O3 Mining Inc (TSX-V:OIII, OTCQX:OIIIF) said it has now finalized the option deal to buy an 80% stake in the Centremaque property, which sits on the company's Alpha project in Val-d'Or, Québec.
The junior explorer originally struck a deal with Golden Valley Mines and Royalties Ltd over the asset in April 2017, which included that O3 must spend C$4 million in eligible expenditures over four years from that date.
The deal was amended in September this year, such that the O3 Mining subsidiary was allowed to satisfy a shortfall of C$209,460 in required expenditures by issuing shares to Golden Valley instead.
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Now having acquired the 80% stake, Golden Valley and O3 have formed a joint venture to further explore the property and to develop, construct and operate a mine there.
Golden Valley retains a 20% free carried interest, and a 1.5% net smelter royalty (NSR), of which 0.5% may be purchased by O3 for C$1 million.
A member of the Osisko group of companies, O3 Mining is a gold explorer and mine developer on the road to produce from its highly prospective gold camps in Québec, Canada.
Contact the writer at giles@proactiveinvestors.com