La Sarre Mining arranges financing

A flow-through share financing worth $600,000 is being finalized by La Sarre Mining Exploration (ME) with Valeurs Mobilieres S.M.C. of Quebec. The proceeds will be used to finance an exploration program currently under way on the La Sarre’s Manicouagan base metal property, north of Sept-Iles, Que. Last month, the company completed another $300,000 flow- through financing with a group of private investors from Rouyn- Noranda, Que. In that deal, La Sarre issued 1.5 million flow- through shares at 20 cents per share. Proceeds also went to finance exploration work on the Manicouagan property.

Elsewhere, La Sarre has signed a letter of intent with Geoconseils Jack Stock to acquire an option on 25 mining claims in Dasserat Twp., Que. The option has a 5-year term and calls for cash payments of $80,000 along with 350,000 treasury shares of La Sarre. A $200,000 exploration program of geological mapping and geophysics is planned for the Dasserat gold property. The claims adjoin the Monarch gold prospect acquired by La Sarre in May, 1990.

The company also says it has reached a $7,000 out of court settlement with a private individual who launched a $305,806 lawsuit against La Sarre in 1988 for alleged damages to trees during an exploration program in northwestern Quebec.

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