Canadian gold miner Agnico Eagle will sell its Oijärvi gold project, in central Finland, and the Solvik gold project, in southern Sweden for $10-million to Gold Line Resources, in a transaction that will expand the TSX-V-listed junior's existing portfolio in the Nordic region.

The transaction also involves Gold Line Resources partner, precious metals royalty firm EMX Royalty Corp. Besides $7-million in cash, each of Gold Line and EMX will pay $3.5-million in shares.

Gold Line will purchase the projects from Agnico and Agnico will retain a 2% net smelter royalty, 1% of which may be purchased at any time by EMX for $1-million.

"These highly prospective gold projects have returned promising exploration results in the past and we see significant potential to expand the historical resource at Oijärvi and make new gold discoveries,” said Gold Line CEO Adam Cegielski.

The Oijärvi project contains the drill defined Kylmäkangas deposit, with a historical inferred mineral resource of 1.89-million tonnes grading 4.11 g/t gold for 250 000 oz and 31.11 g/t silver for 1.89-million ounces.

In addition to the Kylmäkangas deposit, reconnaissance drilling by Agnico has identified additional zones of mineralisation both along trend and as parallel zones of mineralisation elsewhere on the Oijärvi gold project.

The Solvik gold project is a novel discovery of quartz vein- and shear zone-hosted gold mineralisation in an area of Sweden that has seen little historical gold exploration. Five key areas at Solvik contain drill defined zones of mineralisation, with multiple untested targets elsewhere on the property, although no mineral resources have been reported at Solvik.

The Oijärvi and Solvik projects contain a significant technical database to support a renewed exploration focus – 335 holes have been drilled, totalling 60 218 m. Historical drill intercepts include 22.6 g/t of gold and 126.3 g/t of silver over 11.0 m at the Oijärvi project and 2.50 g/t over 19.4 m at the Solvik project.