Expedition Options Joy Gold Property Bordering ATAC'S Rau Project
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 11/18/10 -- Expedition Mining Inc. (TSX VENTURE: EXU) (the 'Company') is pleased to announce that it has signed an option agreement pursuant to which it can acquire a 100% interest in the Joy gold property from Paul Dadwal. The property is located directly southeast of the principal zone of mineralization on ATAC'S Rau gold property, giving it good potential to host gold mineralization. The property lies along strike between the Tiger and Osiris Zones of the Rau gold property, which ATAC has named the Rackla (Rau) gold belt.
Mr. Ron Atlas, President and Chairman said, 'The Joy gold property is an exciting project that gives our shareholders significant exposure to the gold potential in this area of Canada and it is an excellent compliment to the Company's Brew gold project located near the Kinross and Kaminak properties in the White Gold District. We are extremely optimistic about the potential of both the Brew and the Joy properties to host gold mineralization and look forward to a busy 2011 exploration season.'
Background
The area covered by the Joy property has been the focus of sporadic lead-zinc exploration between 1967 and 1980. The area's tungsten potential was identified near the end of this period, but was not examined in detail. In 2006, ATAC was attracted to the area by 99th percentile gold (150 ppb) and tungsten (25 ppm) values from a GSC reconnaissance silt sample. In 2006 and 2007, ATAC conducted limited mapping and soil sampling of the area directly north of the Joy property. In 2008, eighteen diamond drill holes targeted geochemical anomalies in that area, resulting in discovery of sediment-hosted replacement-style gold, in a similar style to the giant Carlin-type gold deposits of northeastern Nevada. These discoveries are currently being developed as the Rau gold property.
The Joy Property
The property is located on a 16 km x 5 km claim block (128 claims) 60 km northeast of Keno City, central Yukon. The Joy claims lie within Selwyn basin sedimentary rocks, a package of Cambrian-Paleozoic clastic and carbonate rocks. These are the same host rocks that contain the Osiris Zone at the Rau property. The style of gold mineralization at the Rau gold property has been compared to the Carlin-style gold mineralization in Nevada which accounts for nearly 1/10 of global gold production.
The area covered by the Joy claim block was the subject of a Yukon Geological Survey (YGS 2010) project whereby the YGS completed a summer program of mapping and soil sampling. The summer long YGS program included detailed (approx. 1:50K scale) bedrock mapping plus a very coarse ridge and spur soil sampling program (approx. 500 m spacing). The Yukon Geological Survey will be presenting the results of the Mt. Mervyn (Joy claims area) soil survey and preliminary bedrock mapping results at the Yukon Geosicence Forum on November 23, 2010.
Please visit www.expeditionmining.com for more details on the Joy property.
The Agreement
In order to exercise its option under the Option Agreement, the Company must make payments, issue Company common shares and incur exploration expenditures as set out below:
Cash: $75,000 within five days of signing the Option Agreement
$25,000 on or before May 1, 2011
$50,000 on or before December 1, 2011
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Common 250,000 common shares within five days of the TSX Venture
Shares: acceptance of the Option Agreement
250,000 common shares on or before January 10 2011
500,000 common shares on or before July 1, 2011
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Cash or $150,000 cash or stock at the Company's option on or before May
Shares: 1, 2012
$150,000 cash or stock at the Company's option on or before May
1, 2013
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Feasibility Payment of $250,000, in cash or common stock in the Company at
Study: the Company's option on the earlier of the sixth anniversary of
the agreement or upon receipt by the Optionee of a NI 43-101
report indicating a resource of a minimum 500,000 contained
ounces of gold on the property.
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Work Minimum of $200,000 on or before December 31, 2011
Program: A further $300,000 on or before December 31, 2012
A further $500,000 on or before December 31, 2013
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NSR: The Optionor will have a 2% net smelter returns Royalty on the
property. The NSR Royalty may be reduced to 1% by the payment of
$1,000,000 to the Optionor.
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The Company is committed to make the initial payment of $75,000 and the initial issuance of 250,000 common shares once title to the claims comprising the Joy Property is recorded in the Company's name. The other payments and share issuances and the exploration expenditures are optional.
The agreement is subject to regulatory approval, including approval of the TSX Venture Exchange.
Information with respect to the Joy property contained in this press release is approved by Bert W. Jeffries, PGeo, qualified person required under National Instrument 43-101.
Expedition Mining Inc. (TSX VENTURE: EXU) is a publicly held Canadian exploration company focused on acquiring, exploring and developing mineral properties located in favourable geo-political climates. The company is led by a highly skilled, experienced board and management team with significant successes in managing early stage mineral exploration companies.
CAUTION REGARDING FORWARD LOOKING STATEMENTS:
This news release contains 'forward-looking statements' within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as 'plans', 'expects' or 'does not expect', 'is expected', 'budget', 'scheduled', 'estimates', 'forecasts', 'intends', 'anticipates' or 'does not anticipate', or 'believes', or variations of such words and phrases or state that certain actions, events or results 'may', 'can', 'could', 'would', 'might' or 'will be taken', 'occur' or 'be achieved'.
Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Expedition Mining to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: risks related to the exploration and potential development of the Joy property, the actual results of current exploration activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future prices of gold. Although Expedition Mining has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Expedition Mining does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws.
ON BEHALF OF THE BOARD:
Ronald Atlas, President & Chairman of the Board Expedition Mining Corp.
Standard & Poor's Listed
Issued Share Capital: 47,484,068
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.
Contacts:
Expedition Mining Inc.
William Galine
(604) 662-3903
bgaline@expeditionmining.com
www.expeditionmining.com