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Canadian Metals to acquire 3 zinc properties in New Brunswick

Canadian Metals Inc. signed a definitive option agreement to acquire 100% of the TV Tower, Mountain Brook and Blackshale SedEx zinc properties in New Brunswick.

The properties comprise 355 claim units covering 7,762 hectares, according to a March 19 release.

The company will pay C$400,000 in cash and issue 16.0 million common shares to the vendor and spend C$300,000 on exploring the properties before Nov. 1, 2019. The deal also includes a 2% net smelter returns royalty.

Canadian Metals will pay an additional US$4.0 million cash on discovery of 1.0 million ounces of gold or gold equivalent resources at TV Tower, Mountain Brook or Blackshale SedEx, for a total of up to US$12.0 million for the three properties.