Ontex acquires Ontario leases

Ontex Resources has reached an agreement with Cherbourg Gold Mines to acquire its 10% net profits interest in 15 mining leases in Irwin Twp., Ont., which abut the Brookbank property on the west. The transaction is conditional and subject to regulatory approval. Part of the consideration is the issuance of 200,000 non-transferable warrants to Cherbourg, each good to purchase a common share of Ontex at $3 on or before July, 1989.

Ontex also has agreed to acquire for cash 26 mining leases in Pifher Twp., Ont., from the estate of James Joseph Gray, which are now being renewed. Closing of each acquisition is conditional upon approval by the Ontex board of directors and the closing of the other acquisition, which must occur by August of this year, the company said.