VANCOUVER, BC, Nov. 26,
2024 /CNW/ - Foran Mining Corporation (TSX: FOM)
(OTCQX: FMCXF) ("Foran" or the "Company") is pleased to announce
that it has entered into an Option Agreement ("Agreement") with
Voyageur Mineral Explorers Corp. (CSE: VOY) ("Voyageur") to acquire
a 100% interest in Voyageur's Hanson Lake property ("Property"),
located in east-central Saskatchewan, approximately 65 kilometres
west-southwest of Flin Flon,
Manitoba. The Property lies approximately 3km north of
Foran's McIlvenna Bay Deposit and the Tesla Zone along a
prospective geological trend that has been of longstanding interest
to the Company (Figure 1). By consolidating the Hanson Lake
Property into its exploration portfolio, Foran has strengthened its
position in the region, gaining seamless access to one of the
district's most geologically prospective trends.
Erin Carswell, Foran's VP,
Exploration, commented "The Hanson Lake Property encompasses the
natural extension of the highly prospective Tesla Trend, further
enhancing Foran's ability to unlock exploration potential. Foran
would like to thank Voyageur for the opportunity to explore this
priority claim. This option agreement highlights our commitment to
advancing near-mine projects of interest, and we look forward to
working with stakeholders in preparing for exploration activities.
By establishing a robust pipeline of new targets, Foran continues
to focus on driving long-term exploration success and delivering
sustained value across its properties."
Fraser Laschinger, CEO of
Voyageur Mineral Explorers, said: "Foran's exploration team has
done a tremendous job at the McIlvenna Bay project in recent years,
including the discovery of the Tesla Zone. Their embrace of
cutting-edge technology, combined with unique insights gained from
local geophysical signatures and structural geoscience, gives us
confidence in their ability to unlock the potential of the Hanson
Lake Property. With the obvious locational synergies, we view them
as the perfect partner to explore the Hanson Lake
Property."
Terms of the Agreement
Under the terms of the agreement, Foran will make an initial
payment of C$1.0M in common shares to
Voyageur, subject to final approval by the Toronto Stock Exchange
("TSX"). Foran will then have five years to explore the Hanson Lake
Property, with no minimum spending requirement, and hold the option
to acquire 100% of the Property for a one-time payment of
C$10.0M, in cash or common shares at
Foran's election, during this period.
If the option is exercised by Foran, Voyageur will retain a 2.0%
Net Smelter Return royalty ("NSR"), in respect of the Hanson Lake
Property. At any point prior to a construction decision
regarding any potential development of the Hanson Lake Property,
Foran may buy back 50% of the NSR for C$1.0M and an additional 25% after 54 months of
production for a further C$1.0M,
after which Voyageur will retain a 0.5% NSR royalty.
Tesla Trend
Entering into the Option Agreement with Voyageur provides Foran
with exploration access to a highly prospective, largely untested
geological corridor referred to here as the "Tesla Trend", which
extends northward from the known Tesla Zone copper-zinc
mineralization and across the Hanson Lake Property. The corridor is
defined by geological mapping, strong geophysical trends and a
series of historic mineral occurrences including South Bay and Zinc Zone prospects. In contrast
to the deepening plunge of the Tesla Zone, known mineralization on
the Hanson Lake Property occurs at or closer to surface – raising
the question of whether extensions of the Tesla Zone might reverse
in plunge direction and become shallower towards the north. To test
these opportunities, planning is underway to employ ground-based
electromagnetic surveys along the corridor to track potential
extensions of Tesla mineralization northward and assess the
possibility that these mineralized horizons could occur at
shallower depths on the Hanson Lake Property.
Qualified Person
Mr. Roger March, P. Geo.,
Principal Geoscientist for Foran, is the Qualified Person for all
technical information herein and has reviewed and approved the
technical information in this release.
The Company's head office is located at 409 Granville Street,
Suite 904, Vancouver, BC,
Canada, V6C 1T2. Common Shares of
the Company are listed for trading on the Toronto Stock Exchange
("TSX") under the symbol "FOM" and on the OTCQX Best Market
under the symbol "FMCXF".
About Foran Mining
Foran Mining is a copper-zinc-gold-silver exploration and
development company, committed to supporting a greener
future and empowering communities while creating value for our
stakeholders. The McIlvenna Bay Project is located entirely
within the documented traditional territory of the Peter Ballantyne
Cree Nation, comprises the infrastructure and works related to
pre-development and advanced exploration activities of the Company,
and hosts the McIlvenna Bay Deposit and Tesla Zone. The Company
also owns the Bigstone Deposit, a resource-development stage
deposit located 25km southwest of the McIlvenna Bay Property.
The McIlvenna Bay Deposit is a copper-zinc-gold-silver rich VHMS
deposit intended to be the centre of a new mining camp in a
prolific district that has already been producing for 100 years.
The McIlvenna Bay Property sits just 65km West of Flin Flon, Manitoba and is part of the world
class Flin Flon Greenstone Belt that extends from Snow Lake, Manitoba, through Flin Flon to Foran's ground in eastern
Saskatchewan, a distance of over
225km.
The McIlvenna Bay Deposit is the largest undeveloped VHMS
deposit in the region. The Company announced the results from its
NI 43-101 compliant Technical Report on the Feasibility Study for
the McIlvenna Bay Deposit (the "McIlvenna Feasibility
Study") on February 28, 2022,
outlining that current mineral reserves would potentially support
an 18-year mine life producing an average of 65 million pounds of
copper equivalent annually. The Company filed the McIlvenna
Feasibility Study on April 14, 2022,
with an effective date of February 28,
2022. The Company also filed a NI 43-101 Technical Report
for the Bigstone Deposit resource estimate on January 21, 2021, as amended on February 1, 2022. Investors are encouraged to
consult the full text of these technical reports which may be found
on the Company's profile on www.sedarplus.ca.
The Company's head office is located at 409 Granville Street,
Suite 904, Vancouver, BC,
Canada, V6C 1T2. Common Shares of
the Company are listed for trading on the TSX under the symbol
"FOM" and on the OTCQX under the symbol "FMCXF".
About Voyageur Mineral Explorers Corp.
Voyageur is a Canadian junior mineral exploration company with a
specific focus on mineral properties in Northwest Manitoba and Northeast Saskatchewan, Canada. The Company
owns a valuable package of royalties in the prolific Flin Flon greenstone belt and has assembled a
portfolio of base metal and precious metal prospects in
Manitoba and
Saskatchewan.
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS
This news release contains certain forward-looking information
and forward-looking statements, as defined under applicable
securities laws (collectively referred to herein as
"forward-looking statements"). These statements relate to future
events or to the future performance of Foran Mining Corporation and
reflect management's expectations and assumptions as of the date
hereof or as of the date of such forward looking statement. Such
forward-looking statements include, but are not limited, statements
regarding our objectives and our strategies to achieve such
objectives; our beliefs, plans, estimates, projections and
intentions, and similar statements concerning anticipated future
events; as well as specific statements in respect of our
ability to unlock exploration opportunities and potential along the
Tesla Trend; Foran's exercise of the option under the Agreement;
the strength of Foran's position in the Hanson Lake region; our
view that the Hanson Lake Property contains one of the district's
most geologically prospective trends; our commitment to advancing
high value near mine projects; our exploration plans and
activities, including in respect of long-term exploration; our
exploration target pipeline; our ability to deliver on exploration
success and sustained value across our properties; Foran's embrace
of cutting-edge technology; the TSX providing final approval for
Foran's initial payment of C$1.0M in
common shares to Voyageur; Foran's buyback of any NSR granted to
Voyageur upon the potential exercise of the option under the
Agreement; our geological surveys and interpretation of
mineralization, including in respect of the Tesla Trend potentially
extending into the Hanson Lake Property; the potential for the
Tesla Zone reverse-plunging in terms of direction and becoming
shallower towards the north; the value of Voyageur's royalty
package; our commitment to support a greener future and empower
communities while creating value for our stakeholders ;
expectations regarding our development and advanced exploration
activities; and expectations, assumptions and targets in respect of
our 2022 Feasibility Study. All statements other than statements of
historical fact are forward-looking statements. The forward-looking
statements in this news release speak only as of the date of this
news release or as of the date specified in such statement.
Inherent in forward-looking statements are known and unknown
risks, estimates, assumptions, uncertainties and other factors that
may cause the actual results, performance or achievements of the
Company to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements contained in this news release. These
factors include management's belief or expectations relating to the
following and, in certain cases, management's response with regard
to the following: the Company's reliance on the McIlvenna Bay
Property; the Company is exposed to risks related to mineral
resources exploration and development; the Company has no history
of mineral production; the Company's operations are subject to
extensive environmental, health and safety regulations; mining
operations involve hazards and risks; and the additional risks
identified in our filings with Canadian securities regulators on
SEDAR+ in Canada (available at
www.sedarplus.ca). The forward-looking statements contained in this
news release reflect the Company's current views with respect to
future events and are necessarily based upon a number of
assumptions that, while considered reasonable by the Company, are
inherently subject to significant operational, business, economic
and regulatory uncertainties and contingencies. These assumptions
include the availability of funds for the Company's projects;
availability of equipment; sustained labour stability with no
labour-related disruptions; all necessary permits, licenses and
regulatory approvals are received in a timely manner; and the
ability to comply with environmental, health and safety laws.
Although the Company has attempted to identify important factors
that could cause actual results to differ materially, there may be
other factors that cause results not to be as anticipated,
estimated, described or intended.
Readers are cautioned not to place undue reliance on
forward-looking statements and should note that the assumptions and
risk factors discussed in this press release are not exhaustive.
Actual results and developments are likely to differ, and may
differ materially, from those expressed or implied by the forward
looking statements contained in this press release. All
forward-looking statements herein are qualified by this cautionary
statement. The Company disclaims any intention or obligation to
update or revise any forward looking statements, whether as a
result of new information, future events or otherwise, except as
may be required by law. If the Company does update one or more
forward-looking statements, no inference should be drawn that it
will make additional updates with respect to those or other
forward-looking statements, unless required by law. Additional
information about these assumptions, risks and uncertainties is
contained in our filings with securities regulators.
SOURCE Foran Mining Corporation
