Toronto-based International Larder Minerals (LRDR-C) has entered an agreement with Prospectors Alliance (PALL-C) to acquire an interest in the Alder Pond base metals project in Maine.
To acquire a half interest from BHP Minerals International, Prospectors Alliance (PAL) must pay US$3.5 million by June 30, 2000. The deal requires that an initial payment of US$500,000 be made early next year, with the remainder generated from production.
PAL is negotiating to acquire the remaining half interest, which is held by GCO Minerals, a unit of International Paper Co.
As a result of the joint-venture deal, Larder can earn 50% of PAL’s interest by spending US$300,000 on exploration and contributing its milling assets to the operation. The mill, which includes a 650-ton-per-day flotation circuit, is in East Broughton, Que., 85 miles west of Alder Pond.
Previous work outlined a drill-indicated, near-surface reserve of 1.4 million tons grading 13.3% zinc, 0.8% lead and 2.7% copper in two separate massive sulphide zones. The Main zone, which is near the surface, contains a high-grade core of 473,000 tons grading 18.5% zinc, 1% lead and 3.5% copper.
Larder and PAL plan to carry out diamond drilling to confirm present reserves and delineate the deposit further, placing particular emphasis on the undefined upper limits. The companies report that potential exists to expand the near-surface reserves along strike.
Be the first to comment on "Larder eyes base-metal project in Maine"