TORONTO, Feb. 27 /CNW/ - Marathon PGM Corporation ("Marathon" or "the
Company") is pleased to announce it has completed an Option and Joint Venture
Agreement (the "Agreement") with North Range Resources Ltd. ("NR") a privately
owned junior mining company based in Clarke's Beach, Newfoundland. The
agreement is on the Tim's Brook Property ("TBP"), an undeveloped gold and
silver prospect that is entirely surrounded by Marathon's claims in the Steel
Mountain Complex near Stephenville, Newfoundland.
- high-grade grabs of gold (up to 162.7 g/t Au) and silver (up to
401 g/t Ag) mineralization hosted in quartz veins
- TBP is internal to the Steel Mountain Complex, where Marathon
identified anomalous PGM and base metal mineralization in 2007
- the TBP geological setting of quartz veins located as a splay of the
Long Range Fault that hosts numerous gold deposits in Newfoundland
(Pine Cove, Cape Ray and Glover Island)
- an airborne geophysical survey of the Marathon's properties is
planned to be completed by the end of March
Dave Good, Marathon's VP of Exploration, noted "The Steel Mountain
Complex is relatively unexplored, yet contains known PGM and base metal
mineralization. While the TBP is at an early stage of exploration,
gold-bearing quartz veins have been found in a structure that has been traced
for 3 kilometers. These veins are part of a structural splay off of the Long
Range Fault, which hosts a number of other gold deposits. Our upcoming
geophysical survey will assist in defining the structure and geology of the
As the operator, Marathon can earn up to a 75% interest in the Tim's
Brook Property by spending a total of $4,000,000 on exploration and by
committing to bringing the project to feasibility. This earn-in expenditure is
staged as follows: $1,000,000 over the next three years to earn a
51% interest; a further $1,000,000 by February 18, 2012 to earn an additional
14% interest, for a total of 65%; and additional expenditures of $2,000,000
and completion of a feasibility study to earn an additional 10% for a total
75% interest. A local prospecting group, Muck Resources, holds a 3% Net
Smelter Royalty, the first 2% of which can be purchased at the rate of
$1,000,000 for each 1%.
As part of the Agreement, Marathon completed a private placement of
$40,000 with North Range, purchasing 80,000 shares of NR stock at a price of
$0.50 per share.
Tim's Brook Property
TBP is situated in the southern Long Range Mountains of western
Newfoundland and is located just east of the Trans Canada Highway. Marathon
carried out an aggressive exploration program in 2007 at the Steel Mountain
Complex and successfully confirmed multiple zones of anomalous PGM and base
metals. Acquisition of the TBP expands Marathon's land holdings in
Newfoundland and Labrador to an area covering 1,284 hectares.
The first year of exploration costs is in the existing budget of
Marathon's Newfoundland properties.
(To view the Steel Mountain Project, please click on the following link
David Good, P.Geo., Marathon's VP of Exploration is Marathon's Qualified
Person in compliance with National Instrument 43-101 with respect to this
release. Dr. Good has reviewed the contents for accuracy and has approved this
press release on behalf of Marathon.
About Marathon PGM Corporation
Marathon is in the process of completing a definitive feasibility study
on the Marathon PGM-Cu deposit. Marathon also has development and exploration
stage properties in southeastern Manitoba and western Newfoundland and
Labrador. Marathon's management plans to build on this focus through the
advancement of its properties, focusing on resource development and by
examining other strategic PGM and base metal opportunities within Canada.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION Except for
statements of historical fact relating to the Company, certain information
contained herein constitutes "forward-looking statements". Forward-looking
statements are frequently characterized by words such as "plan," "expect,"
"project," "intend," "believe," "anticipate" and other similar words, or
statements that certain events or conditions "may" or "will" occur.
Forward-looking statements are based on the opinions and estimates of
management at the date the statements are made and are subject to a variety of
risks and uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the forward-looking
statements. These risks and uncertainties include but are not limited to those
identified and reported in Management's Discussion and Analysis for the year
ended December 31, 2006. Circumstances or management's estimates or opinions
could change, and management disclaims any obligation to revise or update
forward-looking statements, whether for new information, future events or
otherwise. The reader is cautioned not to place undue reliance on
On Behalf of Marathon PGM:
"Phillip C. Walford"
For further information:
For further information: Phillip C. Walford, P.Geo., President, Chief
Executive Officer, Tel: (416) 987-0711, email@example.com; David Leng,
P.Geo: Tel: (416) 849-3432, Fax: (416) 861-1925, firstname.lastname@example.org