Trading Symbol: TSXV: NAR
VANCOUVER, BC, Oct. 3, 2024 /CNW/ - North Arrow Minerals Inc. (TSXV: NAR) ("North Arrow" or the "Company") is providing an update on the transaction announced September 3, 2024, specifically an option agreement with Rockman Resources Ltd. ("Rockman") under which North Arrow can earn a 60% interest in the Kraaipan Gold Project (the "Project"), located within Botswana.
The Company has received conditional acceptance of the transaction by the TSX Venture Exchange. Final acceptance of the transaction is conditional on the Company satisfying a number of filing requirements. The Project consists of three Prospecting Licences ("PLs") held by Rockman. PL089/2021, PL220/2021, and PL026/2022 were granted for a term of three years ending September 30, 2024, December 31, 2024, and March 31, 2025, respectively. In accordance with the Botswana Mines and Minerals Act (the "Act"), Rockman has submitted applications for a First Renewal Period of two years for both PL089/2021 and PL220/2021 and will submit an application for a similar renewal of PL026/2022 in December 2024. Under the Act, Prospecting Licence holders are entitled to the granting of not more than two renewals, each renewal for a period not exceeding two years, and renewal of the PLs is therefore expected to be received in due course.
The Company and Rockman have also amended the option agreement such that:
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Upon incurring cumulative US$5,000,000 in expenditures and delivering to Rockman a written notice of exercise of the option, the Company will issue to Rockman 1,000,000 North Arrow shares at which point North Arrow will have vested its 60% interest, and
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Under the PEA Option Election (as outlined in the Company news release of September 3, 2024) North Arrow will have earned the additional 20% interest in the Project upon delivering a PEA and issuing to Rockman 2,000,000 North Arrow shares.
About the Kraaipan Gold Project, Botswana
The Kraaipan Gold Project is comprised of 1,400km2 of mineral concessions covering the full 60-kilometre strike extent of the Kraaipan Greenstone Belt ("KGB") in Botswana. The KGB is a highly prospective Archean greenstone belt that straddles the Botswana - South Africa border, with proven mineral endowment including Harmony Gold's Kalgold gold mine in South Africa, approximately 40km south of the Project. Past exploration of the northern extent of the KGB has been challenged by Kalahari Desert sand cover, impacting approximately 80% of the KGB within Botswana. The sand cover, while extensive, is typically less than 20 metres over much of the Project but can locally reach depths of up to 70 metres. Limited past exploration of the KGB in Botswana has identified local gold mineralization in shallow drilling of exposed banded iron formation (BIF) targets. A focus of new exploration will be to identify BIF-related gold mineralisation beneath the sand cover. To do this, North Arrow will have access to Rockman's highly experienced Botswana-based exploration team, who are capable of deploying cost-effective proprietary exploration solutions including drone geophysics, truck-mounted drilling and, potentially deep machine learning technologies to rapidly advance the Project.