TSX Venture Exchange: DVV
VANCOUVER, April 19, 2012 /PRNewswire/ - Driven Capital Corp. (TSXV: DVV) ("Driven" or the "Company") is pleased to announce that it has entered into an option agreement with Tarsis Resources Ltd. (TSXV: TCC) ("Tarsis") to acquire a 60% interest in the White River gold-copper-silver property ("White River") in the Yukon Territory, Canada.
"We're extremely excited about the opportunity to earn into White River and partner with Tarsis," said Toma Sojonky, Driven's President & CEO. "We intend to drill this highly prospective property as soon as weather and logistics allow."
"White River has the potential to host Yukon's next significant precious metals discovery," stated Tarsis' President & CEO, Marc Blythe, P.Eng. "We are very pleased to have Driven's strong geological team advancing the property and look forward to sharing their success. Yukon's exploration season begins shortly and we intend to provide a comprehensive handover to assist Driven in commencing work."
Located approximately 11km north of the settlement of Koidern within the prolific Tintina Gold Belt, White River is comprised of 335 contiguous quartz claims totaling approximately 7,000 hectares. The property is accessed via a 5-minute helicopter trip from a 3,000-foot airstrip at the White River Lodge on the Alaska Highway, 390km northwest of Whitehorse.
The White River Property
White River covers a large area of hydrothermal alteration and mineralization, showing characteristics of both intrusion-related gold, and structurally-hosted, bonanza grade, gold-copper-silver mineralizing systems.
Tarsis targeted and staked White River as a grassroots discovery in 2010, after identifying historical stream-sediment anomalies that coincided with a magnetic anomaly outlined in the recently flown YGS/GSC airborne magnetic & radiometric survey. Subsequent to Tarsis' discovery, Teck Resources Ltd. has staked a large block of claims adjoining White River to the south.
During the 2010 and 2011 field seasons, Tarsis carried out prospecting, geological mapping, ridge/spur and grid geochemical soil sampling and hand trenching on the property. Prospecting samples from outcrop and float at "White River West" returned assay values from below detection to 39.8 g/t gold, 3 ppm to 8.52% copper and below detection to 1,310 g/t silver. Follow-up prospecting and grid/infill sampling have thus far identified at least three zones and two showings, having strong soil anomalies of gold, arsenic, bismuth and tungsten.
Eleven hand trenches were completed across five separate structures spanning over one kilometre of the property, centered within the main portion of the gold-in-soil geochemical anomaly defining White River West. Strongly anomalous gold values were identified in nine of eleven hand trenches, with trench TR-HG11-02 featuring a channel sample returning 82.2 g/t gold across 1.0 metre; and a grab and an auger sample from the core portion of the same exposure returning 214 g/t gold and 129 g/t gold, respectively.
These results prompted Tarsis to design a first-phase diamond-drill and supplementary exploration program, which Driven plans to execute during the 2012 field season. In March 2012, Tarsis submitted an application for a Class 3 land use Permit to cover all planned project activities; Tarsis has consulted with all relevant parties to the permitting process including the appropriate First Nations.
The Option Agreement
Under the terms of the option agreement, Driven can acquire a 60% interest in and to White River by paying to Tarsis the sum of $400,000 and issuing 2,000,000 common shares in installments over a term ending on January 15, 2016; and incurring expenditures on White River in the aggregate amount of $4,250,000 over the same term, with a first-year commitment of $500,000 including not less than 1,500 metres of drilling. Consideration of $50,000 and 250,000 Driven shares are due and payable to Tarsis upon TSX Venture Exchange acceptance of the acquisition, which is a condition precedent to the agreement. The interest being acquired by Driven is subject to a 2 percent net smelter return royalty, of which 1 percent can be purchased for $2,000,000.
The agreement provides that upon Driven fully exercising its option, a 60/40 Joint Venture between Driven and Tarsis will be established in order to further explore and develop White River.
A finder's fee of 75,000 Driven common shares issued from treasury is payable in connection with this acquisition, subject to the approval of the TSX Venture Exchange.
Marc G. Blythe, P.Eng., is the Qualified Person as defined by NI 43-101 who supervised the preparation of the technical information contained in this press release. Mr. Blythe is the President & CEO of Tarsis Resources Ltd., the optionor of the White River property to Driven Capital Corp.
Tarsis is an exploration company listed on the TSX Venture Exchange, which follows the prospect generator business model: the company's technically strong management and advisory team acquires grassroots projects, adds value, then options out the projects to partners for advancement. For more information on Tarsis, including detailed technical information on White River, please visit www.Tarsis.ca and/or Tarsis' filings on SEDAR.
Driven is a publicly traded exploration company focused on the discovery of high-value precious metals deposits in North America. Please visit our web site at www.DrivenCapital.ca.
On Behalf of the Board of Directors of Driven Capital Corp.
President & CEO
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. Cautionary Statement Regarding Forward-Looking Information: All statements, trend analysis and other information contained in this press release relative to markets about anticipated future events or results constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions. Forward-looking statements are subject to business and economic risks and uncertainties and other factors that could cause actual results of operations to differ materially from those contained in the forward-looking statements. Forward-looking statements are based on estimates and opinions of management at the date the statements are made. The Company does not undertake any obligation to update forward-looking statements even if circumstances or management's estimates or opinions should change. Investors should not place undue reliance on forward-looking statements.
SOURCE Driven Capital Corp.