Argo Gold sells Rockstar property in Ontario
Just a month after selling its South Wawa gold property, Toronto-based Argo Gold (CSE: ARQ) announced that it is selling its Rockstar Gold Property to Manitou Gold (TSXV: MTU).
Rockstar is located in Ontario's Sault Ste. Marie Mining Division, 50 kilometres north-northeast of Wawa, and contains six known gold bearing occurrences. The most significant prospects are the Rockstar Prospect and the Tracanelli Prospect. Assay results from the first prospect have ranged from 1.4 to 61.7 grams gold per tonne, while gold mineralization from Tracanelli has ranged from <1 gm/tonne up to 1140 gm/tonne Au.
According to the agreement signed between the two companies, Argo Gold has agreed to sell its 100% interest in 16 unpatented mining claims comprising Rockstar. In exchange, the miner would get CDN$200,000 payable on the closing date, 4 million shares of Manitou Gold, and a 1% net smelter return royalty. Manitou has the option to purchase 0.5% of the royalty from Argo for CDN$500,000.