Longold acquires Benoit properties

Vancouver-based Longold Resources (VSE) has acquired two properties in Benoit Twp., Que. where several juniors have recently become active following a recent gold discovery by TSE-listed Freewest Resources. The first Longold property comprises 39 claims in the northern half of Benoit Twp. The company said geological mapping has indicated a zone of highly schistose and pyritic volcanic rocks associated with a fault structure on property. Other companies with claims nearby are Aur Resources, Serem Quebec and Kerr Addison Mines.

Longold acquired the property for $19,500, subject to a 2% net smelter return royalty which can be reduced to 1% on payment of $1 million to the vendors. As well, the company will issue 100,000 treasury shares to the vendors. Longold’s shares have traded recently at 30 cents within a 52-week range of 20-50 cents.

The second property comprises 27 claims on the south shore of Pusticamica Lake, about three miles east of the Freewest discovery. Longold acquired a 60% interest in the property for $15,000 and 50,000 shares, subject to a 1.5% net smelter royalty which may be reduced to 1% on payment of $500,000 to the vendors. Cline Development (VSE) is acquiring the remaining 40% interest. The property is underlain by volcanic rocks that have not yet been fully explored, according to Longold.