Home > News > A major step forward in the...

A major step forward in the development of Northshore Gold

Jun 25, 2020

The million ounce Northshore property in the Schreiber-Hemlo Greenstone Belt, 115 km west of Hemlo and 200 km east of Thunder Bay is a step closer to new ownership. CBLT has excellent relationships with the First Nations community of Pays Plat and the Village of Schreiber. The property hosts indicated resources of 391,000 oz gold plus inferred resources of 824,000 oz, all within the Afric Zone

CBLT Inc. has announced positive news on the pending sale of its 56% joint venture interest in the Northshore Gold Property, located east of Thunder Bay and west of the Hemlo Gold Camp.

On June 1, 2020 CBLT announced it had entered into a definitive agreement to sell its 56% joint venture interest in Northshore Gold to Omni Commerce Corp., pursuant to which CBLT would be paid $350,000 in cash and $1,100,000 in Omni treasury common shares.

CBLT on June 16, 2020 announced that Omni had announced an intention to pursue the other 44% in the joint venture, which was owned by Balmoral Resources Ltd. ("Balmoral"), now a wholly-owned subsidiary of Wallbridge Mining Company Limited.

CBLT is pleased to announce that on June 24, 2020 Omni announced it and Balmoral had entered into a definitive agreement for the purchase of Balmoral's 44% interest in the Northshore Gold Joint Venture, which upon closing would consolidate title in the Northshore Gold Property to 100%. Based upon Omni's press release, it would appear the terms of the definitive agreement are substantially the same as previously announced.

"This is a major step in the development of Northshore Gold and the Afric Gold Deposit," said Peter M. Clausi, CEO of CBLT. "Consolidating title in one owner's hands eliminates the inefficiencies that are an unfortunate part of every joint venture. We believe this sharply increases the value of the Omni shares to be issued to CBLT as part of the transaction."

CBLT expects closing on its and the Balmoral transaction to take place contemporaneously.

The company says the Hemlo property has higher grade near-surface mineralization in the centre of the Afric Zone and this has been the focus of recent drilling.  Previous drilling in this area includes intersections of 12.49 g/t over 33.2 m and 4.35 g/t over 14.6 m, centred on an area of heavier quartz veining and associated mineralization.


Tags: Northern Ontario / Deals & Financial / Gold / All Articles