Trading Symbol RCR: TSXV
TORONTO, Feb. 14 /CNW/ - Rockcliff Resources Inc. (RCR: TSXV) is pleased to announce that it has signed an option agreement to acquire
a 100% interest in the former producing Spruce Point VMS (copper-zinc)
Mine located 50km southwest of Snow Lake, Manitoba from Hudson Bay
Exploration and Development Company Limited (HBED), a wholly owned subsidiary of HudBay Minerals Inc. (TSX: HBM)(NYSE: HBM)
Rockcliff's President and CEO Ken Lapierre commented, "The Spruce Point
Mine will add significantly to our list of top quality copper-rich VMS
properties in the Snow Lake Mining Camp. Rockcliff controls
significant high grade copper assets and is focussed on drill
discoveries and increasing its resource base in the camp. We have
just commenced a major drill program on several of our properties in
the camp and we also look forward to advancing Spruce Point in 2011."
The Spruce Point Mine was discovered in 1972 and one-650m deep
production shaft was completed by 1981. Production began in 1982 and
was completed in 1988 from several VMS-rich (copper, gold, zinc,
silver) zones. Production figures are tabulated below.
Additional historical resources within and below the underground
workings are tabulated below. The historical resources were documented
in the Mineral Deposit Series Report #33 completed by the Manitoba
Energy and Mines Geological Services in 1996 and by HBED in 1992.
Copper (lower, central)
Although the resources are viewed as reliable and relevant based on the
information and methods used at the time they do not satisfy the
requirements set out by NI 43-101. Neither Rockcliff nor its Qualified
Persons have done sufficient work to classify the historical estimates
as current mineral resources and are not treating the historical
estimates as current mineral resources. The historical resources
should not be relied upon.
The Spruce Point Mine Property is located within the Snow Lake Mining
Camp and in close proximity to infrastructure. It will form part of
Rockcliff's Snow Lake Project which presently hosts a NI 43-101
compliant Indicated Resource at the Rail Copper-Gold Deposit, three
historic VMS (copper-gold) deposits (Lon, Reed and Kof) and the Tower
VMS (copper-gold) prospect.
To earn a 100% working interest in the property, Rockcliff must pay HBED
an aggregate of $0.5 Million in escalating, incremental payments over a
four year period or, with respect to $0.47 Million of the cash option
payments, elect either to make an additional $0.94 Million in
expenditures on the Property or issue $0.47 Million in treasury shares
priced at the time of issuance. In addition, Rockcliff will be
required to incur aggregate, escalating exploration expenditures
totalling $2.4 Million over a four year period on the property. In the
first year of the option, Rockcliff must pay $10,000 in cash payments
and expend $200,000 on exploration on the property. Once Rockcliff has
earned its 100% interest in the property, HBED has a buy back right to
acquire a 55% interest in the property by paying Rockcliff 200% of
Rockcliff's cash option payments paid in respect of the property and
spending 200% of Rockcliff's work expenditures. HBED can increase
their interest to 65% (an additional 10%) by bringing the property to
commencement of commercial production and by financing Rockcliff's 35%
portion, with such costs recovered from Rockcliff's share of profits
realized from future production.
Ken Lapierre P.Geo., President and CEO of Rockcliff Resources Inc., a
Qualified Person in accordance with Canadian regulatory requirements as
set out in NI 43-101, is responsible for the information in this press
Rockcliff Resources Inc.
Rockcliff Resources Inc. is a Canadian resource exploration company
focused on discovery and advancement of its high-quality mineral assets
at its Snow Lake Project. Rockcliff presently controls the Snow Lake
Project totalling in excess of 600 km2 located within and proximal to the Snow Lake Mining Camp. The project
presently includes the former producing Spruce Point VMS Mine, a NI
43-101 Indicated VMS Resource Estimate at the Rail Copper-Gold Deposit,
three historic VMS (copper-gold) deposits (Lon, Reed and Kof), the
Tower VMS (copper-gold) prospect, a former gold mine (Century Mine),
one gold deposit (C-Zone) as well as additional areas with potential
for VMS (copper-rich) and gold mineralization. Rockcliff also controls
the Black Gold Property and the NI 43-101 compliant Shihan Silver-Zinc
Deposit in northern Ontario.
Forward Looking Statement:
Some of the statements contained herein may be forward-looking
statements which involve known and unknown risks and uncertainties.
Without limitation, statements regarding potential mineralization and
resources, exploration results, and future plans and objectives of the
Company are forward looking statements that involve various risks. The
following are important factors that could cause the Company's actual
results to differ materially from those expressed or implied by such
forward looking statements: changes in the world wide price of mineral
commodities, general market conditions, risks inherent in mineral
exploration, risks associated with development, construction and mining
operations, the uncertainty of future profitability and the uncertainty
of access to additional capital. There can be no assurance that
forward-looking statements will prove to be accurate as actual results
and future events may differ materially from those anticipated in such
statements. Rockcliff undertakes no obligation to update such
forward-looking statements if circumstances or management's estimates
or opinions should change. The reader is cautioned not to place undue
reliance on such forward-looking statements.
Neither 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 Rockcliff Resources Inc.
For further information:
please visit www.rockcliffresources.com or contact Ken Lapierre, P.Geo., President and CEO of Rockcliff Resources Inc. at (416) 863-9800 or by email at firstname.lastname@example.org