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Home > News > Bullion Gold signs option...

Bullion Gold signs option with Olympio Metals for Bousquet Project near Rouyn-Noranda

Mar 19, 2025


Bullion Gold Resources Corp. has announced the signing of an option agreement with Olympio Metals, allowing the latter to acquire up to 80% of the Bousquet gold project in Abitibi, Quebec.

A strategic project in Abitibi

The Bousquet gold project, wholly owned by Bullion Gold, comprises 71 mining cells covering 2,369 hectares. It hosts several gold showings along an east-west trending corridor of approximately 2.5 km, close to major mining infrastructure. Historical exploration has reached a depth of 300 m, while neighboring mines (Westwood, La Ronde and Lapa) have revealed high gold grades at depths of over 1,200 m.

Option Agreement Details

To obtain up to an 80% interest in the Bousquet project, Olympio Metals will:

  • Invest $2 million in exploration work.
  • Pay a total of $1.25 million in cash and shares.
  • Manage the exploration work.
  • Ultimately, Bullion Gold will retain a 20% undivided interest.

Term of the agreement for 51% interest

Olympio will pay Bullion Gold:

  • Upon approval by the authorities:
    • $100,000 in cash
    • $50,000 in OLY shares
  • Deferred payments:
    • Year 2: $100,000 in cash + $50,000 in OLY shares
    • Year 3: $150,000 in cash + $50,000 in OLY shares

Conditions for an additional 29%

  • Years 4 to 6: $50,000/year in cash + $25,000/year in OLY shares
  • Year 7: $150,000 in cash + $75,000 in OLY shares
  • Year 8: $200,000 in cash + $100,000 in OLY shares

All issued shares will be subject to a four-month voluntary escrow.

Formation of a Joint Venture (JVA)

If OLY decides to exit the project once it has acquired 51% of the project, a joint venture will be formed and:

  • Bullion will become the operator and will automatically obtain 51% in the project.
  • Olympio's interest will be reduced to 49%.
  • The project will continue to be developed on a pro rata basis with standard dilution factors.

Performance Bonuses (43-101)

Olympio will pay the following bonuses based on indicated gold resources or Eq:

  • $1.50/ounce up to 250,000 ounces (max. $375,000)
  • $1.00/ounce from 250,001 to 500,000 ounces (max. $625,000 including above)
  • $0.50/ounce beyond 500,000 ounces (no maximum)

Exercise of the Option

Olympio may exercise the option at any time for 8 years, subject to:

  • A progressive exploration investment (at a rate of $2 million over 8 years).
  • Payment of the defined consideration.
  • Satisfaction of conditions precedent (due diligence, regulatory approvals, etc.).

Bullion Gold Residual Rights

  • Olympio will provide financing for the project until initial production.
  • Bullion will retain a right of first refusal on the sale of its interest.
  • If Olympio purchases the remaining 20%, Bullion will receive a 2% net smelter royalty (1% can be bought back for $1 million).

The transaction is subject to final approval by the TSX Venture Exchange.

This press release was read and approved by Gilles Laverdière, P.Geo., director, and Qualified Person under National Instrument 43-101.

About Bullion Gold Resources 

Bullion Gold is involved in the identification, exploration and development of viable mineral properties in the province of Quebec. The Company is developing the 100% Bodo SM project. 



Tags: Quebec / Deals & Financial / Gold / All Articles