SUDBURY, ON, Nov. 6, 2013 /CNW/ - Project generator Transition Metals
Corp. (XTM - TSX.V, "Transition", the "Company") is pleased to provide
an update on its Aer Kidd nickel property, previously held by
Transition's wholly-owned subsidiary HTX Minerals Corp. ("HTX")
pursuant to an option agreement with Canickel Mining Company Ltd
("CaNickel"). The Company has incorporated a new subsidiary called
Sudbury Platinum Corporation ("Sudbury Platinum") to pursue the Aer
Kidd project. Given the amount of mineral exploration expenditures
required to exercise the Aer Kidd option and the Company's project
generator business model, the Company considers it in the best interest
of the Company's shareholders to establish a new standalone corporate
vehicle for the Aer Kidd project. Sudbury Platinum has also completed
an initial non-brokered financing of $310,500 to fund initial
exploration activities at the Aer Kidd project located in Sudbury
Sudbury Platinum's primary focus will be to explore for nickel, copper
and platinum group metals (Ni-Cu-PGM) in the Sudbury District with a
focus on the Aer Kidd property. The option for the Aer Kidd project was
assigned to Sudbury Platinum by HTX in October in exchange for stock
and other considerations. The terms of the underlying option agreement
entitles Sudbury Platinum to earn a 50% or 70% interest in the Aer Kidd
property. Sudbury Platinum also purchased the Owen Nickel property,
located near Espanola Ontario from HTX in exchange for shares. As a
result of the two transactions, HTX has been issued a total of
15,000,000 commons shares in Sudbury Platinum and Transition has
entered into a multi-year operating agreement with Sudbury Platinum to
provide exploration services during the term of the underlying option.
"We view Sudbury as one of the world's premiere mining camps with
remarkable opportunities for discovery of worldclass Ni-Cu-PGM ore."
says CEO Scott McLean. "The Aer Kidd project is an outstanding
brownfields opportunity exceptionally well positioned between Vale's
Totten Mine and KGHM's Victoria mine development. "
The initial financing for Sudbury Platinum consisted of the sale of
3,105,000 units.. Each unit was issued at $0.10 consisting of a common
share and a common share purchase warrant exercisable at $0.20 for a 36
month period following the November 6, 2013 closing date for proceeds
of $310,500. After giving effect to the financing, HTX holds
approximately 83% of the common shares of Sudbury Platinum.
About the Aer Kidd Property
The Aer-Kidd property is located ~20 km southwest of Sudbury, Ontario
and covers a 1.3 kilometer section of the Worthington offset dyke in an
area with a rich mining history, dating back to the 1800's. The
property is approximately 2.6 kilometers along strike to the northeast
of Vale's Totten mine (10.1 Mt @ 1.5% Ni, 1.97% Cu, 4.8g/t PGM)¹ that is currently in production and 4.3 kilometers to the southwest and
along trend of KGHMs Victoria mine (14.5 Mt@ 2.5% Ni, 2.5% Cu, 7.6 g/t PGM)² which is currently being developed. The Aer-Kidd property hosts the
former producing Howland Pit, Robinson and Rosen Mines, which were
small deposits exposed at surface and were mined down to a maximum
depth of 300m.
Sudbury Platinum has undertaken a detailed review of historical
geophysical and geological data and believes that the property
maintains excellent potential to host an economic Ni-Cu-PGM deposit.
Drilling completed by Canickel (formerly Crowflight Minerals) in early
2000's confirmed the presence of mineralization on the property to at
least a vertical depth of 1,000 meters. Additional drilling and
subsequent borehole geophysics completed by Crowflight identified a
number of untested conductive targets that extend to depths in excess
of 1,000 meters on the property. Sudbury Platinum believes that the
property has excellent potential to host a significant Ni-Cu-PGM
Sudbury Platinum geologists are now engaged in a re-logging program of
selected core with plans to resurvey all accessible historic holes
using the UTEM IV system of Lamontagne Geophysics. The borehole
geophysics will further identify and discriminate prospective Ni-Cu-PGM
sulphide targets near surface and to depths >1200m. Results from the
work will be integrated with the Sudbury Platinum geological model in
advance of drilling.
The technical elements of this press release have been approved by Mr.
Grant Mourre, P.Geo (APGO), a Qualified Person under National
Resource reported by Inco; January 31, 2001 News Release
Resource reported by KGHM; January 16, 2012 News Release.
About Transition Metals Corp
Transition Metals Corp (XTM -TSX.V) together with its 100% owned
subsidiary, HTX Minerals Corp is a Canadian-based, multi-commodity
project generator that specializes in converting new exploration ideas
into Canadian discoveries. The award-winning team of geoscientists has
extensive exploration experience in established, emerging and historic
mining camps, and actively develops and tests new ideas for discovering
mineralization in places that others have not looked, which often
allows the company to acquire properties inexpensively. The team is
rigorous in its fieldwork, and combines traditional techniques with
newer ones to help unearth compelling prospects and drill targets.
Transition uses the project generator business model to acquire and
advance multiple exploration projects simultaneously, thereby
maximizing shareholder exposure to discovery and capital gain. Joint
venture partners earn an interest in the projects by funding a portion
of higher-risk drilling and exploration, allowing Transition to
conserve capital and minimize shareholder's equity dilution. The
company, which went public in 2011, has an expanding portfolio that
currently includes 28 gold, copper, nickel and platinum projects
primarily in Ontario, Nunavut and Saskatchewan.
About Sudbury Platinum Corp
Sudbury Platinum Corp is a Canadian private corporation focused on
exploring for nickel, copper and platinum group metals in the Sudbury
Area. The company is exploring its key AER Kidd property, an advanced
exploration property located on the prospective Worthington Offset
dyke, in the heart of the Sudbury mining camp and holds a 100% interest
in the Owen Nickel property. The Company vision is to become a mine
developer in the Sudbury district. Additional information regarding the
company and project can be found on the Transition Metals Web Site.
Cautionary Note on Forward-Looking Information
Except for statements of historical fact contained herein, the
information in this news release constitutes "forward-looking
information" within the meaning of Canadian securities law. Such
forward-looking information may be identified by words such as "plans",
"proposes", "estimates", "intends", "expects", "believes", "may",
"will" and include without limitation, statements regarding estimated
capital and operating costs, expected production timeline, benefits of
updated development plans, foreign exchange assumptions and regulatory
approvals. There can be no assurance that such statements will prove to
be accurate; actual results and future events could differ materially
from such statements. Factors that could cause actual results to differ
materially include, among others, metal prices, competition, risks
inherent in the mining industry, and regulatory risks. Most of these
factors are outside the control of the Company. Investors are cautioned
not to put undue reliance on forward-looking information. Except as
otherwise required by applicable securities statutes or regulation, the
Company expressly disclaims any intent or obligation to update publicly
forward-looking information, whether as a result of new information,
future events or otherwise.
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.
SOURCE: Transition Metals Corp.
For further information:
Further information is available at www.transitionmetalscorp.com or by contacting:
President and CEO
Transition Metals Corp.
Tel: (705) 669-0590