CJC news, JSL wants some gold
Matamec and Canada Strategic Metals Announce Agreement for Sakami Gold Project
- Canada Strategic Metals to Acquire up to 70% of Sakami Project
MONTREAL, QUEBEC--(Marketwired - Aug. 19, 2013) - Matamec Explorations Inc. ("Matamec" or the "Company")(TSX VENTURE:MAT)(MHREF) and Canada Strategic Metals (TSX VENTURE:CJC)(YXEN.F)(CJCFF) are pleased to announce that it has signed an option agreement where Canada Strategic Metals can acquire an interest of up to 70% in the Sakami project, located in the James Bay region of northern Quebec, approximately 570 kilometers north of Val-d'Or and 900 kilometers northwest of Montreal. The property consists of a total of 120 mineral claims covering 6,032 hectares.
The property straddles the structural contact between the Opinaca and La Grande sub-provinces of the Archean-age Superior structural province. This is a major structural corridor that occurs on surface as a 100-kilometer long "S" shaped feature trending northeast to southwest. The Sakami property covers approximately 13 kilometers of this structure, which is up to 500 meters wide on the property. Several gold bearing have been discovered on the property within or near this structural zone.
"Matamec is pleased to partner with Canada Strategic Metals in advancing the exploration of the Sakami gold project," said Andre Gauthier, President and CEO of Matamec Explorations Inc. "The location of Sakami up north in Quebec is a strong potential for gold as evidenced by past drilling campaigns."
Jean-Sebastien Lavallee, President of Canada Strategic Metals, states: "Canada Strategic Metals has been looking for an opportunity to acquire a project with strong historical results. The Sakami property meets exactly Canada Strategic Metals' criteria and is over a highly prospective geological area of the known gold mineralized trend from the multimillion-ounce discovery of the Eleonore Deposit owned by Goldcorp and other deposits such as the La Grand sud and the Orfee deposit owned by Virginia Gold Mines. I believe the acquisition of the Sakami project is a key turning point for Canada Strategic Metals future growth."
Canada Strategic Metals can acquire a 50% interest by issuing common shares and carrying out exploration as follows:
|
|
Number of shares |
Exploration work |
|
|
|
|
| i) |
Signature of a formal agreement |
500,000 |
-- |
| ii) |
On the First Anniversary |
500,000 |
$500,000 |
| iii) |
On the Second Anniversary |
500,000 |
$750,000 |
| iv) |
On the Third Anniversary |
500,000 |
$1,000,000 |
| TOTAL |
|
2,000,000 |
$2,250,000 |
A minimum of $500,000 must be spent by Canada Strategic Metals on exploration before the first anniversary of the agreement. In the event that Canada Strategic Metals renounces its option, the unspent portion of the $500,000 minimum in exploration expenses shall be paid in cash or in shares, at the sole discretion of Canada Strategic.
Canada Strategic Metals will have acquired an interest of 50% in Sakami after issuing a total of 2,000,000 common shares and carrying out exploration in the amount of $2,250,000 before August 16, 2016.
Once Canada Strategic Metals has earned a 50% interest, the parties will form a full joint venture and will enter into a formal agreement with the standard clauses.
The property is subject to a 1% Net Smelter Return royalty on certain claims.
Within 180 days of acquiring its 50% interest in the property, Canada Strategic Metals will have an option to acquire an additional 20% property interest by issuing 1 million shares to Matamec and completing an independent bankable feasibility study within five years of the date of the share issuance. During the period that the additional option is valid, the Company must spend a minimum of $2,000,000 on exploration by the end of each year until the feasibility study is completed.
Aline Leclerc, V-P Exploration (Geo.) is Matamec's Qualified Person for this press release.
About Canada Strategic Metals
Canada Strategic Metals Inc. is an emerging growth company focused on the exploration and development of its large portfolio of graphite projects covering over 60,000 hectares throughout Quebec. With management experience in green technology, and junior resource exploration and development, Canada Strategic Metals is well positioned to aggressively advance this promising portfolio for our shareholders. For more information on Canadian Strategic Metals, please visit www.csmetals.ca.
About Matamec
Matamec Explorations Inc. is a junior mining exploration company whose main focus is in developing the Kipawa HREE deposit with TRECan. Following the positive conclusion of the PEA study filed on SEDAR in March 2012 (resources that are not mineral reserves do not have demonstrated economic viability), Matamec and TRECan, JV partners, decided to move directly to the feasibility study.