NEWS ROUNDUP — Noranda to explore Drag prospect

A recent formal agreement allows a unit of Noranda (TSE) to earn up to a 70% interest in the Drag property about 20 km north of Gold River, B.C.

The Vancouver Island prospect covers an area of Paleozoic-age Sicker volcanics hosting polymetallic mineralization. Recent geophysical work detected several multi-line EM anomalies and various magnetic highs throughout the claims area (the showing area responded as an EM anomaly). Noranda can earn 50% by cash payments and spending $1.5 million on exploration, and increase this to 70% by spending a further $1 million and making an additional payment.

Doromin Resources (VSE) retains the right to maintain the remaining 50% or 30% interest by contributing the proportionate joint venture costs once Noranda has earned its interest.