PRECIOUS METALS — Rubicon options property

Vancouver-based Rubicon Minerals (RMX-V) has optioned one of its properties in Ontario’s Red Lake mining district to Royal Roads (RRO-A).

According to the deal, Royal Roads can earn a 51% interest in the property by spending $400,000 by April 2002. The company will also issue 25,000 shares to Rubicon, plus another 75,000 over three years. To earn an additional 9% interest, Royal must spend $400,000 and issue 100,000 shares to Rubicon.

Previous drilling at the property, situated 6 km east of the Campbell and Red Lake mines, returned 1.5 metres grading 94.6 grams gold per tonne.

Rubicon recently renegotiated a cash deal for the Axelrod gold property in British Columbia into a share transaction. In lieu of $20,000 due this year and $40,000 in 2000, Rubicon will issue 15,000 shares and 25,000 shares, respectively, to the property’s owner. Rubicon must also spend $250,000 by 2003.

Previous drilling at Axelrod returned 0.47 metre grading 10.84 grams gold and 39.2 metres of 0.37 gram gold.