May 23 2014
Falco Pacific Resource Group Inc. ("Falco Pacific") announces that it has completed the Option Agreement (the "Option") with Vior Inc. to acquire 100% ownership of 34 claims (1,331 hectares) which comprise the Beauchastel Gold Property (the "Property").
The Property is located in the Flavrian Gold District and is an interlying property to Falco Pacific's holdings in the district, located in the west central portion of the Rouyn-Noranda camp in Quebec.
Falco Pacific exercised the Option by making the final cash payment of $25,000 and an issuance of 125,000 common shares to Vior Inc. The common shares issued pursuant to the exercise of the Option are subject to a hold period expiring September 22, 2014. Please refer to Falco Pacific news release (NR 12-14) dated August 15, 2013 for complete details of the agreement.
In addition, under the terms of the Option Agreement, Vior Inc. will retain a net smelter return ("NSR") royalty of 2% on the Property with Falco Pacific having the right to buy back up to 1% of the NSR for $1 million at any time. Falco Pacific also has a right of first refusal on the sale of the remaining 1% NSR royalty.
Dr. Michael Byron, V.P. Exploration comments, "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."
The acquisition of the Beauchastel property, supplementing Falco Pacific's land holdings in the district, gives Falco Pacific control of 13 kilometres of the Quesabe fault structure to explore. In addition, Falco Pacific continues to compile data on the former Quesabe Mine in order to assess the previously outlined zone and identify potential targets as the deposit is open at depth and laterally and lies along strike with the Beauchastel property.
About Falco Pacific Resource GroupFalco Pacific controls over 700 square kilometres of the world-class Rouyn- Noranda gold-base metal mining camp in the Canadian province of Quebec. Long considered one of the crown jewels of the Canadian mining business Falco Pacific's Rouyn-Noranda Project is centered around the Horne Gold-Copper Mining Complex which includes the wholly owned Horne 5 gold-copper-zinc-silver deposit which Falco Pacific is actively evaluating. For more information, on the Horne 5 Deposit and Falco Pacific please visit: https://www.falcores.com/en/ or see our public disclosure records at: https://www.sedar.com/homepage_en.htm On behalf of the Board of Directors of FALCO PACIFIC RESOURCE GROUP
Jim Davidson, Interim Chief Executive Officer
Source: https://www.falcores.com/en/