Minefinders sells Quebec properties to Malartic Hygrade

For $1.5 million in cash, securities and work commitments, Minefinders (VSE) has agreed to sell some of its Quebec properties to Malartic Hygrade Gold Mines (Canada) (VSE). Malartic Hygrade, Minefinders second largest shareholder, will acquire the Dubuisson, Agar, Cuvillier and Chevrier Lake properties through the deal. Payment will take the form of cash, common shares of Malartic, and exploration expenditure commitments. In addition, Malartic’s 15.3% interest in Minefinders will be cancelled.

Minefinders’ $500,000 summer exploration budget has been directed primarily toward the Agar property near Miquelon, Que., where a new gold discovery was made last year.

As part of the agreement, Minefinders will retain varying degrees of participation in each of the properties. The agreement is subject to regulatory and shareholder approval.