An agreement that settles all of the litigation surrounding the Aur Resources (TSE), Societe Miniere Louvem (TSE) massive sulphide discovery, was expected to close three days behind schedule, Sept. 27. At presstime, a spokesman for Aur said closing of the deal had been held up while Louvem and parent St. Genevieve Resources (TSE) awaited approval from the Montreal Exchange.
Under the agreement, Aur and Louvem will proceed as 55%, 45% joint venture partners (respectively) on the Louvicourt property, east of Val d’Or, Que., where potential reserves stand at 36 million tons of grade 3.11% copper and 1.34% zinc per ton.
As owner of a 22.7% stake in Louvem, Noranda Minerals, a unit of Noranda (TSE), can purchase Louvem’s share of concentrates from any future mining operation. Noranda also has the right, under the agreement, of first refusal on Aur’s share of Louvicourt concentrates.
After agreeing to pay Louvem $1 million and drop all of the litigation surrounding the property, Aur will continue as project operator after surface drilling is completed and underground exploration begins.
Aur is currently completing an infill drilling program on the property and results are expected to be released next month.
Meanwhile, a spokesman for St. Genevieve indicated that Louvem will spin out all of its assets, with the exception of the Louvicourt discovery into a separate company.
Be the first to comment on "Aur, Louvem await exchange approval"