper properties in Atikokan

Canadian Arrow Mines (CRO-V) has signed options agreements to acquire four nickel-copper properties in northwestern Ontario’s Atikokan area.

Arrow signed two different agreements to acquire a 100% interest in the Chief Peter Lake property and a 100% interest in the Eva Lake property, the Kawene property and the Abiwin property.

The properties are in areas that contain a number of historical nickel, copper and platinum group metals (PGMs) showings.

After the announcement, Arrow shares rose 18% to about 32 .

There are three ultramafic intrusions with trench samples of 2.2% copper, 0.5% nickel and 2.1 grams PGMs per tonne.

Eva Lake has an ultramafic intrusion with known surface showings and grab samples assaying 1.29% copper, 0.39% nickel and 2.1 grams pgm per tonne.

The company says that Kawene and Abiwin both host ultramafic intrusions with surface showings comparable to Eva Lake and Chief Peter Lake, though no numbers were released.

None of the properties have been evaluated with significant diamond drill programs, nor have they been explored with modern geophysical survey methods.

“The addition of these properties into our exploration portfolio is consistent with our corporate strategy and are suitable complements to our existing Kenbridge nickel deposit and Denmark Lake property,” said Arrow’s vice-president of exploration, Dean MacEachern, in a statement.

MacEachern also noted that the proximity of the new projects to existing infrastructure and to the Kenbridge project near Kenora, Ont., which will allow the company to quickly evaluate the nickel sulphide potential of these projects.

Arrow also has a few projects in Ontario’s Abitibi region near Timmins.

To earn its interest in the Chief Peter Lake property Arrow must make payments of $75,000 and 120,000 shares over a 3-year period. The company also must spend $136,000 on exploration expenditures over a 4-year period.

Under its agreement for Eva Lake, Kawene and Abiwin require Arrow to pay $60,000 and 62,500 shares over three years as well as spend $52,000 in exploration over four years.

Once the company exercises the option, the vendors will retain a 2% net smelter return royalty on the properties.