Pacton Gold Inc (CVE:PAC) (OTCMKTS:PACXF) is expanding its land package in the mineral-rich district of Red Lake, Ontario.
The company announced Monday that it has acquired two additional claims in the region to add to its existing assets for a total of 20,634 hectares in Red Lake.
Pacton acquired the Golden Loon and Pakwash properties from 1544230 Ontario Inc in a cash and shares deal.
READ: Pacton Gold's sampling program returns results of up to 126.5 grams per ton gold at Red Lake project
Golden Loon is just north of Newmont Goldcorp’s Sidace Lake project, which boasts a mineral resource of nearly 219,000 ounces at 3.2 grams per ton (g/t) gold. According to Pacton, the main geological feature is an extension of Sidace Lake’s fault, making it the focus of the company’s initial exploration work.
Pakwash and Pakwash West is contiguous to Great Bear’s claim package and hosts highly prospective geological features including the Sydney Lake fault.
(Photo: map showing regional Red Lake land ownership showing major projects and Pacton Gold’s recently acquired properties, Golden Loon and Pakwash)
"The Red Lake gold district in Ontario hosts some of the richest gold deposits in the world and, as evidenced by recent high-grade discoveries, the region remains a major exploration hotspot,” said Dale Ginn, Pacton’s executive chairman.
The junior explorer’s land is situated between Pure Gold Mining Inc's. (CVE:PGM) (LON:PGM) Madsen project and Great Bear Resources Inc's. (CVE:GBR) Dixie Lake property, both home to high-grade gold.
“We are encouraged by our recent early exploration activities on our main claim group at Red Lake, and we are very pleased at the opportunity to expand our land position in this key district,” Ginn said in a statement.
Under the terms of the agreement, Pacton receives a 100% interest in both properties in exchange for a total of C$200,000 and 400,000 shares in the company.
Pacton expects to explore Pakwash before winter 2019 and will get to work on mapping and prospecting at Golden Loon in 2020.
Contact Angela at angela@proactiveinvestors.com
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