by Greg Klein | June 4, 2015
An agreement with Zimtu Capital TSXV:ZC announced June 4 would allow GTA Resources and Mining TSXV:GTA to earn a 100% interest in two licences comprising part of central Newfoundland’s Burnt Pond zinc-copper property. The project sits within the Tally Pond volcanic belt that hosts Teck Resources’ (TSX:TCK.A and TCK.B) Duck Pond mine, as well as other copper-zinc-silver-gold massive sulphide deposits.
Duck Pond began commercial production in 2007, producing copper and zinc concentrates that are trucked to the port of St. Georges on Newfoundland’s west coast. Burnt Pond features “the same geological package of altered felsic volcanic rocks as are common to the Duck Pond mine,” Zimtu stated. The property has untested electromagnetic targets coinciding with anomalous base metals in rock and soils. “Anomalous base metal values associated with the VMS-style alteration include the Wim showing (1.9% zinc, 1.5% lead) and drill intersections of 1% zinc over 2.9 metres.”
The deal would allow GTA to earn 100% of two licences comprising 47 claim units. Burnt Pond totals six licences comprising 103 units.
Zimtu receives $3,055 on signing and 1.2 million GTA shares within a week of TSXV approval. Zimtu acquired the claims through staking. The company “provides mineral property project generation and advisory services, and helps to connect companies with mineral properties of interest,” Zimtu stated.
GTA holds three projects in northern Ontario: the 51%-owned Northshore gold project, the 100%-owned Auden graphite project and the Ivanhoe gold project, in which GTA has an option to acquire 100%.
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