Pacific Empire Minerals (TSXV: PEMC) signed a non-binding letter of intent to grant 1111 Acquisition Corp. an exclusive option to earn up to a 70% interest in the Pinnacle copper-gold project in British Columbia, Canada.
Pinnacle is located in central British Columbia, 50 kilometres west of Centerra Gold’s Mt. Milligan mine and 20 kilometres north of the Pacific Empire’s own Jean Marie copper-gold-silver-molybdenum project.
According to the Pacific Empire, since 2014, Pinnacle has seen over $2 million in partner-funded exploration, as an IP survey over three target areas identified three areas of anomalous chargeability, two of which (Elbow and Sooner) were prioritized for follow-up diamond drill testing in 2015. Back then, anomalous gold intercepts were associated with sericite-biotite alteration at the Elbow Zone.
Since 2014, Pinnacle has seen over $2 million in partner-funded exploration
Under the terms of the LOI, 1111 Acquisition can earn a 70% interest by completing $5.7 million in exploration expenditures on the project, paying PEMC an aggregate of C$375,000 in cash payments and issuing 3.5 million common shares to PEMC by the fourth anniversary of the signing of the definitive agreement.
“PEMC continues to pursue additional opportunities for partner-funded drilling on several projects while we advance our Jean Marie, Weedon and Worldstock projects,” Brad Peters, president and CEO of Pacific Empire, said in a media statement. “Drilling at Pinnacle in 1991 intersected intriguing copper and gold values at the Aplite Creek Zone while partner-funded and PEMC-funded drilling over the last six years revealed anomalous gold values over a wide area at the Elbow Zone, in addition to anomalous copper values. We are excited to have a very strong technical group advance the project and look forward to upcoming diamond drilling at Pinnacle in 2021.”