Published On: March 26th, 2022
SLAM Exploration, a junior resource company listed under symbol SXL on the TSXV exchange and based in New Brunswick, Canada, has signed a sale agreement on their Ferguson Brook mineral claim. The Ferguson Brook claim is one among almost 100 mineral claims in SLAM Exploration’s dossier. The sale announcement was made on 10th March 2021 and highlighted all details that all investors wish to know. Puma Exploration, another well-known junior resource Canadian company, has acquired a claim over the property.
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Ferguson Brook Claim Details
The Ferguson Brook claim consists of 42 claim units. The property covers 912 hectares of prospective land that has been sold to Puma Exploration. The property is adjacent to Puma Exploration’s William Brook gold project, allowing them the opportunity to expand their gold program.
The agreement defines the Ferguson Brook Claim as two different properties. The first property referred to as “Property A” in the agreement comprises 35 claim units. The second property referred to as “Property B” in the agreement comprises seven claim units. SLAM Exploration had acquired Property A through staking, while Property B was acquired through an underlying agreement with a third party.
Under the Ferguson Brook claim agreement, both properties would be transferred to Puma Exploration. However, SLAM Exploration will retain a royalty, also known as net smelter return. SLAM Exploration will receive 2% net smelter return royalty for any sale made by Puma Exploration for products obtained from Property A. Additionally, SLAM Exploration will receive 1% net smelter return royalty for any sale made by Puma Exploration for products obtained from Property B.
The agreement also states that Puma Exploration can further purchase 50% of the royalty paid to SLAM Exploration for Property B, which totals around CAD 500,000. Puma Exploration can refuse to purchase the remaining 50% through the first right of refusal.
Under the agreement, to earn 100% interest, Puma Exploration will be making the following payments to SLAM Exploration:
- CAD 15,000 in cash as well as 250 thousand shares of Puma Exploration payable upon receipt of TSX Venture approval of the Ferguson Brook agreement.
- CAD 25,000 in cash payable upon the receipt of a positive preliminary economic assessment.
- CAD 50,000 in cash payable upon the conclusion of a positive feasibility study
- CAD 100,000 in one-time cash payable upon reaching commercial production rates on the Ferguson Brook property.
In response to the signing of the agreement, SLAM Exploration CEO Mike Taylor said, “I congratulate Marcel Robillard and the team at Puma Exploration on the acquisition of the Ferguson Brook property. Puma’s continued advance exploration successes on the William’s Brook gold mining project is the indication that the New Brunswick gold play is just beginning. Investors should watch this space!”
About Puma Exploration and President Marcel Robillard
Puma Exploration is a mineral exploration company listed under symbol PUM on the TSXV exchange and based in Rimouski, Quebec. Established in 1998, Puma Exploration is led by Mr. Marcel Robillard, who became the President and CEO of Puma in 2010. He has a B.Sc in Geology and M.Sc in Earth Sciences from the University of Quebec. The company owns two mineral properties in Canada: one at Williams Brook and the second at Jonoil and Portage.
The Williams Brook Gold mining project in New Brunswick is the flagship project of Puma Exploration. The Brook covers more than 20,000 hectares of land. The advanced exploration of this land has yielded four gold trends. Puma Exploration focuses on the latest gold trend: O’Neil Gold Trend.
The Jonpol and Portage project is also one of many gold mines in New Brunswick. The property is located 10 kilometers from Williams Brook Claim and has approximately 6,000 hectares of area. There are several gold deposits up to 17.1g/t AU.
About SLAM Exploration and CEO Mike Taylor
SLAM Exploration was incorporated in 1996, and since then, the company has accumulated a portfolio consisting of properties rich in gold, silver, base metal, and rare earth elements. The company undertakes many rare earth elements mining and metal mining projects in New Brunswick, Nova Scotia, and Ontario.
CEO Mike Taylor has led the company since 1996. Having completed his education at the University of New Brunswick, he oversees key SLAM Exploration projects. Currently, he, as well as the SLAM Exploration team, is focused on the new development at their flagship project – Mennerval Gold Project.
Menneval Gold Project – A flagship project of SLAM Exploration
SLAM Exploration has a range of mineral drilling projects, of which the Menneval Gold project is the flagship initiative. In 2021, after discovering new gold deposition sites along gold vein 18, the company has renewed its focus on the project. Following this discovery, the SLAM Exploration stock price saw a steep rise in November 2021. The current stock price of the company is CAD 0.03. However, the company has shown a 52-week average stock price between CAD 0.03 and 0.13.
Birch Lake Gold Project
SLAM Exploration has also found new gold veins and deposits in the Birch Lake gold mine in New Brunswick. Following these two discoveries in 2020, SLAM Exploration now has a portfolio of 55 mineral deposits with over 3100 claim units spread over 68,172 hectares. Of these numbers, the Menneval Gold Project and the Birch Lake Gold Project are the two major projects that the company is currently undertaking.
Why should investors keep a lookout for this company?
SLAM Exploration is among the oldest rare metals mining companies in New Brunswick, Canada.
- On the Menneval Gold project, the company has found gold in all 20 diamond drill holes tested.
- The company has an excellent and strategic minerals portfolio that they leverage using advanced mining technology.
The company uses old-fashioned boot and strap mining methods and contemporary technology to find new metal and rare earth element deposits. The new developments in the Menneval Gold Project, Birch Lake Gold Project as well as the sale of the Ferguson Brook claim make SLAM Exploration a company to keep an eye on.
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