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An Exciting New Copper Land Package Sweetens This Mining Stock

Stockhouse Editorial
1 Comment| September 1, 2021

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(Image via Peloton Minerals Corporation. Click to enlarge.)

Strong demand and declining reserves have helped move gold, silver, and even copper prices to their multi-year highs in 2021 and one miner has taken advantage of a robust resource of the latter of those minerals in Montana.


Click to enlarge


That miner is Peloton Minerals Corporation (CSE: PMC, OTC: PMCCF, Forum), who recently reached an agreement to acquire Westmount Resources LLC through its subsidiary, Celerity Mineral Corporation.

Westmount holds a 100% interest in 331 unpatented mineral claims called the Boulder Porphyry Property located near Butte, Montana. The shareholders of Westmount will be issued 50% of the issued and outstanding shares of Celerity in exchange for their Westmount Shares in this arms length transaction.

Located approximately 16 miles north-northeast of Butte, Montana, the Boulder property is known to contain a large copper-molybdenum porphyry system within the Boulder Batholith and coeval Elkhorn Mountains Volcanics which is overlain by 300 to 2,100 feet of post-mineral Lowland Creek Volcanics. As a result, the porphyry system on the Boulder Property is not well exposed.

Under the agreement, in addition to receiving 50% of the issued and outstanding Celerity Shares, Westmount shareholders will also receive a promissory note in the amount of $600,000 (USD) to be paid within one year, and a 1% net smelter return royalty that may be bought down prior to commercial production by one-half for $5 million (USD).

Peloton plans to have Celerity self-fund its operations and seek to become its own publicly traded company in a series of financings and transactions.

Peloton shareholders will receive Celerity shares at no cost as a dividend in kind and be given the opportunity to participate in Celerity financings by way of a rights offering or other private placements.

The proceeds will be used to pay out the promissory note, complete geophysical fieldwork, initiate the drill permitting process and seek a Celerity listing on a Canadian Exchange.

Via a news release from August 31st, President and CEO Edward (Ted) Ellwood commented on the acquisition, noting that the team had its eye on this project for more than a decade and are pretty happy to stake their claim upon it.

“It is an exciting exploration target with tremendous upside potential and fits extremely well with the potential of our Nevada Carlin style gold projects which we also continue to advance and remain excited about. As for the financing and structural strategy, we feel this is the best approach toward financing the project adequately while minimizing Peloton dilution. Any percentage of another Butte would be significant.”

Peloton now holds interests in two Montana projects (the Boulder Property and the SBSL epithermal gold exploration project which is under option to Frederick Private Equity and African Metals) as well as three Carlin-style gold exploration projects in Elko County, Nevada.

On that side of their operations, Peloton appears to be on the verge of finalizing serious inroads into the global-leading gold exploration and mining jurisdiction of Nevada.

With the gold price back around the $1,800 mark, now is the time for companies to make these moves and Nevada is a top spot to be when it comes to gold, especially where Peloton Minerals is in the northeastern region of the state.

It is a part of the state has a series where major gold trends have hosted multiple mines. One of the company’s projects sits on that Carlin Gold Trend, while the other two sit along the newly identified Long Canyon Trend — a region which the company said is an exciting opportunity.


(Peloton Minerals Corporation stock chart – Aug 2021. Click to enlarge.)

The company’s stock is up 19% on the month and could prove to be a fall 2021 success story for any trader’s metal and mining portfolio.

Finally, investors will want to keep their eyes out for multi-mineral companies like Peloton that are active in prolific regions like Nevada — a safe and stable jurisdiction and company that consistently deliver results.

To find out more, visit pelotonminerals.com.


FULL DISCLOSURE: This is a paid article produced by Stockhouse Publishing.




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