Breakwater acquires two new properties

By spending $1 million on exploration over the next 10 years, Breakwater Resources (TSE) has the option to earn a 70% interest in 35 claims within the Blake River group of volcanic rocks that host the producing gold mines of Doyon, Thompson-Bousquet, and Dumagami. The group of claims, known as the Mouskor property, is about 30 km east of Rouyn, Que. On top of the exploration expenditures, Breakwater will be required to pay property-owner Muuskor Inc. $5,000 a year. Once Breakwater has earned its 70% interest, the parties will form a joint venture to complete further work.

In Ontario, Breakwater will pay $1,875 initially as well as advance royalty payments of $37,000 by March, 1992, for a 100% interest in 51 claims known as the Onoman property. The property, 50 km north of Beardmore, Ont., hosts volcanogenic zinc-lead-copper-gold-silver mineralization. As part of the deal, Breakwater must meet property assessment requirements on some of the claims and take certain of the key claims to lease. The acquisition will be subject to a 3% net smelter royalty.