Pistol Bay (TSX.V-PST) has signed Confidentiality Agreements (“CAs”) with two prospective partners who have expressed interest in farming in to part or all of the 42,000-acre Confederation Lake zinc-copper project east of Red Lake, Ontario. One CA has been signed by a mid-tier producer, and the other by a junior exploration group.
Pistol Bay has applied to the Ontario Ministry of Northern Development and Mines (“MNDM”) for exploration permits covering the Garnet, Fredart, Moth and Fly claim groups. The MNDM circulated the applications to potentially affected First Nations and other aboriginal organizations on September 22, 2017, with no comments or concerns received to date. Exploration permits are normally issued within 50 days of the circulation date unless serious concerns have been raised by indigenous interests. The Company currently holds an exploration permit for the Dixie property.
Charles Desjardins, CEO of Pistol Bay, commented “The level of interest expressed by companies that have approached us about possible farm-ins and joint ventures is a testament to the quality of the Confederation Lake project. With zinc prices at a record high, there’s lots of demand for zinc and copper exploration projects. Not many companies can offer a belt-wide property base with proven VMS mineralization and a new airborne EM survey with multiple untested targets.”