Linear Metals Increases Nyanza Gold and Base Metal Property Portfolio by 60%
HALIFAX, NOVA SCOTIA -- (Marketwire) -- 08/22/11 -- Linear Metals Corporation (TSX: LRM) is pleased to announce that the Company's applications for additional mineral rights covering 668 square kilometres (km(2)) in the Nyanza Region of Kenya has been approved. The Sotik License, located approximately 40 kilometres ('km') to the east of the Company's existing land package, is the largest license acquired and represents an area of 658 km(2). Two smaller licenses, covering 10 km(2) of open 'fractions' and flanking areas contiguous to the Company's extensive existing land holdings, have also been granted to the Company. These licenses, together with Linear's additional license applications pending as of this date, cover what is believed to be the last 'open' portions of the Nyanza-Migori greenstone belts in south-western Kenya. Linear now controls over 1,600 km(2)of this prospective greenstone belt, covering numerous gold, base metal, and iron occurrences, with applications pending for an additional 500 km(2).
Linear's Chief Executive Officer, Brian MacEachen, commented, 'We are very pleased to have completed the significant additions to, and consolidation of, our extensive Kenyan land package in this highly prospective area of an under-explored greenstone belt. We have increased the size of our property portfolio by 60% with Linear now controlling over 1,600 square kilometres of the belt which makes this an even greater district scale opportunity. This strategic package is dotted with artisanal and colonial workings and is host to an abundance of high grade gold occurrences and quality targets. Our initial work program is progressing well with positive results from our geophysics and geochemistry and we look forward to reporting assay results from our on-going trenching and drill programs.'
Sotik License Grant
The newly granted Sotik License covers a large strip of greenstone belt that is exposed in an erosional 'window' between Proterozoic Bukobian cover to the west, and largely Tertiary volcanic cover to the east. The window extends approximately 44 km in a north-south direction and is up to 11 km wide. This strip of greenstone belt hosts numerous artisanal gold workings and is located proximal to the town of Sotik, a local supply centre. The Kenyan Geologic Survey also reports the occurrence of what it interpreted as 'detrital gold' from the basal conglomerate of the Bukobian cover sequence, suggesting possible erosion of nearby outcropping gold mineralization hosted in the Nyanzian greenstone.
This press release was prepared under the supervision of Matthew Ian Rees, M.Sc., P.Geo., VP Exploration for Linear Metals, who is a Qualified Person as defined under National Instrument 43-101. Mr. Rees has reviewed the scientific and technical information in this press release.
Forward-Looking Information:
This release includes certain statements that may be deemed 'forward-looking statements'. All statements in this release, other than statements of historical facts, that address future production, reserve potential, continuity of mineralization, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes that the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. The likelihood of future mining at the Nyanza Project is subject to a large number of risks and will require achievement of a number of technical, economic and legal objectives, including obtaining necessary mining and construction permits, completion of pre-feasibility and final feasibility studies, preparation of all necessary engineering for pits and processing facilities as well as receipt of significant additional financing to fund these objectives, as well as funding mine construction. Such funding may not be available to the Company on acceptable terms or on any terms at all. There is no known ore at the Nyanza Project and there is no assurance that the mineralization at the Nyanza Project will ever be classified as ore. For more information on the Company and the risk factors inherent in its business, investors should review the Company's Annual Information Form at www.sedar.com.
The TSX Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Contacts:
Linear Metals Corporation
Brian MacEachen
President and Chief Executive Officer
(902) 482-1240
www.linearmetals.com