Formation set to expand maiden drill program in Quebec
Formation Metals Inc. [FOMO-CSE, FOMTF-OTCPK, VF1-FSE] said it has elected to expand the maiden drill program at its N2 Gold Property located 25 kilometres south of Matagami, Que., to a fully funded 7,500 metres.
The 7,500-metre Phase 1 program is part of a planned 20,000-metre multi phase drill program at N2, an advanced gold project with a global historic resource of 870,000 ounces, consisting of 18 million tonnes of 1.4 g/t across four zones, A East, RJ-East and Central, and 243,000 tonnes of grade 7.82 g/t gold (61,000 ounces) across the RJ Zone.
The company expects to commence on the program in July, having officially filed its annual exploration work notice with the responsible municipal authorities for its upcoming 2025 exploration activities on June 17, 2025.
“We see the potential for a significant gold deposit at N2, and our maiden 7,500 metre drilling program will mark the beginning of Formation’s pursuit of that goal,” said Formation CEO Deepak Varshney. “Our maiden program will focus on building on the successes of our predecessors,” he said. “The drilling discoveries made by Agnico-Eagle Mines Ltd. [AEM-TSX, AEM-NYSE] and Cypress show the potential at N2. With gold at almost US$3,400, over four times the price in 2008 when Agnico last drilled the project, we believe that the timing is perfect for N2 and look forward to a busy upcoming quarter.”
The N2 property consists of 87 claims that cover 4,4000 hectares of land within the Abitibi subprovince of Northwestern Quebec. The property is just 25 kilometres south of Matagami, Que., and the claims are accessible year-round by provincial highways and logging roads.
In a press release on January 16, 2025, Formation said it had executed an option to purchase a 100% interest in the N2 property from Wallbridge Mining Co. Ltd. [WM-TSX, WC7-FWB] Formation said it could exercise the option by paying $550,000 cash and issuing 4.0 million common shares. It also pledged to complete $5.0 million worth of work expenditures over a period of six years. Balmoral Resources, which merged with Wallbridge in 2020, acquired the property in 2010. Thereafter, Balmoral conducted a property-wide VTEM, data compilation and IP orientation survey of 14.4 kilometres that covered three known horizons of mineralization. Formation said the results of these surveys showed a strong correlation between between chargeability response and known gold mineralization, and emphasized chargeability anomalies along trend from gold mineralization where no drilling had been previously conducted.
Once the groundwork has been laid to establish a pipeline of future discoveries, Formation plans to advance the known gold zones through drill programs designed to test extensions along strike and depth of the historical resources on the property.
Formation shares were unchanged Monday at 39 cents. The shares are trading in a 52-week range of 42.4 cents and $0.09.
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