Skip to main content

East Cadillac Gold Project

Location Val-d’Or Gold District, Quebec, Canada
Development Stage Advanced Exploration
Acquired 2016
Ownership Earn-in to 80-100% + 100% Owned
Project Area 233km²
Resources (JORC 2012) Nordeau West: Measured and Indicated Resource of 225,000Mt @ 4.17g/t Au. Inferred Resource of 1.11Mt @ 4.09g/t Au

LOCATION

The East Cadillac Gold Project covers an area of 233km2 and is located ~35km east of the >20Moz Val-d’Or gold district in Quebec, Canada.  The Project lies within the prolific Abitibi greenstone belt, a globally significant district with a known gold endowment of >210Moz.

Chalice’s land holdings encompass a strike length of 27km of the Larder Lake-Cadillac Fault, the most prolifically endowed gold trend in the southern Abitibi.

The Project is along strike from several major mines including Canadian Malartic (>16Moz Au Agnico Eagle and Yamana) and Sigma Lamaque (>11Moz Au Eldorado Gold). The Project surrounds the historical Chimo gold mine, owned by Cartier Resources (TSX: ECR – 17% owned by Agnico Eagle), which produced ~379koz @ 4.8g/t Au (Figure 1 and 2).

East Cadillac has all season access and world class infrastructure including road, rail and power. Quebec is a mining friendly jurisdiction with no state royalty and a 30% exploration rebate. 

THE OPPORTUNITY

Acquired in late 2016, the East Cadillac Gold Project is a consolidation of several earn-in option agreements (Chalice earning 80 to 100%) and Chalice’s 100%-owned claims.

Since acquiring the Project, Chalice has completed systematic geochemistry and geophysics field programmes as well as a ~27,600m regional diamond drilling programme targeting large-scale gold systems, with three new, wide-open mineralised trends discovered to date.

Chalice is currently conducting regional exploration on the Project, targeting large-scale (+5Moz), high-grade gold deposits.

DRILLING

An 5,300m reconnaissance diamond drilling programme was recently completed. The programme was planned in two phases to test the Anderson and Legrand Targets, which represent newly identified large-scale, coincident MMI geochemical and 3D-IP anomalies located to the north and south of the Larder Lake – Cadillac Fault (LLCF), respectively.

Drilling to date has identified several new, wide open mineralized zones in addition to advanced prospects. Further drilling to fully define these targets is currently being planned. 

For the latest information please refer to our Investor Presentation and ASX Announcements.

ACQUISITION TERMS

The East Cadillac Property comprises two earn-in agreements in addition to the ground wholly-owned by Chalice:

Nordeau Project (Globex): Chalice may acquire a 100% interest by making annual option payments totalling C$590,000 over four years to Globex (including an initial payment of C$120,000 in the first year) and undertaking exploration expenditures of C$2.5 million also over a four-year period. Upon exercising the option, Chalice will grant a 3% Gross Metal Royalty to Globex (there are currently no existing royalties in relation to the Nordeau Project and no government royalties). Chalice has the right to withdraw (with no minimum expenditure commitment) without earning an interest in the Nordeau Project at any time.

Denain-Pershing Project (Renforth Resources): Chalice may earn an 80% interest in the Project by making total option payments of C$200,000 to Renforth and funding exploration expenditures of C$1.25 million over a period of three years. Upon completing all obligations Chalice shall revert to a 2% NSR upon either party diluting its Project interest to less than 10%, unless the aggregate royalties payable to any party in respect of a particular claim would exceed 3%, in which case the royalty rate will be reduced such that the maximum aggregate royalty is 3%. The Denain-Pershing claims have pre-existing NSR royalties of up to 2%.

RELATED DOCUMENTS