Plato sells Timmins prospects to Mayfair for C$2.5m
TSX-V-listed exploration company Plato Gold Corporation has entered into a definitive asset purchase agreement with Mayfair Gold Corporation whereby Mayfair will acquire Plato’s interest in the Guibord, Marriot and Holloway properties located in the Timmins, Ontario area, for a total cash consideration of C$2.5-million.
The properties consist of mineral claims and mining leases located along and adjacent to the Destor–Porcupine structural corridor in the Timmins gold district.
The transaction intends to allow Plato to monetize noncore assets and focus its resources on advancing its remaining exploration portfolio.
Plato president and CEO Anthony Cohen says the company is pleased to conclude the sale of these assets to Mayfair to concentrate on its flagship Good Hope niobium project, as well as other projects that can add value for Plato’s shareholders.
Under the terms of the agreement, Mayfair will acquire Plato’s 50% interest in Guibord, which consists of 16 mineral claims and two mining leases covering about 275 ha. The property is located south-east of the Timmins mining camp and benefits from highway access.
The Marriott property involves a 100% interest in 142 contiguous mining claims covering about 2 728 ha. The property is an early-stage exploration asset within the broader Timmins mining district.
The Holloway property, comprising 100% interest being sold, consists of ten contiguous mining claims covered by a mining lease, totalling about 156 ha. Both the Marriot and Holloway properties are accessible through Highway 101.
On closing of the transaction, the cash consideration will be paid into escrow and released to Plato in stages: 50% upon completion of the transfer of the Marriott property; 25% upon completion of the transfer of the Holloway property; and 25% upon completion of the transfer of the Guibord property.
Plato’s Good Hope nobium project consists of about 6 035 ha in Killala Lake Area and Cairngorm Lake Area townships, near Marathon Ontario. The company retains its 95% interest in Winnipeg Minerals, which is an Argentinian entity holding a number of mineral rights totalling 9 672 ha prospective for gold and silver.
The company also has a platinum group metals project called Pic River, which consists of 2 352 ha in Foxtrap Lake and Grain townships, near Marathon Ontario.
