Canadian junior mineral exploration company Pegasus Resources has entered into a purchase and sale agreement with Ashley Gold for the Icefield property in British Columbia, Canada.
The deal involves Pegasus receiving 8,000,000 Ashley Gold common shares.
This strategic divestment aligns with Pegasus’ objective to focus on its primary uranium ventures in the US, while still capitalising on non-core assets.
Ashley Gold will provide Pegasus with a seat on its Board of Directors, ensuring oversight of the property’s development, and the right to partake in future financings to maintain at least a 10% equity stake in Ashley Gold.
Furthermore, Ashley Gold will assume all royalty obligations from Pegasus’ original agreements regarding the property.
Pegasus CEO Christian Timmins said: “Our agreement with Ashley Gold represents a significant step in unlocking value from the Icefield Property while allowing Pegasus to retain strategic exposure to its potential.
“This deal supports our broader strategy of monetising non-core assets to drive growth in our high-potential uranium portfolio in the US. With board representation and equity participation rights, Pegasus remains deeply engaged in the property’s future development.”
The Icefield property encompasses the Gold Mountain, Vertebrae Ridge and Punch Bowl sites, which have shown promising historical results for gold, silver, copper and polymetallic mineralisation.
Gold Mountain, covering 1,863 hectares (ha), has reported significant gold, silver and copper values from past sampling and drilling.
Vertebrae Ridge, spanning 5,324ha, has revealed high-grade copper and silver assays, indicating a complex geological system with substantial exploration potential.
Punch Bowl, covering 1,163ha, has historic high-grade gold veins and a newly discovered copper-mineralised zone.
The 2023 exploration programme at Punch Bowl, affected by forest fires, still managed to extend a gold-bearing quartz vein set to around 200m and identified new mineralised veins.
Ashley Gold CEO Darcy J. Christian said: “Combined with our existing high-grade gold properties in Ontario, which remain a cornerstone of our value proposition, this acquisition elevates our asset base to new heights.
“We are now uniquely positioned with a diversified suite of exploration properties that underscores our growth trajectory and reinforces our commitment to delivering value to our shareholders. We remain committed to delivering exploration results as we plot a path forward, working across two premier mining and exploration jurisdictions in Canada.”
In July 2024, Pegasus finalised a deal with KD Prospect to acquire the Jupiter uranium project in Emery County, Utah, US.
