Griftco Corporation has contracted with Canoe Mining Ventures Corp. (TSX.V: CLV) to offer a 100% legal and beneficial interest in 87 mineral exploration claims in Ontario, Canada (August 8, 2022). According to August 10, 2022, the TSX Venture Exchange has accepted the Option. The Company may exercise the Option once the following requirements are met: (1) an overall of 1,900,000 common shares in the Company’s capital have been issued, and (2) a minimum of $250,000 has been spent. If the Company exercises the Option in full and acquires the Property, a 3% net smelter returns royalty will be granted to a third party.
Griftco completed an airborne Mobile MagnetoTellurics electromagnetic survey on the Property before entering the Option Agreement. Griftco collected 348 line km of geophysical data during the survey and identified apparent conductivity/VLF amplitude anomalies near the surface, indicating conductive zones. These conductive bodies are thought to be structurally controlled, including pegmatite dykes or graphite minerals. See Figure 1 for a diagram of the strongest geophysical conductors and the historical mineral deposits. Canoe has identified three geophysical anomalies on the Property that appear to correlate with areas of mineralization. As illustrated in Figure 1, Canoe will soon begin prospecting and sampling to find graphite, rare earth elements, and graphite minerals. This task should be finished soon.
Area of claim
Butt Township, Nipissing District, Ontario, contains 87 mineral claims covering 1,961 square kilometers. They are reachable year-round through logging roads and paths. Uranium and rare-earth minerals were discovered on the Property in the early 1900s. The Property is located in the Kiosk geological region and lies under mafic, quartzofeldspathic, and metapelitic geological layers. Granitic pegmatite dikes with minerals such as allanite, uraninite, pyrochlore, columbite, and other rare-earth and uranium-bearing minerals are present on the Property. The Property has the potential to host graphite mineralization, with a previous graphite deposit directly to the north of the claim.
Issuance of shares
The Company will issue shares in four installments of 300k – 300k – 300k – 1 mil for the completion of the agreement. 1st) The Company will issue 300,000 Common Shares to Griftco on the tenth business day after receiving conditional approval from the TSX Venture Exchange for the transaction contemplated by the Option Agreement. 2nd) on or before the first anniversary of the Closing Date, issue 300,000 Common Shares and incur $50,000 in expenditures. 3rd) on or before the second anniversary of the Closing Date, to issue 300,000 Common Shares and incur an additional $100,000 in expenditures. 4th to issue 1,000,000 Common Shares and to incur an additional $100,000 in expenditures on or before the third anniversary of the Closing Date.