VANCOUVER, Feb. 22 /CNW/ - Copper Ridge Explorations Inc. (TSX-V: KRX) announces that it has signed an agreement with Andina Minerals Inc. (TSX-V:ADM) ("Andina") whereby it has acquired a 100% interest in the Quitovac gold deposit, Sonora, Mexico. The deposit is similar to the nearby La Choya heap leach mine that profitably produced over 300,000 ounces of gold for Hecla Mining during the period 1994 to 1999. It also has similarities to a number of other nearby structural associated gold deposits such as La Herradura (Newmont and Penoles) and El Chanate deposits in Sonora and the Mesquite, Picacho and American Girl deposits in the adjacent United States. The Quitovac deposit as presently defined remains open along strike in both directions and down dip. Terms of the acquisition are $65,000 cash and 95,000 Copper Ridge shares. If the Quitovac property is placed into production, Copper Ridge will pay an additional $500,000 and issue 35,000 shares to Andina. The agreement is subject to regulatory approval.
Sale of Quitovac to Golden Predator
Copper Ridge also announces that, subject to regulatory approval of the agreement with Andina, Copper Ridge intends to close the Purchase and Assignment Agreement with Golden Predator Royalty & Development Corp. (TSX: GPD - "Golden Predator"), announced August 20, 2009, whereby Golden Predator will acquire Copper Ridge's interest in the Quitovac project by issuing 450,000 Units of Golden Predator to Copper Ridge at a deemed price of $0.50 per Unit and reimbursing Copper Ridge for cash payments made by Copper Ridge to acquire the Quitovac project totaling $65,000. Each Unit will consist of one share of Golden Predator and one non-transferable warrant exercisable for one additional share of Golden Predator for a period of two years at a price of $0.75 for the first six months and $0.90 for the remaining 18 months. The number of Units is adjustable under certain circumstances.
Should the Quitovac property become the subject of a bankable feasibility study ("BFS") prior to December 31, 2011, then up to 500,000 shares of Golden Predator will be issuable to Copper Ridge capped at $1,000,000 in value, if a BFS is delivered from January 1, 2012 through December 31, 2013 this cap will be raised to $1,500,000, if a BFS is delivered from January 1, 2014 through December 31, 2015 it will be raised to $2,000,000, and it will be raised to $2,500,000 thereafter. The Quitovac property is subject to a 1% NSR payable to Copper Ridge.
Greg Dawson, M.Sc. P.Geo., VP Exploration for Copper Ridge, is the Qualified Person for the Quitovac Property and is responsible for the technical content of this news release.
About Copper Ridge
Copper Ridge is committed to a exploring in areas of high mineral potential with a focus on a copper/nickel/platinum project on Duke Island in Alaska and a lead/zinc/silver massive sulphide deposit at Clear Lake in central Yukon. By exploring projects in mining-friendly jurisdictions, Copper Ridge is focused on a greater chance for discovery to maximize shareholder value.
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Neither TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance. There are numerous risks and uncertainties that could cause actual results and Copper Ridges' plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, Copper Ridge assumes no obligation to update forward-looking information should circumstances or management's estimates or opinions change.
SOURCE Redtail Metals Corp.
For further information: For further information: Gerald G. Carlson, President & CEO, 11th Floor - 888 Dunsmuir Street, Vancouver, B.C., V6C 3K4, Phone: (604) 648-4653, firstname.lastname@example.org