Noble Mineral Exploration Acquires Lucas Gold Project from Canada Nickel
News related to:Noble Mineral Exploration Inc · 2 min read
Noble Mineral Exploration Inc. has entered into an agreement to acquire the Lucas Gold Project from Canada Nickel Company Inc. The transaction, valued at 5 million Canadian dollars, will see Noble issue 5 million units, each unit consisting of one common share and one-half non-transferable common share purchase warrant. Each warrant will be exercisable for one common share at a price of $0.15 for a period of two years.
The Lucas Gold Project is located approximately 30 kilometers north of Timmins, Ontario, an area renowned for its significant gold production. The project is also situated 20 kilometers northeast of the Kidd Creek Mine, which has been in continuous operation for 58 years, and 20 kilometers east of the Crawford Nickel Resource, currently being developed by Canada Nickel Company Inc.
Noble has previously conducted 15 diamond drill holes, totaling 3,184 meters, covering an area of approximately 650 meters of strike length along the 1,700-meter gold mineralized structure/trend identified from 2012 and 2018 surveys. The company has also located 37 historical drill-hole collars in the field and twinned three of these historical drill holes. Since 2018, no further work has been conducted on the project.
The project encompasses six discrete IP anomalous trends that require follow-up exploration. Only one of these trends has been investigated by diamond drilling to date. Gold mineralization in the Lucas Gold Deposit is believed to be structurally controlled and occurs as discrete lenses within the pyrite plus gold mineralized tuffaceous unit.
Vance White, President and CEO of Noble, expressed enthusiasm about the acquisition, stating, "We are very pleased to be proceeding with the repurchase of an excellent gold prospect on which we know from past work carried out by Noble of an existing gold zone but also a number of untested parallel zones. We believe this to be a very valuable asset to Noble in a space we expect improving forecasted gold price in these uncertain geopolitical times."
The acquisition is subject to legal requirements and approval from the TSX Venture Exchange. The transaction is expected to strengthen Noble's position in the gold exploration space, particularly in the region known for its rich mineral deposits.
The Lucas Gold Project is drill-ready, and Noble has a Memorandum of Understanding (MoU) in place with local First Nations. Future work on the project will include drilling on the initial IP anomaly to further define the gold mineralization and testing the other five undrilled IP anomalies to explore for similar gold mineralization.
The transaction is part of Noble's broader strategy to generate option/joint venture exploration programs across its holdings in Northern Ontario and Quebec. The company currently holds mineral and/or exploration rights in approximately 67,000 hectares in Northern Ontario and 12,000 hectares elsewhere in Quebec and Newfoundland.