Azimut Exploration and Poland’s KGHM Polska Miedź subsidiary KGHM International have signed a joint venture (JV) agreement for the Kukamas Property in the Eeyou Istchee James Bay region in Quebec, Canada.

Under the agreement, KGHM will have the option to acquire an initial 50% stake in the Kukamas property from Azimut over a four-year period, by incurring exploration expenditures of $5m.

Planned to commence in early 2023, the first exploration programme at the property will include a high-resolution magnetic-electromagnetic heliborne survey, and a detailed lake-bottom sediment survey, among other activities.

Upon earning a 50% interest in the property, KGHM will have the option to earn an additional 20% stake with a further investment of at least $4.2m.

This investment will be used to complete and deliver the property’s preliminary economic assessment study (PEA).

If it decides not to exercise the additional stake option, KGHM will be required to make a final payment of $75,000 in cash to Azimut.

Located within the La Grande Subprovince, 7km north of the Opinaca Subprovince, the Kukamas copper-gold project includes 536 claims in two blocks of claims.

In a press statement, Azimut said: “Kukamas displays one of the strongest geochemical footprints for copper-gold mineralised systems in the James Bay region, marked by strong values in copper, silver, arsenic and antimony in lake-bottom sediments.

“The geology is characterised by extensive shear zones, clastic metasediments, iron formations, and mafic to felsic metavolcanics surrounding granitic intrusions. The project is considered as largely underexplored.”