Pakwash North Property

We optioned Pakwash North to BTU Metals in a cash and stock transaction whereby they can earn up to an 80% interest in the property and we retain an equity stake in any future exploration success,” Michael Romanik, president of GoldON. 

GoldON optioned the original 1,640-hectare property formerly referred to as Bruce Lake in 2019 (see news release of March 28, 2019) and increased the land package to 3,106 hectares later that year via staking.

The property is now referred to as Pakwash North (the “Property”) and under the terms of the option agreement with BTU Metals (see news release of March 23, 2021), BTU can earn up to an 80% interest in the Property for payments to GoldON of up to $75,000 in cash and the issuance of up to 1,400,000 common shares of BTU, and they must incur qualified exploration expenditures on the Property of up to $1,000,000 within 36-months. BTU may elect to stay at certain fixed ownership percentages throughout the option, at which time BTU and GoldON will enter into a joint venture agreement.

Figure 1: BTU-GoldON Pakwash North property and TNT Target (click on image to enlarge).

The Property adjoins BTU's Dixie Halo property and their TNT Target, where their initial work discovered a potentially large VMS style Cu-Ag-Au alteration system (See BTU’s news releases from December 16, 2019, to present). Drilling completed by BTU in 2022 included wide-spaced step-out holes on previously untested geophysical targets (Figure 2) with limited drilling in the immediate area of the TNT discovery.

 Figure 2: Except from a BTU technical presentation.

As reported in a BTU' news release of November 29, 2022, most of its work done following the TNT discovery focused on the area south of the discovery. Future work will focus on the relatively unexplored areas to the north of and near the TNT discovery. Anomalous gold was encountered in most of the drill holes in the TNT area and there are strong similarities between the rock units and alteration at the TNT area and the LP Fault area that hosts the world-class gold mineralization on the Kinross Dixie project to the northwest. The extension of the LP Fault structure, if it continues to the southeast on the Kinross project and beyond would be through the area north of the TNT discovery and the associated broad alteration that accompanies the mineralization.

The Property is also approximately 11 km southeast of the multiple high-grade gold discoveries Great Bear Resources made on the Dixie property (now owned by Kinross) and shares its southern boundary with Kinross' Bruce Lake property. Ontario Provincial Highway 105 bisects the Property providing year-round access to and from the regional infrastructure with the town of Red Lake ~36 km northwest.

GoldON owns a 100% interest in the Pakwash North property subject to a 1.5% net smelter returns (NSR) royalty held by EMX Royalty.

Mike Kilbourne, P. Geo, an independent qualified person as defined in NI 43-101, has reviewed and approved the technical contents of this webpage on behalf of the Company.