Toronto-based Kenora Gold Occurrences (ASE) has signed a memorandum of agreement to acquire a 49% interest in the 2-claim MWF gold prospect in Matheson Twp., Ont. The deal was made recently with prospector Corrie Miller. The other 51% interest in the property is held by Anglo Canadian Mining (TSE), which is committed to undertake a $250,000 work program by June 30. Subject to shareholder and regulatory approval, Kenora will acquire its 49% stake in the property by issuing seven million shares to Miller who will retain a 3% net smelter royalty. The issuance of Kenora’s shares will result in control of the company passing to Miller, who may replace the company’s current board of directors with his nominees.
The MWF property is surrounded by claims and leases held by Falconbridge Gold (TSE) which operates the high-grade Hoyle Pond gold mine nearby in Hoyle Twp. An underground exploration program costing $1.8 million is slated for the mine this year, while another $1.7 million has been budgeted by Falconbridge Gold for surface exploration on its other Timmins area properties.
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