Cyprus options Roxmark properties

The Canadian exploration unit of Cyprus Amax Minerals (NYSE) has moved into the Geraldton camp of northern Ontario by acquiring an option on properties held by Roxmark Mines (TSE).

Cyprus can earn a 60% working interest in the Roxmark gold properties, which comprise a total area of 32 sq. km, by spending $2 million on exploration over four years. Roxmark retains a 2% net smelter return.

Excluded from the option agreement is Roxmark’s 11-sq.-km Magnet property, which contains the formerly producing Little Long Lac and Bankfield mines.

Cyprus will pay $250,000 to Roxmark and subscribe for 1 million shares of Roxmark at 15 cents per share. Cyprus will also receive 1 million warrants to buy Roxmark shares, which can be exercised up to one year from issue at 20 cents.