TerraX completes Due Diligence and agrees to Purchase of Northbelt Gold Mining Leases near Yellowknife, NWT
VANCOUVER, Feb. 5, 2013 /PRNewswire/ - TerraX Minerals Inc. (TSX.V: TXR; Frankfurt: TX0) has completed a positive due diligence study and plans to proceed with the purchase of the Northbelt leases (the "Property") in the Yellowknife area of the Northwest Territories, Canada. Closing of the acquisition is scheduled for mid February, 2013 and is subject to receipt of a vesting order from the Superior Court of Quebec as the Property forms part of the assets of Century Mining Corporation which is currently under the receivership of Samson Belair/Deloitte & Touche Inc.
The property consists of 121 leases totalling 8802 acres (3562 hectares) which cover approximately 13 kilometres of strike along the prolific Yellowknife Belt, 15 km north of the city of Yellowknife (see our news release of January 2, 2013). TerraX is purchasing an unencumbered 100% ownership of the Property (no private royalties or option payments, no assessment requirements) with low annual maintenance fees. Our due diligence included review of historic information obtained from Giant Yellowknife Mines and currently filed at the NWT Geoscience Office in Yellowknife. TerraX's due diligence studies revealed an abundance of information confirming that the Property is underlain by highly prospective geology with substantial potential for discoveries of economic deposits. TerraX technical staff is currently in Yellowknife reviewing and verifying this data, the results of which will be announced when complete.
Access and logistics for the project are excellent. There are no known substantial environmental liabilities associated with the Property. The southern part of the Property is accessible by road and the remainder is accessible by all terrain vehicles. Northbelt is situated on the northern strike continuation of the Yellowknife gold camp, immediately west of the major break controlling gold mineralization within the camp. This spatial location is host to all known gold deposits in the Yellowknife camp, including the past producing 7.6 Moz Giant and the 5.5 Moz Con mines. The Property is host to multiple shears that are the recognized hosts for gold deposits in the Yellowknife camp, and it contains innumerable gold showings. Known mineralization on the Property contains free milling gold.
TerraX has reviewed information on the property tenure, permitting, property access, and much of the historical technical data; all of these issues were deemed satisfactory for TerraX to proceed with the purchase. Our review of technical information revealed that 300-400 historical drill holes were completed on the Property between 1945 and 1996, mostly concentrated on the Crestaurum deposit (approximately 200 holes) which was staked in 1944 with the discovery of the outcropping deposit. Subsequent exploration revealed numerous other sub-parallel structures hosting gold occurrences along the main camp 'break'. In addition, a precious metal (Au, Ag) enriched base metal (Zn/Pb +/-Cu) play was identified in the northern part of the Property.
The technical information contained in this news release has been approved by Joseph Campbell, the President of TerraX, who is a Qualified Person as defined in "National Instrument 43-101, Standards of Disclosure for Mineral Projects."
TerraX Minerals Inc. is also one of the major landholders of prospective ground in the burgeoning Marmion Batholith gold district near Atikokan, Ontario, host to Osisko Mining Corporation's (TSX: OSK) Hammond Reef gold deposit which contains a National Instrument 43-101-compliant global inferred resource of 530.6 million tonnes at 0.62 grams per tonne Au (10.52 million ounces gold). The Osisko Technical Report on this project is available on SEDAR. TerraX is actively exploring three wholly-owned gold exploration projects, the Sunbeam-Pettigrew, Central Canada and Blackfly properties, all of which are located within 20 km of the town of Atikokan, 180 km west of Thunder Bay, and are within 19 km of the Hammond Reef gold deposit. In addition TerraX holds the Stewart property in Newfoundland which contains targets for porphyry Au-Cu (111 m of 0.13 g/t Au and 0.05% Cu at Stewart showing) and epithermal Au mineralization (up to 59 g/t Au and 2290 g/t Ag at Forty Creek).
On behalf of the Board of Directors
Joseph Campbell, P.Geo
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, approval of the Quebec Superior Court in respect of the acquisition of the Property 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.