Exploration company Jaxon Minerals has signed a binding letter of intent (LoI) to acquire a 100% interest in the Foremore property in the Golden Triangle, British Columbia, Canada.
The 15,500ha property is located adjacent to Jaxon’s recently acquired Wishbone property.
Jaxon president and CEO Jason Cubitt said: "We were looking hard for a chance to increase our exposure in the region, and when the offer presented to pick up a 100% interest in a land package of this size and quality, adjoining our southern border, we jumped at it.
"Consolidating these properties fits perfectly within our mandate to develop district scale precious metals-rich properties in premier mining districts."
Under the agreement, Jaxon will pay $5,000 on signing the deal, with around $695,000 to be paid over the next five years.
The five-year period also includes a stock consideration of 2,550,000 Jaxon shares.
In addition, following the start of commercial production, the company will pay $2.5m and a further 2,500,000 Jaxon shares.
The Golden Triangle comprises past and current mining operations including Johnny Mountain, Red Mountain, Snip Mine, Premier Mine, Golden Bear, and Valley of the Kings.
According to Jaxon Minerals, the Foremore project consists of known precious and base metal-rich mineralised boulder fields and outcrops, as well as numerous geochemical and geophysical anomalies in multiple areas.
Jaxon Wishbone and Foremore properties states exploration programme manager Bruce Ballantyne said: "We have the benefit of an enormous amount of historical data to compile and interpret at these projects, covering almost 200km² and over $10m in work.
"We will focus on joining these two district-scale datasets, keeping our field expenditures to a minimum this year, prioritising due diligence and then locating some of the spectacular results."
The company noted that the work programme planned for August this year will be shared after fully reviewing all available data previously generated on Foremore.