Under the terms of the deal, Ashburton will acquire 60% interest in the project by issuing 1.5 million shares and incur $200,000 expenditures year one and the further issuance of 1.5 million shares, incur $250,000 expenditures and pay $25,000 cash in the second year.
In near future, Ashburton is planning to commence a 2,000m drilling program at the 1,683ha project, which comprises 28 claims in Ranges VIII and IX, Buckingham Township.
The drilling program is aimed at testing high priority targets in the southern area of the claims.
Ashburton Ventures president and CEO Michael England said: "Our review of data acquired with the project suggests extensive strike length of mineralization, continuing along strike from the historic workings, which we intend to test with the upcoming drilling program.
"This initial program targets only a small portion of the total potential at the Buckingham project and we anticipate a busy season going into 2016."
The company said that the exploration assay results on the southern part of the claim group has yielded as high as 21.6% Cg (graphitic carbon) over 14.5m from channel samples and purity results up to 96.1% total carbon from large flake fractions.
The property is located 1.7km north of the producing Walker Graphite Mine and covers the northern extension of a graphitic zone beginning on Caribou King Resources’ Buckingham Property.
