TomaGold Corporation – Gold Exploration in Quebec
Overview
TomaGold Corporation (TSXV:LOT) is a Canadian based mineral exploration and development company active in the gold camps of northern Quebec. The Company’s management is committed to maximizing shareholder value by using a best geologic practices model in managing, and promoting their highly prospective precious metal assets. TomaGold has a current portfolio of three well-documented gold projects in North Western Quebec’s prolific gold region.
Investment Highlights
- Low share count
- Recently announced strategic joint venture with Quinto Real Capital Corporation
- Experienced management team with proven track record of mine development
- 2012 diamond drill hole M-12-60 averaged 237.6 g/t gold over 5.7 meters
Key Properties
Monster Lake
The Monster Lake property is located in northwestern Quebec, 44 kilometres southwest of the town of Chibougamau. The property consists of 160 mineral claims covering an area of 5,853.7 hectares, and is easily accessible by road with adequate access to hydroelectric power. Over 25,000 meters of diamond drilling has been completed since 1984 along the four-kilometre mineralized zone. Over the winter of 2012 TomaGold completed a 2,420
meter, 16 hole drill program to further delineate the mineralized zone on the Monster property. The Company made a major new discovery in drill hole M-12-60 of 237.6 grams p/t gold (8.38 troy ounces) over 5.7 meters. The associated mineralization occurs in a dark quartz-sulphide vein system within a shear zone 3-10 meters wide in basaltic rock units.
Between 1984 and 1995, the Monster project had 142 drill holes completed for nearly 20,000 meters of exploratory diamond drilling. These historical drill results have confirmed the presence of at least 22 gold showings containing many significant gold intersections, including: 27.55 g/t gold over 4.2 meters, 4.05 g/t gold over 3.9 meters and 6.3 g/t gold over 5.1 meters.
Prior to TomaGold’s acquisition of the Monster Lake Project, the previous owners in the 2011-2012 exploration seasons, drilled an additional 46 drill holes for a total of 5,235 meters of diamond drilling on gold-bearing structures discovered within the four-kilometer mineralized zone. Hole M-25-11 drilled in 2011 intersected a high-grade gold zone grading 101.2 g/t gold over 4.5 meters at a depth of between 49.5 and 54.0 meters, including a very rich section of 223.2 g/t gold over 2.0 meters from 49.5 to 51.5 meters.
In the winter of 2012, TomaGold drilled 18 holes totalling 2,420 meters, with the goal of testing the continuity of Zone 52 at depth and confirming the northern extension of the Annie zone. This program led to a major discovery in terms of grade and continuity when TomaGold intersected 5.7 metres grading 237.6 g/t gold in Hole M-12-60. This intersection lies at a depth of between 69.0 and 74.7 metres down the NQ-sized hole, where over 60 flecks of gold were identified. Hole M-12-60 lies in the northeastern extension of the Annie zone, along the Monster Lake gold corridor.
The average grade of 4.8 g/t gold was obtained after all tests were completed. The sample provided contained quartz as the major mineral, followed by plagioclase and iron sulphides. Cyanide leaching yielded positive results with gold recovery rates upwards of 96.3%.
The positive metallurgical and diamond drill results were tempered with the realization that a joint-venture partner would be required to fully realize the potential of the Monster Lake Property. On November 26th 2012 TomaGold entered into such an agreement with Quinto Real Capital Corporation. The agreement grants Quinto the option to acquire an initial 50% interest in the Monster Lake property in consideration of one million shares of Quinto to be issued on closing of the transaction, $350,000 paid to TomaGold over a four-year period, and funding of $6 million in exploration work over a four-year period. Once it has earned its 50% interest, Quinto will have the option of acquiring an additional 20% interest by the seventh anniversary of the agreement in consideration of $4 million in additional exploration work or a feasibility study fully financed by Quinto.
In the spring of 2012, TomaGold acquired two properties adjacent to its Monster Lake property, in line with its corporate strategy of consolidating its position in this area of high gold potential.
Lac à l’Eau Jaune Property
On April 16, 2012, the Company entered into an agreement with Diagnos Inc. to acquire a 100% interest in 25 mineral claims covering an area of 1,395 hectares in the Chibougamau area, just northeast of the Monster Lake property.
Winchester Property
On May 16, 2012, the Company acquired a 100% interest in 20 mineral claims covering 1,070 hectares (the “Winchester property”) in the Chibougamau area, just south of the Monster Lake property. From 1984 to 1993, the previous owners carried out prospecting and mapping over 20% of the property, along with 40 line kilometers of geophysical surveying (VLF and Mag).
From 1993 to 1996, an induced polarity (IP) geophysical survey was carried out over 7.2 km in the northern part of the property, and an HLEM survey over the entire property, with an additional four drill holes completed totaling 771 meters of drilling in the northeastern part of the property.
These holes were drilled on the property to test geophysical targets (HLEM and Mag) associated with a southwest fault in the Nouvelle gold corridor, as well as their interactions with the distinctive Guercheville and Fancamp corridors.
Three of the holes revealed a new gold-bearing area called Structure 86. This zone is associated with an altered volcanoclastic rock unit that is injected with quartz-carbonate veins containing the gold indicator mineral pyrite. Most of the gold anomalies correspond to a graphitic schist rock unit injected with quartz-carbonate-pyrite veins. Holes 993-01-86 and 993-01-88 returned the best intersections. Hole 993-01-86 intersected 0.24 g/t gold over 80.4 meters, including 0.54 g/t gold over 22 meters, which in turn included 2.46 g/t gold over 1.0 meters and 1.61 g/t gold over 2.5 meters. Hole 993-01-88, drilled 100 meters to the east, intersected the same geological unit at a grade of 0.30 g/t gold over 70.0 meters.
Urban Lake
TomaGold has a 100% interest in the Urban Lake project, which consists of 58 mineral claims covering an area of 928 hectares. The Urban Lake property lies 100 kilometres east of Lebel-sur-Quévillon, near Eagle Hill Exploration’s Windfall property.
The property is located in the Urban-Barry volcanic belt in northwestern Quebec, where six gold showings have been exposed within a 25-km radius, including: Lac Rouleau (544,000 tonnes at 7.0 g/t gold), Barry (610,000 tonnes at 8.55 g/t gold) and Nubar (564,000 tonnes at 6.2 g/t gold).
Vassan
TomaGold has a 100% interest in the Vassan project, which consists of seven mineral claims covering an area of 280 hectares. The Vassan project lies five kilometres northwest of Val-d’Or, Québec, along the Cadillac Fault, in the vicinity of Wesdome’s Kiena gold mine and a number of former gold producers.
In 2006, a National Instrument 43-101-compliant resource estimate for the Hamelin zone showed an Indicated resource of 385,054 tonnes grading 5.01 g/t gold, 0.19% copper and 3.41 g/t silver and an Inferred resource of 62,600 tonnes grading 4.15 g/t gold, 0.10% copper and 1.32 g/t silver. The Hamelin zone remains open along strike and at depth.
Summary
TomaGold is a Quebec, Canada, based junior mining company whose stated objectives are to build up substantial gold resource on existing assets, while pursuing strategic growth opportunities within Canada. To those ends the Company has recently completed a joint-venture partnership agreement with Quinto Real Capital Corporation on their flagship Monster Lake Property; which boasts a mass of positive historic drill data, verified by TomaGold’s own recent drilling and further substantiated by bulk sample metallurgical test. TomaGold’s other prospective mineral properties are at a much less advanced exploration stage; or simply acquired due to their proximity to the Monster Lake Property.
Management
David Grondin – President and Chief Executive Officer
David Grondin has over fifteen years of experience in the financial and mining industries. From 1997 to 2000, he worked as a financial analyst for CTI Capital Inc. He has also been the president, chief executive officer and a director of NQ Exploration (TSX-V: NQE) since November 2007, and a director of Kilkenny Capital Corporation, a venture capital company listed on the TSX Venture Exchange, since August 2011. Mr. Grondin has a bachelor’s
degree in business administration from HEC Montréal.
Maurice Giroux, Geo. – Vice President, Exploration
Maurice Giroux is a professional geologist with over thirty years of experience in international mineral exploration. He has supervised exploration programs, developed mid- sized mining operations and established and maintained strong business relationships in many African countries. He has been the president and chief executive officer of Stellar Pacific Ventures Inc. (TSX-V: SPX) since December 15, 2009.
Martin Nicoletti, CPA, CGA – Chief Financial Officer
Martin Nicoletti is a certified general accountant with more than twenty-two years of experience. He has been involved in global exploration with public junior mining companies since 2004. His duties include financial controls and financial reporting. He presently acts as chief financial officer for a number of public companies.
