MDN Inc. is pleased to announce that it has entered into two option agreements dated February 13, 2015 for the acquisition of 100% interest in two properties located in the Thunder Bay Mining Division, 45 kilometers north-west of Marathon, Ontario, known as the Prairie Lake Property and Prairie Lake South Property.
Two Agreements have been reached:
- The Company has the option to acquire an interest of 100% on the Prairie Lake Property by paying an aggregate of C$ 190,000 and issuing a total of 2,850,000 common shares over a four years period. The Company must also incur a minimum of C$ 305,000 in exploration over four years. The Prairie Lake Property consists of 210 mineral claims in 16 claim blocks covering 3,360 hectares in the Killala Lake Townships.
- The Company has the option to acquire an interest of 100% in the Prairie Lake South Property by paying an aggregate of C$ 93,000 and issuing a total of 1,300,000 common shares over a four years period. The Company must also spend a minimum of C$ 115,000 in exploration over four years. The Prairie Lake South Property consists of 37 mineral claims in 4 claim blocks covering 592 hectares in the Killala Lake Townships.
Rock sampling done by the vendor and by the Geological Survey of the Ministry of Northern Development and Mines in Thunder Bay (MNDM) confirmed the occurrences of alkaline rocks which contain niobium assays as high as 1.63% Nb2O5. The samples consisted of grab samples and samples taken from blasted outcrops. Activation Laboratory (Actlabs) from Thunder Bay, an ISO 17025 accredited laboratory, analyzed niobium by XRF on fused borate beads.
IOS Services Geoscientifiques Inc. was then mandated by MDN Inc. to carry out a reconnaissance on the properties. Five composite samples from the blasted sites plus a grab sample were collected and analyzed by XRF on fused borate beads. Analyses confirmed a significant potential for niobium and phosphorous mineralization, with niobium values as high as 0.894% Nb2O5.
The property encompasses part of the outer ring of a circular aeromagnetic anomaly, a signature comparable to the Niobec mine and many other niobium bearing carbonatitic complex.
"We are very excited with these options to acquire the two Prairie Lake properties considering the occurrence of high niobium grade from grab samples taken on the properties. While the properties includes high values of REE and P2O5, our focus is to delineate a niobium resource", commented Claude Dufresne, President and CEO. "The market currently has a big appetite for niobium projects and Prairie Lake has the potential to become one of the highest grade niobium open pit project in North America.", M. Dufresne added.