Ventex options Cons. Jalna property

Timmins-based Ventex Energy (VSE) has acquired an option to earn a 100% working interest in Consolidated Jalna’s (VSE) Shebandowan area claims, 30 miles west of Thunder Bay, Ont.

Straddling the TransCanada Highway, the claims are known collectively as the Dawson Road Lots and are underlain by a series of mafic to intermediate volcanic rocks. Previous trenching in the area has returned gold values ranging from 0.10 oz. to 0.36 oz. gold per ton across widths of 5-11 ft.

The deal calls for Ventex to spend $500,000 on the claims and issue 100,000 shares to Cons. Jalna which will retain a 5% net profits royalty interest in the property. Ventex says it is raising $84,500 in flow-through funds via a private placement of 281,667 shares priced at 30 cents per share. The funding agreement is with four private investors, one of whom is a Ventex director.