Lion Copper and Gold Corp (TSX-V:LEO, OTCQB:LCGMF) announced that its Falcon Copper Corp-controlled subsidiary has signed an Option to Joint Venture (JV) Agreement with Kennecott Exploration Company, a subsidiary of Rio Tinto, to advance exploration on Falcon's Cabin property and Kennecott's contiguous Muncy Creek property, collectively called the Schell Creek Project, in Nevada.
The resource project developer said the 9,000-acre Cabin property covers a prospective porphyry copper target, with historical drilling having intersected copper mineralization that provides evidence of a significant copper system extending under alluvial cover.
"This agreement provides a clear path for Falcon Copper to maximize value of these two exciting eastern Nevada copper porphyry targets through diligent exploration over the next two years," Lion Copper and Gold CEO Travis Naugle said in a statement.
"Kennecott's option to then earn-in to a minority interest, or receive a royalty, underscores the potential they see at both Muncy Creek and Cabin," he added.
Lion Copper and Gold noted that neither the Cabin nor Muncy Creek properties have been drilled with modern techniques in recent decades.
It added that exploration plans for the Schell Creek Project are being immediately prepared and include geophysical surveys, geologic mapping, geochemical sampling and exploration drilling of identified targets.
The 6,000-acre Muncy Creek property contains zones of known high-grade copper-silver-lead-zinc carbonate replacement mineralization that may overlie a larger concealed copper porphyry system, as suggested by sampling, geophysical anomalies and limited past production from the Aurum Mining District, according to the company.
Lion Copper and Gold is a Canada-based company advancing its flagship copper assets at Yerington, Nevada through an Option to Earn-in Agreement with Rio Tinto.
Contact Sean at sean@proactiveinvestors.com