White Metal Resources (TSXV: WHM) signed a letter of intent with Quadro Resources (TSXV: QRO), a company that is interested in acquiring a 70% interest in the Seagull Lake platinum-palladium project in Ontario, eastern Canada.
Known platinum group element-copper-nickel zones in the Seagull Lake Intrusion support the interpretation that Proterozoic ultramafic intrusions in this area have undergone magmatic processes that are capable of producing large PGE-Cu-Ni sulphide deposits
In order to go ahead with the deal, Quadro has three years to make cash payments totalling $275,000. Over the same period, the company also has to issue 6.5 million shares and spend $1.55 million on exploration.
Seagull Lake covers 7,539 hectares and is about a one-hour drive north of the port city of Thunder Bay. It sits about 50 kilometres south of Impala Canada’s Lac des Iles mine and is about 28 kilometres north of the copper, nickel and platinum group element discoveries of Rio Tinto and Panoramic Resources.
The primary target in the project area is the Seagull Lake Intrusion, described as a 10-kilometre diameter, circular intrusive composed of ultramafic rocks with a high olivine content and derived from a deep mantle source.