Pele Mountain Acquires Key Mining Lease in Elliot Lake
TORONTO, ONTARIO--(Marketwired - Sep 11, 2014) - Pele Mountain Resources Inc. (TSX VENTURE:GEM)(OTCQX:GOLDF) ("Pele" or the "Company") announced today that it has acquired a key mining lease (the "Mining Lease") for the mining rights on certain lands (the "Leased Lands") below small lakes located within the boundaries of Pele's Eco Ridge Mine Project ("Eco Ridge") in Elliot Lake, Ontario.
In conjunction with the Mining Lease acquisition, Pele has entered into a NSR Royalty Agreement with the previous lessee, Rio Algom Limited on standard commercial terms.
Pele President and CEO Al Shefsky stated, "The acquisition of the Mining Lease is the culmination of a lands and mineral rights assembly process at Eco Ridge spanning nearly a decade. Pele now owns a 100-percent interest in the mineral rights throughout the more than 18,000 contiguous acres that comprise Eco Ridge. Although the Mining Lease covers less than 1% of the overall project area, its acquisition fills in a gap within the higher grade zone of the Main Conglomerate Bed and will simplify mine engineering going forward."
Pele has applied to the Ministry of Northern Development and Mines (MNDM) to renew the Mining Lease for an additional 21-year term following the expiration of its current term on September 30, 2014.
Pele is leading the next generation of rare earth and uranium development in Elliot Lake, Ontario. Elliot Lake is home to one of Canada's great historic mining camps and offers several competitive advantages in the race to develop an early-to-market critical rare earth supply chain. Elliot Lake...
- is Canada's only proven historic critical rare earth mining camp, was a major source of North American heavy rare earths and it also produced more than 300-million pounds of uranium;
- has vast and accessible critical rare earth and uranium resources and the geology, mineralogy, and pathway to production are well understood;
- has outstanding regional infrastructure already in place including highways, railway, electricity, natural gas, airport, and deep-water ports.
Pele is collaborating with all levels of government, local First Nations, the private sector, and academia to advance the sustainable development of an early-to-market critical rare earth supply chain in Elliot Lake.
About Pele
Pele Mountain Resources is focused on the sustainable development of its 100-percent owned Eco Ridge Mine Rare Earths and Uranium Project. Eco Ridge is located in Elliot Lake, the only Canadian mining camp to have ever achieved commercial rare earth production. With well-understood geology and mineralogy, excellent regional infrastructure, and strong local support, Eco Ridge is an ideal location for the development of a safe, secure, and reliable long-term supply of critical rare earths and uranium. Pele's shares are listed on the TSX Venture Exchange under the symbol "GEM" and on the OTCQX under the symbol "GOLDF".
Neither the 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. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe Pele's future plans, objectives or goals, including words to the effect that Pele or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements. The economic viability of the 43-101 mineral resource at Pele's Elliot Lake Project has not yet been demonstrated by a preliminary feasibility study.
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