More land acquiredCreso Exploration Acquires the Buckingham and Moore-Macdonald Properties and Exercises an Earn-In Option on Temex's North Duggan Property in the Shining Tree Area of NE Ontario
9/28/2010 8:04:21 AM - Market Wire
MONTREAL, QUEBEC, Sep 28, 2010 (MARKETWIRE via COMTEX News Network) --
Creso Exploration Inc. ("Creso" or the "Corporation") (TSX VENTURE: CXT) (FRANKFURT: C3X) is pleased to announce the signing of a letter of intent to acquire an option on certain claims on the Buckingham and Moore-MacDonald properties. These newly acquired properties are located within 20 km southwest of the Minto zone (100% owned by the Corporation), where recent diamond drill results from Minto Holes #1 and #2 showed encouraging gold values (see press release of August 9, 2010 for further details).
The Moore-Macdonald properties consist of two claims that total 49 hectares located in Macmurchy Township, 13.2 km west-southwest from the Corporation's Minto property. These claims are contiguous to the north with five claims (consisting of an additional 108 hectares) that the Corporation already controls and where it intercepted 7.4% Ni and 2 g/t Pt., Pd and Au combined over one (1) meter. The Buckingham property is located in Asquith Township, approximately 18.4 km west-southwest of the Corporation's Minto property and consists of approximately 1.4 hectares.
The Moore-Macdonald properties lie one kilometer along strike with the small past-producing Saville vein in the old Bilmac gold occurrence. Host rocks in this area consist of pillowed mafic lavas cut by quartz porphyry plugs and late-stage diabase dikes. The Saville vein has an average true width of one meter and lies within a N60 degrees W shear zone that dips 65 degrees to the south, toward the newly acquired claims. The Saville vein consists of banded white and rose quartz, local visible gold, tourmaline, and pyrite. The Ontario Division of Mines (Geoscience Report 152, 1977) states that the Saville Vein was developed from several shafts to a maximum depth of 130 meters. An historical resource was estimated to be 250,000 tons grading 0.34 oz/ton Au, although only minor production was derived from this property. The historical resource calculation is not compliant as per NI 43-101/ 4.2 (2b). A qualified person has not done sufficient work to classify the historical estimate as a current mineral resource and the historical estimate should not be relied upon.
At the Moore-Macdonald property, visible gold can be seen with pyrite in narrow quartz veins that trend N60 degrees W, with the strongest gold mineralization being present at intersections with E-W trending veins. Additional fracture trends that host narrow quartz veinlets at the Moore-Macdonald property are N17 degrees W, N5 degrees W, and N30 degrees E. Despite its proximity to the Bilmac property and what Corporation geologists consider to be a very favorable environment, the Moore-Macdonald property has never previously been drilled.
The Buckingham property is located 0.6 km south of the old Buckingham gold occurrence. Both properties display similar mafic greenstone host rocks that are cut by narrow veins of quartz-chlorite-sericite-pyrite that trend N70 degrees W to E-W. Additional cross cutting veinlets and fractures that trend N10 degrees W and N30 degrees E are also present. The old Buckingham property was reported by veteran geologist Jack Tindale to have only very minor production of gold from a 60 degrees inclined shaft driven a down dip distance of approximately 100 feet, with values in the main quartz vein running up to 0.55 oz/t Au over 1.5m true width. Local late-stage diabase dikes are present in the area and tend to follow the north-trending fracture directions. In a recent personal communication, Jack Tindale reported that he drilled four diamond holes on the newly acquired Buckingham property in 1999 that were designed to intersect a quartz vein with a 4 to 5-foot area of surface exposure that appears to parallel the E-W vein in the old Buckingham property. These drill holes ranged in depth from 62m to 122m on a -50 degrees inclination, and encountered a vein in 3 of the 4 holes drilled that was 1.0m to 1.5m in true width, with local visible gold and spotty values that ran up to 1.72 g/t Au over 4.6m inclined width, and contained some 2-3% pyrite. The newly acquired claims in this area have never been tested below a vertical depth of 90m.
The Letter of Intent on the Buckingham and Moore-MacDonald properties calls for an earn-in of 100% in favour of Creso under the following conditions:
Exploration
Common work
Cash payment shares commitment
------------ ------------ ------------
$ Number $
On signature of an option agreement
("Anniversary Date") 25,000 50,000 -
12 month from Anniversary Date 25,000 50,000 -
24 month from Anniversary Date 50,000 50,000 -
36 month from Anniversary Date 50,000 50,000 150,000
------------ ------------ ------------
Total 150,000 200,000 150,000
------------ ------------ ------------
------------ ------------ ------------
The issuance of these common shares of the Corporation is subject to regulatory approval. The private optionor will retain a 2% NSR and Creso will have the option to buy back 1% of the NSR for an amount of $1 million and a right of first refusal on the NSR.
This acquisition consolidates Creso's already large position in the Shining Tree Area where exploration work is currently concentrated on the Duggan Zone, the Tyranite Mine, and the Minto Zone. For additional information on the Minto, Tyranite, and Duggan properties, please refer to the 43-101 technical report available on www.sedar.ca
Earn-In Option on Temex's North Duggan Property
The Corporation also wishes to announce that it completed, and exceeded, the minimum level of total exploration expenditures of $250,000 on or in respect of the Mining Claims L 121 9455 and L 121 9456, each consisting of 12 claim units in the Larder Lake Division, Province of Ontario, and referred to as the North Duggan property, as required by the Option and Joint Venture Agreement between Creso Resources Inc., a wholly owned subsidiary of Creso Exploration Inc., and Temex Resources Corp.("Temex"), effective December 1, 2009. The Corporation provided Notice to Temex on September 14, 2010 of completion of the Earn-In Provision and the Exercise of Option to earn an undivided 75% interest in and to the Temex interest in the above mining claims, as a tenant in common with Temex, free and clear of all liens. The work recently completed by Creso on these claims includes 1,485 meters of diamond drilling. Logging and sampling of this core is ongoing, and it is estimated that analytical results will be available later in October.
This Press Release has been reviewed and approved by Mr. Michael White, M. Sc, P. Geo., the Qualified Person under National Instrument 43-101.
About Creso
The Corporation's principal mining exploration holdings are located in the Shining Tree mining camp of Northern Ontario within 100 km of the Timmins and Kirkland Lake mining camps, and additional interests are held in base metal properties in Guatemala.
This release contains forward-looking statements that are based on beliefs of its management as well as assumptions made by and information currently available to management of the Corporation. When used in this release, the words "estimate", "believe", "anticipate", "intend", "expect", "plan", "may", "should", "will", and the negative thereof or other variations thereon or comparable terminology are intended to identify forward-looking statements. Such statements reflect the current views of the Corporation with respect to future events based on currently available information and are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in this release. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information in this press release is made as of the date of this press release, and Creso disclaims any intention or obligation to update or revise such information, except as required by applicable law.
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.
Contacts: Creso Exploration Inc. Robert Casaceli President and CEO 514-866-6001 # 239 514-866-6193 (FAX) scarrasco@creso.ca www.creso.ca Creso Exploration Inc. Douglas Murray Investor Relations 613-882-7295 613-882-7467 (FAX) douglas2418@gmail.com www.creso.ca
SOURCE: Creso Exploration Inc.
mailto:scarrasco@creso.ca https://www.creso.ca mailto:douglas2418@gmail.com https://www.creso.ca
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