Cloudbreak Discovery PLC (LSE:CDL) said it entered into an option agreement on the Icefall polymetallic project in British Columbia with 1311516 BC Ltd (BCCo).
The Icefall project is part of the Northwest Portfolio which Cloudbreak announced last September.
READ: Cloudbreak Discovery pushes ahead with Canadian exploration programmes
Several surface showings have been observed within the same geologic setting and structural corridor as the New Polaris and Tulsequah Chief projects which are targeting polymetallic mineralisation, said Cloudbreak.
Under the option agreement, BCCo is required to spend C$700,000 (£415,000) on exploration over a three-year period, with at least C$50,000 being spent before March 7 2023, to earn a 75% interest in the project. BCCo will also issue 2.0 million shares to Cloudbreak and pay a total C$120,000 in cash via a series of payments.
"The Northwest Portfolio represents a great opportunity in an underexplored region of British Columbia,” said Cloudbreak chief executive Kyler Hardy. “The region has historically had meaningful production; however, the area has not been subject to modern exploration techniques.
“We look forward to working closely with our partner to advance the Icefall project with the latest technology, in order to build a clearer geologic picture."