Vancouver Having dealt its Irish assets to Tournigan Gold (TVC.T-V), Strongbow Resources (SR-V) has set its sights on the Melville Peninsula in Nunavut.
The junior inked a deal with partners Northern Empire Minerals (NEM-V), Stornoway Ventures (SWV-V) and privately-held Hunter Exploration to explore seven prospecting permits in the emerging diamond area of northeastern Nunavut.
The property is centered about 100 km southwest of two recently announced discoveries of diamond-bearing kimberlites on the Aviat property.
Under the deal, Strongbow can earn a 60% stake in the permits from by funding all permit acquisition costs, issuing 100,000 shares, 100,000 warrants and spending $500,000. The properties are subject to a 2% gross-overriding royalty, 50% of which Strongbow can purchase for $3 million.
Earlier this month, Strongbow dealt its 75% interest in the Curraghinalt and Tyrone gold projects in Northern Ireland to Tournigan.
The agreement covers two exploration licences, totalling 346 sq km northeast of the town of Omagh. The most advanced target is the 15-sq km Curraghinalt project, which hosts the Curraghinalt gold deposit. Previous operators explored a high-grade gold-sulphide-quartz vein system with 2,800 metres of trenching, 17,800 metres of drilling and 700 metres of underground development. A 1999 independent study pegged the indicated resource for the two main developed veins at 198,000 tonnes averaging 17.5 grams gold per tonne and an inferred resource of 60,400 tonnes grading 16.3 grams gold.
The remaining area is held in the Tyrone project, where showings of both quartz vein gold mineralization, as well as stratabound disseminated to semi-massive gold-bearing sulphide mineralization has been identified. In the Glenlark region of the Tyrone project, recent trenching over stratabound mineralization returned a 21-metre interval grading 2.55 grams gold. In other areas of the property, quartz-carbonate vein material in stream boulders, outcroppings and trenches have been assayed in a range of 10-to-47 grams gold.
Under two agreements, Tournigan can earn a 51% stake in the Curraghinalt project area by spending $2 million over three years and can acquire a 50% interest in the Tyrone project by spending $1.5 million over three years. Strongbow can then elect to form a joint venture on one or both of the projects by funding its share of future programs. If Strongbow elects not to participate, Tournigan can earn a 60% interest in the Curraghinalt project by spending another $2 million over 2 years and can up its stake to 75% by completing a feasibility study within four years. Tournigan can also increase its interest in the Tyrone project to 60% by spending another $1.5 million over 2 years and to 75% by completing a feasibility study within four years.
Tournigan is also required to drill a minimum 1,000 metres on the Glenlark mineralization in the first six months of the agreement.
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