CXP-FILING OF THE MCBRIDE PROJECT AGREEMENTCanadian Empire Exploration Corp (C-CXP) - News Release
Canadian Empire to acquire McBride Ni-Cu-Zn property
2005-05-19 11:11 ET - News Release
Shares issued 36,314,386
CXP Close 2005-05-17 C$ 0.055
Mr. John Brock reports
EXCHANGE ACCEPTS FILING OF THE MCBRIDE PROJECT AGREEMENT
Canadian Empire Exploration Corp.'s agreement for the acquisition of an extensive portion of a Proterozoic-age shale basin prospective for the discovery of Sedex-style nickel-copper-zinc mineralization in the McBride area of east-central British Columbia has been accepted for filing by the TSX Venture Exchange.
Canadian Empire, through a grubstake agreement with two prospectors, acquired the rights to over 2,500 claim units covering an area measuring approximately 75 by seven kilometres (approximately 500 square kilometres).
The prospectors' regional-scale stream-sediment sampling identified a 50-kilometre-long trend of anomalous nickel, copper and zinc values. Detailed silt sampling of individual creeks has yielded consistent, high metal values along stream lengths of 0.5 to over two kilometres with values peaking at 1,566 parts per million Ni, 445 parts per million Cu, 1361 parts per million Zn and attendant values to 681 parts per million Co and three parts per million Au. Initial prospecting, until terminated by snow conditions, identified over 25 gossans (rusty zones) aligned along the favourable horizon resulting from weathering of sulphide mineralization.
Host rocks are late-Proterozoic sediments -- recognized worldwide as favourable hosts for large deposits. The stratigraphic succession consists of a metal-rich miogeoclynical, black-shale horizon with opportunity for discovery of Sedex nickel-copper-zinc-precious-metal massive-sulphide mineralization.
Canadian Empire may earn an initial 90-per-cent interest in the McBride project by spending $1-million in exploration costs on the property, making staged cash payments totalling $140,000 and issuing in stages a total of 250,000 units by Dec. 31, 2008, to the prospectors. Each unit will comprise one share in the capital of Canadian Empire and one 12-month warrant, priced in accordance with the market at the time of issuance, allowing for the acquisition of one share of Canadian Empire. All securities issued are subject to exchange and Multilateral Instrument 45-102 hold periods expiring four months from the date of issue of the securities.
Canadian Empire holds the option to acquire the remaining 10 per cent for a cash payment of $100,000 and the issuance of 1.5 million shares of Canadian Empire to the prospectors. The prospectors will hold a 1-per-cent net smelter return on future production, of which Canadian Empire has the right to buy down 0.5-per-cent for $1.0-million.
Canadian Empire plans to initiate an exploration program of its property in June, 2005.