TerraX to acquire Northbelt gold mining leases in Yellowknife, NWT
Thursday, Jan 03, 2013
VANCOUVER, Jan. 2, 2013 /PRNewswire/ - TerraX Minerals Inc. (TSX.V: TXR; Frankfurt: TX0) has been advised that it has won a competitive bid to acquire the Northbelt claims in the Yellowknife area of the Northwest Territories, Canada. The property consists of 121 leases totalling 8,802 acres (3,562 hectares) which cover approximately 13 km of strike along the prolific Yellowknife Belt, 15 km north of the city of Yellowknife. The property abuts the Giant Mine property (historical production of 7.6M oz Au, source: Guide to Mineral Deposits, Northwest territories, 2007), and is directly north of the mine along the known mineralized trend. Many of the geological characteristics of the property are reported to be similar to the Con Mine (historical production of 5.5M oz Au, source: Guide to Mineral Deposits, Northwest territories, 2007), which is the second largest gold producer on the belt. It contains several known occurrences, including the Crestaurum deposit, which has an historic resource of 290,000 tonnes of 7.52 g/t Au (source: Treminco Annual Report, 1990). TerraX believes the historic resource is relevant but investors are cautioned that the estimate was prepared before the introduction of National Instrument 43-101 Standards of Disclosure for Mineral Projects. A Qualified Person has not completed sufficient exploration work nor conducted an examination of past work to define a resource that is currently compliant with NI 43-101.
The property was offered for sale by Samson Belair/Deloitte & Touche Inc., acting as receiver of the assets of Century Mining Corporation, which had acquired the ground in 2005 and was subsequently put into receivership on May 29, 2012 by its secured lender. The financial difficulties of Century Mining Corporation were mostly due to production losses at its Sigma-Lamaque property in Quebec, Canada. TerraX has agreed to pay $211,000 to acquire 100% ownership of the mining leases with no retained interest by any outside parties. The acquisition is subject to a due diligence period that expires on January 31, 2013 following which TerraX will announce its exploration plans for the property, should its due diligence prove satisfactory.
Joe Campbell, President of TerraX states, "TerraX has been looking for an opportunity to acquire a property with historical resources in a major mining camp. The Northbelt property meets this criteria, and has the added advantages of being easily accessible to Yellowknife infrastructure; has a clear 100% ownership of mine leases with low annual property fees; contains numerous showings with minimal historical exploration; has a maximum drilling depth of only 100m on the Crestaurum deposit; is over an established geological extension of the known mineralized trend from the multi-million ounce producers; and has a geological context similar to the Con Mine which was mined to almost 1900m depth. Following a positive due diligence study, I believe acquisition of this property will be a turning point for TerraX's future."
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 NI 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 Au-Cu porphyry (111m 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).
SOURCE TerraX Minerals Inc.