VANCOUVER, June 3, 2013 /PRNewswire/ - TerraX Minerals Inc. (TSX.V: TXR; Frankfurt: TX0) has commenced exploration on its wholly-owned Northbelt property in the Yellowknife gold camp, Northwest Territories with an airborne survey to acquire detailed magnetic, electromagnetic (EM) and radiometric data that began on May 30, 2013 and is expected to be completed within the week.
The Northbelt gold property encompasses 3,562 hectares on the prolific Yellowknife belt, only 15 km north of the city of Yellowknife, and covers 13 km of strike on the northern extension of the geology that contained the Giant (7.6M oz) and Con (5.5M oz) gold mines. The Northbelt property is host to multiple shears that are the recognized hosts for gold deposits in the Yellowknife camp and it contains innumerable gold showings.
The shears that control gold mineralization on the property are thought to have higher magnetic signatures than the surrounding rocks, and therefore the detailed magnetics should be an effective targeting tool. In addition, the alteration associated with gold mineralization has been shown to have a potassic component which can be picked up by the radiometric survey. Together, magnetic and radiometric data should be helpful in targeting the best portions of the mineralized shears.
The EM survey is designed to identify anomalies associated with volcanogenic massive sulphide deposits that occur in the north of the property. Initial site reconnaissance carried out earlier in May on outcrop exposures of Zn-Pb-Cu-Ag-Au massive sulphide zones indicates they have sufficient thickness and strike continuity for EM response.
In addition to preliminary exploration work, TerraX has also begun community engagement meetings within Yellowknife, and within the First Nations communities of N'Dilo and Dettah. Initial responses to the introduction of TerraX's exploration plans have proven to be positive. TerraX has begun reviewing a proposal for an Akaticho First Nations Exploration Agreement to help guide its interaction with these First Nations groups during its future exploration programs.
More detailed prospecting and ground truthing of historical work is scheduled to begin with a small field crew on June 10th. Initial contacts have been made with the Mackenzie Valley Land and Water Board (MVLWB) for preparing applications for drill permits on the Northbelt property. The MVLWB will be responsible for issuing the permits to TerraX for its drilling programs, which are tentatively scheduled to begin in Q4 2013 or Q1 2014. TerraX is responsible for, and has already begun, carrying out community engagement prior to completing a permit application for this drilling.
TerraX has acquired additional property in the Yellowknife gold camp through the purchase of the Goodwin gold property from Sonde Resources Corp. The Goodwin property occurs 8 km north-northeast of Yellowknife and consists of 12 mineral claims totalling 619.8 acres (250.82 ha) that lie to the south of, and are contiguous to, the southern boundary of the Northbelt property. TerraX acquired a 100% interest in the claims, which have no underlying royalties and are in good standing until 2058. The Goodwin property abuts the Giant Mine property (historical production of 7.6 Moz Au, source: Guide to Mineral Deposits, Northwest territories, 2007), which lies immediately to the west. Like the Giant and Northbelt properties, the Goodwin property is predominantly underlain by Archean mafic volcanics of the Yellowknife Volcanic Belt.
The Goodwin property is 2.6 km long in a north-south direction and almost 1 km wide. The property is known to host one mineral occurrence, the Goodwin showing. Government records indicate that a chip sample of unspecified length assayed 6.86 g/t Au at the Goodwin showing. The sample was said to contain schist and quartz vein material. TerraX does not have complete records of all previous work completed on this property. According to historical maps, at least 37 drill holes have been drilled on the property, but TerraX only has logs for 14 of these holes, and assays from only 3 holes. All known holes are in the southern 1 km of the property, adjacent to the Giant property, although the Goodwin showing is in the northern portion of the property. TerraX expects to be able to use knowledge gained from the Northbelt property to generate targets on the Goodwin property.
TerraX has now closed off its recently announced non-brokered private placement (see our news releases of April 4 and May 8, 2013) with the issuance of a further 125,000 units at $0.20 per unit, bringing the aggregate gross proceeds raised in this private placement to $1,382,217. Each unit consists of one common share and one half of one share purchase warrant, with each full warrant entitling the holder to purchase an additional common share at an exercise price of $0.30 per share until May 30, 2016. The shares and any shares acquired on the exercise of warrants will be subject to a hold period expiring on September 31, 2013.
On behalf of the Board of Directors
Neither the 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.
This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors - including the availability of funds, the results of financing efforts, the completion of due diligence and the results of exploration activities - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE TerraX Minerals Inc.