In 2016, the Company acquired an option to earn an undivided 50% interest in the Monroe project located 20km south of Cranbrook, British Columbia. The Monroe claims are centred over the Southern extension of the Sullivan Mine Corridor which hosts the world class Sullivan lead zinc mine, located 40 kilometres to the north.
The Sullivan Mine is located at the top of the Lower Aldridge Formation where the Sullivan Corridor links to a basin transform fault feature known as the Kimberly Fault. At Monroe, the Sullivan Corridor is linked to the Moyie Fault forming a mirror image of the Sullivan structural linkage.
To date, the Company has discovered a new buried zone of stratiform lead/zinc mineralization hosted within the Sullivan Mine stratigraphic sequence. The property has striking similarities in volume of alteration, depositional environment and structural and stratigraphic setting to the Sullivan Mine although no economic quantities of lead or zinc have been discovered. The Company has attempted twelve drill holes while managing to complete nine to the targeted depth with three holes lost due to adverse drilling conditions and were not completed to their targeted depths.
Technical drilling difficulties encountered in multiple drill holes at Monroe have made testing the property challenging. Management believe the possibility of discovering a significant deposit of lead/zinc at Monroe exists and further drilling will be required to completely evaluate the project.
In 2016, John Leask and Gordon Leask granted the Company an option to earn an undivided 50% interest in the Monroe property. In order to exercise the option, the Company must make annual optional exploration expenditures totalling $3 million over the next four years. Upon exercise of the option, the Company and the vendors will form a joint venture to further advance the exploration and development of the project, with the vendors holding operatorship. Given the non-arm's length nature of the transaction, the Company received approval from a majority of disinterested shareholders as well as the TSX Venture Exchange.