Exploration is set to begin on a Snow Lake area mineral deposit that has drawn interest from Hudbay and a junior miner.
Solvista Gold Corp. said Thursday it plans to start the first phase of a drill program on and around the Talbot VMS (volcanogenic massive sulphide) property in mid-August.
The fully permitted drill program will consist of about 10 to 15 holes totaling at least 5,000 metres, the Toronto-based junior miner said.
Drilling will focus on four main areas where Solvista said high-grade copper and gold potential remains untested.
A Solvista news release speaks of anomalies, previously reported gold-silver drill intercepts, copper-gold-silver mineralization and historic drilling that intersected anomalous copper values along the “top edge” of large, multiple anomalies.
Solvista can earn a 51 per cent interest in the Talbot property from Hudbay by spending $6.12 million on exploration there over the next six years.
The first and second year expenditure commitments are $200,000 (completed) and $400,000, respectively, with escalating expenditure commitments over the remaining years.
The agreement provides that once Solvista has earned its 51 per cent interest, Solvista (51 per cent) and Hudbay (49 per cent) will form a joint venture with Solvista as the operator of the joint venture.
Provided Hudbay contributes its 49 per cent share of expenditures, it will have two years from the date Solvista earns its 51 per cent interest to purchase an additional two per cent interest.
