Monday 1st June 2020

Resource Clips

Beyond Monster Lake

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As project operator, TomaGold’s spending Quinto’s money. The JV gives Quinto an option to earn an initial 50% by funding $6 million of work over four years, paying TomaGold $350,000 and issuing the company a million Quinto shares. Quinto could then get another 20% by funding another $4 million over three years for exploration or a feasibility study. There’s no NSR.

We think Winchester can be a big driver for the company too. We’ll start drilling the same time as Monster, so it’ll be highly cost-effective.—David Grondin,
president/CEO of TomaGold Corp

Did TomaGold give too much away? Grondin points out the obvious market woes and the fact that the flurry of good news didn’t happen until after the JV kicked in. And the money’s substantial. “For them to spend $6 million, I could do the same drill program I’ve just done seven or eight more times,” he emphasizes. “They still have a long way to go, but we’re getting more confident.”

The JV concerns Monster Lake only. Winchester, immediately south, and the 1,395-hectare Lac à l’eau jaune, immediately northeast, remain 100% TomaGold turf. With about “$500,000 in the till,” Grondin says he can finance the Winchester campaign, set to start in May, without dilution. “There’s no rush to do any financing right now,” he maintains.

He says the Chibougamou mining camp offers excellent infrastructure, with a highway, airport and power nearby, as well as skilled personnel in the town of Chibougamou, 44 kilometres away. Drilling costs as little as $135 a metre.

“We always let the local first nation know what we’re doing,” he adds. “We keep good relations with our neighbours.”

TomaGold also holds two properties in west-central Quebec, the 928-hectare Urban Lake and, five miles from Val-d’Or, the 280-hectare Vassan.

TomaGold closed April 25 at $0.135. With 54.64 million shares outstanding, the company’s market cap came to $7.38 million. Quinto Real closed the day at $0.215. The company’s 10.85 million shares totalled a $2.33-million market cap.


In the immediate vicinity …


Within hours of TomaGold’s April 11, 2012, release, Vanstar Mining Resources TSXV:VSR announced a 2,000-metre drill campaign for its Little Monster project, a 1,100-hectare 50/50 JV with Northcore Resources TSXV:NCR that borders Monster Lake to the southeast. Neither company has reported on the campaign since.

Immediately east of both Monster Lake and Little Monster lies the 1,456-hectare Cookie Monster, a 50/50 JV with Amseco Exploration TSXV:AEL and Vantex Resources TSXV:VAX. They too announced a drill campaign in April 2012 without releasing further news.

Last February Electra Gold TSXV:ELT announced the acquisition of its Monster 3 property, about seven kilometres east of Monster Lake. By March 5 the company picked up adjacent land, bringing the package to more than 1,200 hectares. The Gestim website of Ressources naturelles et Faune Québec “clearly shows the same package of mafic volcanics, volcanoclastites, tonalities, diorite and quartzite” as found on Monster Lake, Electra stated.

Also in March, Viking Gold Exploration TSXV:VGC optioned the 2,461-hectare Vent d’Or property, which the company describes as on strike to the southwest of Monster Lake. Previous work included grab samples with results up to 9.1 g/t gold and shallow drilling with assays up to 11.3 g/t over 1.3 metres, Viking stated.

About four kilometres south of Monster Lake, Visible Gold Mines’ TSXV:VGD 2,700-hectare Hazeur property saw drilling during the winter of 2007 to 2008.

Part of the Chibougamou mining camp, the Fancamp deformation corridor hosts several other gold deposits and showings.

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