A junior miner has announced the purchase of two claims about 10 kilometres north of Flin Flon.
Searchlight Resources, a British Columbia-based company, teamed up with Saskatchewan company GEM Oil to receive a full interest in a pair of claims more than 5,600 hectares in total area. The area, which Searchlight has named the “Flin Flon North”project, is located west of Trout Lake and east of Tyrrell Lake, within 10 kilometres of the existing Hudbay Flin Flon compound. A portion of the claim stretches further west, past Highway 106.
“The Flin Flon North claims were optioned based on Searchlight’s ongoing regional compilation to target the most prospective areas in the Flin Flon Greenstone belt for new VMS base metal and gold mines,”said Stephen Wallace, Searchlight president and CEO in a press release.
“In addition, the claims fit the company’s strategy of easy access, with Highway 106 running through the new project.”
Last year’s Saskatchewan government-funded airborne magnetic surveys, along with exploration and historical data from other companies and resources, provided to be a key in the purchase. A survey completed in 2009 by Vancouver-based mining company Callinex Mines showed 18 possible targets in the area of the new Searchlight claim, which the new owners “will be following... on a priority basis.”
To complete the deal, Searchlight must maintain the claims and finish 12 years of assessment expenditures at the claims, as per existing Saskatchewan mineral regulations. If the claims are sold to another buyer, GEM Oil will receive a quarter of all cash and share payments raised in the transaction. Searchlight can modify the claim by either expanding their claimed area or removing claim units during the option period.