Partners expand Agnew Lake property

Partners Pacific North West Capital (PFN-T) and New Millennium Metals (PGM-V) will acquire several more claims in the Agnew Lake intrusion, near Sudbury, Ont.

In exchange for 6.5 sq. km, the pair must pay $30,000 in cash and issue 21,000 and 48,000 treasury shares, respectively, to ProAm Explorations (pmx-v). They must also spend $400,000 on exploration over four years, less the value of the cash and shares.

ProAm retains a 0.75% net smelter return royalty (NSR) on the property and will be paid $100,000 once the option conditions are satisfied. An underlying vendor retains a 2% NSR.

Currently, the partners are exploring 65 sq. km of the anorthositic intrusion for platinum group metals deposits, having uncovered up to 8.4 grams combined platinum and palladium in grab samples. Exploration is being funded by South African-based Anglo American Platinum, which can earn a 60% interest by spending $6 million on exploration, tabling a feasibility study and financing the project to production. The new claims adjoin the existing property and will become part of the Anglo American deal.

Regulators have yet to approve the Agnew Lake deal.

Meanwhile, New Millennium and Platinum Group Metals (PTG-V) are seeking regulatory approval to merge (T.N.M.,, Oct. 29/01). Shareholders of the former are to receive one new share for every 1.6 shares held, whereas shareholders of the latter would receive new shares on a 1-for-1 basis. The new company would retain the name Platinum Group Metals.