QC Copper to buy 50% share in ‘strategic’ Roger project in Quebec

QC Copper and Gold (TSXV: QCCU; US-OTC: QCCUF) has signed a definitive agreement with Pasofino Gold (TSXV: VEIN; US-OTC: EFRGF) to add a 50% share of the Roger copper-gold project in Quebec’s Chibougamau district to its portfolio of copper-gold holdings in the region.

In exchange for this acquisition, QC will need to pay $1 million and issue 5.5 million of its shares to the vendor. Based on its last close on April 2, the company estimates the total purchase price at approximately $2 million. In addition to TSXV approval, the deal is subject to 50% interest holder Soquem (a subsidiary of Investissement Quebec) waiving its right of first refusal.

“This is a strategic asset acquisition that fits into our vision for a consolidated Chibougamau district,” Stephen Stewart, the CEO of QC Copper and Gold, said in a press release. “When shareholders evaluate this pit constrained resource relative to the consideration paid, I believe they will see the value of this accretive acquisition.”

Based on an estimate from 2018, Roger contains a pit-constrained resource of 10.9 million indicated tonnes at 0.85 gram gold per tonne, 0.8 gram silver per tonne and 0.06% copper, which contain 333,000 gold-equivalent oz., and 6.6 million inferred tonnes grading 0.75 gram gold, 1.18 grams silver and 0.11% copper that add 202,000 gold-equivalent ounces.

The intrusion-related porphyry deposit is hosted in a felsic porphyry intrusion. QC Copper and Gold sees potential to increase in-pit resource by lowering the 0.45 gram gold-equivalent per tonne cut-off grade. Roger is immediately southeast of the Gwillim fault that controls copper-gold mineralization at the company’s Opemiska project.

Underground exploration completed at the site in 1988 resulted in 1,177 metres of underground development and included 1,433 metres of underground drilling and over 1,000 metres of chip sampling.

At 9.9-sq.-km, Roger is 5 km from the Chibougamau mining centre with a power line crossing the property.

QC Copper and Gold is completing a 20,000-metre drill program at the 127.8-sq.-km Opemiska project. The site hosts four historic underground mines that together generated over 1.1 billion lb. of copper and 750,000 oz. of gold.