Gold Candle acquires Pan American Silver’s Larder property in the Abitibi

Junior explorer Gold Candle says it will acquire all the assets comprising Pan American Silver’s (TSX: PAAS) Larder property in the Abitibi region of Ontario, Canada.

As consideration, it will issue 15 million common shares, which would result in Pan American owning approximately 6% of Gold Candle on a pro forma basis.

The Larder property includes three mineral deposits: Bear, Cheminis and Fernland. The property adds 388,000 oz. of indicated gold mineral resources (5.1 million tonnes at 2.39 g/t gold) and 933,000 oz. of inferred gold mineral resources (6.9 million tonnes at 4.21 g/t gold) to Gold Candle’s portfolio.

The property, located 35 km east of Kirkland Lake, adds over 64 sq. km to Gold Candle’s land package on the Larder Lake Cadillac Break, increasing the company’s total land position to over 270 sq. km.

“Having just closed our acquisition of Fokus Mining, we are very excited to enter into this transaction, which will only further enhance our already significant and highly prospective land holdings on the Larder Lake Cadillac Break,” Gold Candle’s chief executive Rick Howes said in a news release.

“Adding the Larder property provides us with further optionality as it relates to exploration, development and, eventually, operations,” Howes added.

“We look forward to immediately integrating this property into our plans as we determine how to maximize the value potential of our now district-scale land package and growing mineral resource base in the Abitibi.”