A total of $148,500 to provide working capital by issuance of shares and share purchase warrants under an exempt private offering has been raised by Holmer Gold Mines.
In other news, Holmer expects to finalize an agreement with Chevron Canada Resources allowing for the exploration and development of Holmer’s Bristol Twp. property, located 14 mi southwest of Timmins, Ont.
Chevron can earn a 50% interest in the property by spending $2.2 million on exploration and development and making payments to Holmer of $50,000 on the signing of a formal agreement, $25,000 on Feb 28, 1988, and $25,000 on Feb 28, 1989.
The Bristol Twp. property is centred around a quartz-tourmaline vein type deposit along a regional volcanic-sedimentary contact on the Destor Porcupine Break, a structure associated with numerous gold mines in the Porcupine gold camp, President Dr K. Sethu Raman reports.
Average grade of the deposit at shallow depth is 0.12 oz gold per ton. Best intersections at the 800-ft level include 0.31 oz across 48.8 ft, 0.26 oz across 42 ft and 0.25 oz across 82.9 ft.
Outside the main deposit, the property remains largely unexplored, particularly along the major break and favorable lithological contacts.
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