Fairmont announces option payment - Canadian quartz property
By Liz Gyekye
Published: Thursday, 04 June 2015
The company is getting closer to obtaining full ownership of the Lac Bouchette quartz property, in Quebec, Canada, as it continues to push ahead with other quartzite projects.
TSXV listed Fairmont Resources Inc. has proposed to settle a Canadian dollar (C$) 50,000 ($40,057*) option payment to acquire a 100% interest, in the Lac Bouchette quartz property in Quebec, Canada, through the issuance of 263,158 shares at a price of C$0.19/share.
Last year, Fairmont entered into an option agreement with two Quebec based claim holders to acquire Lac Bouchette.
CEO Michael Dehn told IM that the company had one more payment due before the end of the year and then it will have full ownership of the property.
The Lac Bouchette site, consists of eight mineral claims totalling 435 ha (4.35km2), and is located south of Lac StJean, Quebec.
The mine was started in 1933 and produced vein quartz for the ferro silicon industry. Once it takes ownership of the site, Fairmont aims to develop a resource of high purity quartz suitable for the ferro silicon market.
Dehn said:
"Before any commercial production starts, a revised resource from quartz outside the past producing pit will need to be completed, as well as extensions from the past producing pit."
Separately, Dehn said that the company was progressing with its other two quartzite projects.
Fairmont is currently developing its Forestville quartzite property which is located 20km north of the town of Forestville, Quebec. The company said that this quartzite has potential to be used as a raw material for high purity glass, fibre optics and silica metal.
In addition to this, the company’s BaieComeau quartzite project is also producing high purity quartzite.
Dehn said that the goal for this development is to have quartz suitable for the quartz countertop industry.
He added:
"If we could close a C$1.5m to C$2m financing we would likely get all three quartz properties permitted or most likely permitted this year, as well as develop new projects."
Elsewhere, the company is also advancing its Buttercup site, which produces titanomagnetite in Quebec.
Logistics
The GrandeAnse terminal at the Port of Saguenay is situated near the site already handles dry bulk minerals such as deicing salt and caustic soda. The port can host vessels carrying more than 100,000 dead weight tonnes (DWT) and has access to major industries in the region.
Dehn explained: "At Buttercup, the snow has just melted, and we have had recent customer visits to site," adding:
"We are targeting the dense aggregate sector – including railway ballast, dense concrete for nuclear shielding, pipeline and drilling platform ballast, and potentially dense concrete for power dams and bridges in Quebec."
"Customers who have been on site can visually see the consistency of the deposit, which we had previously demonstrated with assay results," he concluded