Vancouver, British Columbia--(Newsfile Corp. - April 7, 2016) - Maritime Resources Corp. (TSXV: MAE), "Maritime" and Commander Resources Ltd. (TSXV: CMD) "Commander" are pleased to announce that they have agreed to amend the terms of the option and share purchase agreement originally announced February 13, 2015. Commander currently holds 9,440,000 shares in Maritime reflecting 25.4% of the outstanding share of Maritime.
Under the new modified terms Maritime will identify third parties to purchase an initial 2,000,000 shares at a price of CAD$0.14 per share on or before August 31st 2016 of which 1,000,000 shares must be purchased before April 30th, 2016. Provided that such initial sale is completed, Maritime will then have the option to identify third party purchasers to purchase an additional 2,000,000 shares every 6 months over the next 18 months at escalating prices of $0.21, $0.25, and $0.30. The final two option prices are further subject to the price being the greater of the option price or 85% of the volume weighted average price of the common shares for the 10 trading days immediately preceding the applicable option exercise date. Any shares not purchased in a particular option exercise period are carried forward one time to the next exercise period at the higher exercise price, provided that a minimum of 500,000 shares have been purchased in the preceding period. The Voting Trust Agreement announced February 13, 2015 whereby Commander agreed to vote its shares held under option with management of Maritime, remains in full force and effect for the duration of the option agreement. Any shares that are not purchased pursuant to the terms of the option agreement will automatically be released from the provisions of the Voting Trust Agreement.
About Maritime Resources Corp:
Maritime Resources holds 100% of the Green Bay property, located near Springdale, Newfoundland and Labrador. The property hosts the past producing Hammerdown gold mine and the Orion gold deposit separated by a 1.5 km distance, as well as the Lochinvar base/precious metals deposit.
An initial Independent Mineral Resource Estimate for the Green Bay Gold property was prepared in accordance to the requirements of NI 43 - 101 and released in early June 2013. The study estimates the property to contain in excess of 425,000 ounces of gold (727,500 tonnes @ 11.59 g/t Au at Hammerdown and 1,096,500 tonnes @ 4.47 g/t Au at Orion) in the Measured and Indicated categories and in excess of 660,000 ounces (1,767,000 tonnes @ 7.58 g/t Au at Hammerdown and 1,288,000 tonnes @ 5.44 g/t Au at Orion) in the Inferred category, both at a 3 g/t cut-off grade. The estimate was compiled by Tetra Tech of Ontario.
The Hammerdown gold deposit was successfully mined by Richmont Mines between 2000 and 2004 while gold prices averaged $325/oz. During its operation, a total of 291,400 tonnes of ore were mined and milled, at an average grade of 15.83 g/t Au, recovering a total of 143,000 ounces of gold. All of the ore was processed at the Nugget Pond mill, now owned and operated by Rambler Metals and Mining Canada Limited, with an average gold recovery of 97.1%. Mining terminated in 2004 due to low gold prices with mineralization remaining, although uneconomic at that time. The Orion gold deposit consists of two main vein systems, both of which are open along strike, and down plunge to the northeast.
Maritime has entered into a Letter of Intent ("LOI" or "Agreement")(see News Release dated November 17th, 2014) with Rambler Metals and Mining PLC (TSXV: RAB) which includes evaluating the economic potential of re-opening the past producing Hammerdown gold mine located within Maritime's Green Bay Property, Newfoundland and Labrador, Canada. Should the economic and technical viability of the project be established in the PFS, the arrangement will allow Hammerdown material to be toll treated in the gold hydromet CIP circuit at the Nugget Pond Mill of up to 500 metric tonnes per day ('mtpd'). A toll milling fee would be negotiated to cover the capital expenditures required to process the material at the Nugget Pond Mill with permanent storage of Hammerdown tailings at the Nugget Pond site.
Further information on the Green Bay Gold Property can be found on our website along with the NI43-101 compliant Technical Report filed on SEDAR on July 11, 2013 at www.maritimeresourcescorp.com.
Bernard H. Kahlert, P.Eng. is the Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical disclosure contained in this release.
On behalf of the Board of Directors,
Doug Fulcher
President, CEO
For further information, please call:
Cathy DiVito, Investor Relations Telephone: (604) 336-7322
info@maritimeresourcescorp.com
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. Statements in this press release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, may include forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in resource exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements.
Not for dissemination in the United States or through U.S. newswires
copyright (c) newsfile corp. 2016