Mirabel Resources (RMB-V) will take over ownership of the Russian Kid gold deposit in northwestern Quebec, in a deal with Globex Mining Enterprises (GMX-T).
Mirabel pays $10,000 cash now and a further $240,000 once a final agreement is signed, and issues 500,000 shares to Globex. A further $250,000 and 500,000 Mirabel shares go to Globex either as soon as gold production starts, or at the first anniversary of the final agreement. Globex also keeps a 1.5% gross value royalty on the first 25,000 oz. of gold and silver and a 3% gross value royalty on all production thereafter.
Russian Kid, also known as El Coco, is in Dasserat Twp. close to the Ontario border, about 36 km west of Rouyn-Noranda. The mine produced briefly in the early 1980s, with just over 2,000 oz. gold being poured, and it has an 820-metre decline and development on three underground levels.
A 1984 calculation estimated the resource at 1 million tonnes grading 8.6 grams gold per tonne, a resource that would not be compliant with current rules.
Mirabel’s thermal-fragmentation mining process, designed for narrow-vein gold deposits, will get a test at the property as a possible mining method.
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