Falco Pacific Resource Group (TSX:V.FPC, Stock Forum), a Vancouver-based firm engaged in the exploration and evaluation of base/precious metal properties, announced today that the company had completed the option agreement with Vior to purchase 100% ownership of 34 claims that make up the Beauchastel gold property located in the Flavrian Gold District in the west central portion of the Rouyn-Noranda camp in Quebec.
According to the news release, the company exercised the option with a final cash payment of $25,000 and the issuance of 125,000 common shares to Vior.
Terms also stated that Vior will retain a net smelter return (NSR) royalty of 2% on the property with Falco having the right to buy back up to 1% of the NSR for $1.0 million at any time. Falco also have first right of refusal on the sale of the remaining 1% NSR royalty.
The transaction gives the company control of 13 kilometres of the Quesabe fault structure to explore.
Company V.P. Exploration, Dr. Michael Byron, commented, “This addition effectively consolidates Falco Pacific's strategic land position in the Flavrian Gold District, securing ownership of 13 kilometres of the Quesabe Fault, a known gold bearing structure which hosts Falco Pacific's former producing Quesabe Gold Mine.”
Falco Pacific was in the news recently when the company appointed former Agnico-Eagle executive, Paul-Henri Girard, as board director.
Currently there are 71.1m outstanding shares with a market cap of $35.2 million.
FULL DISCLOSURE: Falco Pacific is a Stockhouse Publishing client.