TomaGold Corporation (TSXV:LOT) signed an option agreement with IAMGOLD Corporation, whereby IAMGOLD may earn a 50% interest in each of the Monster Lake, Winchester and Lac à l’eau jaune properties for $17.575 million, including $16 million in exploration work and $1.575 million in payments over five years.

As quoted in the press release:

IAMGOLD will act as the project operator with the support of TomaGold personnel during the acquisition period of its 50% interest. Once IAMGOLD has acquired its 50% interest in the Properties, the interests of TomaGold and Quinto Real Capital Corporation (“Quinto”) will be diluted proportionately such that TomaGold and Quinto hold interests of 45% and 5%, respectively, in the Monster Lake property.

TomaGold President and CEO David Grondin said:

We are proud to have signed an agreement with IAMGOLD, a major gold producer with proven expertise in Quebec and the rest of the world. IAMGOLD’s financial and technical resources will enable us to explore Monster Lake and the neighbouring properties faster and in a more optimal manner. In addition, the larger work commitments mean that exploration work on the Properties will be ongoing. In short, this transaction is a testimony to the gold potential of Monster Lake and its surroundings, and we hope to eventually turn it into a mine.

Click here to read the TomaGold Corporation (TSXV:LOT) press release

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