N.A. Tungsten expands its base of mineral assets

Vancouver-based North American Tungsten (NTC-V) can acquire the tungsten assets formerly held by Canada Tungsten, which was recently merged with Aur Resources (AUR-T).

These assets include:

* the former producing CanTung mine, mill and town site in the Northwest Territories, where reserves stand at 694,000 tonnes grading 1.82% tungsten oxide;

* the MacTung property, about 177 km north of CanTung, which hosts scheelite tungsten open-pit reserves of 17.2 million tonnes grading 0.78% tungsten oxide, as well as underground reserves of 6.1 million tonnes averaging 1.16% tungsten oxide;

* the former-producing Hemerdon property near Plymouth, England, which hosts 73 million tonnes of low-grade tungsten ore, more than half of which is classified as proven and probable, averaging 0.18% tungsten oxide and 0.03% tin; and

* all the issued shares of Tungsten Inc., a wholly owned subsidiary of Aur, which has a 50% interest in a plant in California that produces 30,000 tonnes of ammonium meta-tungstate per year.

To acquire the assets, North American Tungsten (NAT) must pay Aur $487,438 cash, post a $3-million reclamation bond for the CanTung mine, issue 2 million shares, and give Aur a 4% net smelter return royalty on all properties.

NAT can buy half of the royalty on each property for $2.5 million. The agreement has yet to be approved by regulators.