Canyon options up to 70% interest in Moonlight Property to Sandfield
VANCOUVER, Jan. 24, 2013 /PRNewswire/ - Canyon Copper Corp. ("Canyon") (TSX-V: CNC) (OTCBB: CNYC) is pleased to announce that it has entered into an agreement (the "Agreement") with Sandfield Resources Ltd. ("Sandfield") whereby Canyon has agreed to transfer to Sandfield up to a 70% interest in its optioned Moonlight Copper-Porphyry Property. The Moonlight Property is comprised of 307 unpatented claims having an area of approximately 6,300 acres and is located on the northern end of the Walker Lane Belt in Plumas County, California.
Under the terms of the Agreement, Sandfield will earn a 60% interest in the Moonlight Property (the "Initial Interest") upon:
|(a)||paying Canyon $125,000 on TSX Venture Exchange approval of the Agreement;|
|(b)||issuing Canyon 500,000 common shares on the date Sandfield lists its common shares on the TSX Venture Exchange;|
|(c)||incurring $100,000 of exploration expenditures on or before May 31, 2013;|
|(d)||paying Canyon $125,000 and incurring an additional $500,000 of exploration expenditures by the second anniversary of the Agreement; and|
|(e)||paying Canyon $125,000, issuing Canyon 2,500,000 common shares and incurring an additional $1,000,000 of exploration expenditures by the third anniversary of the Agreement.|
Sandfield will be able to earn an additional 10% interest in the Moonlight Property (the "Secondary Interest") by issuing Canyon 2,500,000 common shares and incurring an additional $3,000,000 of exploration expenditures by the fifth anniversary of the Agreement. Sandfield will also be responsible for all payments and share issuances required by the underlying option and assignment agreements and paying all BLM claim maintenance fees.
If Sandfield exercises the Initial Interest, Canyon and Sandfield will form a joint venture for the purpose of carrying out further exploration and development of the Moonlight Property.
The Agreement is subject to Canyon obtaining approval from the TSX Venture Exchange.
Benjamin Ainsworth, P. Eng, BC, with Licence #8648 and the President of Canyon, is a Qualified Person as defined by NI 43-101 and has reviewed and approved the contents of this news release.
On behalf of the Board of Directors,
CANYON COPPER CORP.
Benjamin Ainsworth, President
Cautionary Statement Regarding Forward Looking Information
This News Release may contain, in addition to historical information, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are identified by their use of terms and phases such as "believe," "expect," "plan," "anticipate" and similar expressions identifying forward-looking statements. Investors should not rely on forward-looking statements because they are subject to a variety of risks, uncertainties and other factors that could cause actual results to differ materially from Canyon's expectations, and expressly does not undertake any duty to update forward-looking statements. These factors include, but are not limited to the following, Sandfield's ability to satisfy all payments and obligations due under the Agreement, Canyon's ability to implement its proposed drill programs on the New York Canyon Project, Canyon's ability to obtain additional financing, uncertainty of estimates of mineralized material and other factors which may cause the actual results, performance or achievements of Canyon to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
SOURCE Canyon Copper Corp.