Solstice Gold is pleased to announce that it has established a combined 96 km2 strategic land position for the purpose of lithium pegmatite exploration located in the Frazer Lake area in NW Ontario, approximately 85 km NE of Thunder Bay and 10 km from the town of Nipigon, Ontario which is located on the Trans-Canada Highway. The new acquisitions comprise a southern staked area of 55 km2 (261 claims) referred to as the Church Lake Project (“CLP”) and an option (the “Option”) to acquire 100% of a further 41 km2 (14 claims) located to the northeast.
Pablo McDonald, Solstice CEO stated, “a possible western extension of the Georgia Lake Deposit in this area was identified as part of Solstice’s 2023 Province-wide review of potential lithium areas. We had been tracking progress in the area and decided to seize the opportunity to stake once we saw positive results confirm its potential. We are very happy with the preliminary results we’ve seen from our reconnaissance field trip, and we have already mobilized field teams to the area. We will be making use of structural and geochemical data to vector into the areas of highest potential in this area while doing systematic coverage of the properties.”
The Company announces that it has entered into an option agreement dated August 21, 2023 (the “Option Agreement”) with 1544230 Ontario Inc. and Gravel Ridge Resources Ltd. (the “Optionors”) to purchase the Option to acquire the Optionors’ 100% interest in the Purdom Project.
In consideration for the grant of the Option, Solstice must pay $21,000 in cash within ten days of the effective date of the Option Agreement, and issue 300,000 common shares and as soon as practicable after TSX Venture Exchange (“TSXV”) approval, to the Optionors. To exercise the Option, the Company must conduct exploration expenditures on the claims comprising the Purdom Project and make payments according to the following: (i) a payment of $25,000 cash by the first anniversary of the Option Agreement; (ii) a payment of $30,000 cash by the second anniversary of the Option Agreement; (iii) a payment of $34,000 cash by the third anniversary of the Option Agreement; and a minimum of $30,000 in exploration work within the first anniversary of the Option Agreement. Upon exercise of the Option, the Optionors will retain a 1.5% NSR on the Property. The NSR includes a 0.75% buyback for $900,000.
No finder’s fees are payable in connection with the Option Agreement. The Option Agreement remains subject to the approval of the TSXV.
