VANCOUVER, Nov. 20 /CNW/ - RT Minerals Corp. ("RTM" / the "Company") announces that it has entered into an agreement whereby Union Securities Ltd. ("Union") will act as RTM's exclusive agent in connection with a unit offering of up to $1,500,000 comprised of up to $500,000 in non-flow through funding and at least $1,000,000 in flow through funding to close on or before December 31, 2009. It is intended that the offering pricing will be finalized following Union's due diligence which is expected to be completed by the end of November, 2009.
In addition, as part of the agreement Union will act as RTM's sponsoring agent in accordance with the Policies and Rules of the TSX.V as part of RTM's application to list on the TSX.V.
An agent's commission of 7% in cash and 7% in compensation options is payable to Union at the closing of the above noted concurrent private placements. A $25,000 non-refundable work fee is due on closing of the placements to the Agent. The Agent has also been granted an over-allotment option to purchase up to 15% of the Units subscribed for in the above noted concurrent private placements.
RT Minerals is actively exploring its Golden Property which is contiguous to the south western holdings of Lakeshore Gold Corp. (TSX: LSG) near Timmins, Ontario. Current Exploration being conducted in the West Timmins area is situated about 10 km from the main Timmins gold camp which to date has produced over 63 million ounces of gold.
The Golden Property has similar style of gold mineralization as that found at LSG's Thunder Creek Zone including at least one sediment hosted quartz sulphide zone at surface which returned 7.34 g/t, 4.73 g/t, 4.11 g/t, 3.79 g/t, 0.54 g/t and 0.14 g/t Au from six out of six grab samples taken from surface as previously announced by RTM.
RTM's Golden property is about 9500m on strike to the LSG drill hole at Thunder Creek of 83.4m at 12.75 g/t Au. RTM's Golden property is also situated within the favourable stratigraphy associated with the Destor-Porcupine fault system of the Timmins gold camp. The current field program is designed to test for the extension of the Wakemac Fault and sediment hosted gold targets, as well as the Destor-Porcupine fault which extends across the southern portion of the Golden property for over 5 km of strike length.
In addition, RTM's holdings are about 1,000m southwest of drilling conducted by LSG (Formerly West Timmins Mining) in 2006 which reported shallow drilling which returned up to 11.24 g/t Au over 3.3 meters from the Wakemac zone. This zone may be a south western extension of the principal lineaments and structures associated with the Thunder Creek Zone (Holmer Gold Zone). In addition, RTM's holdings are approximately 1,500m southwest of recent drilling conducted by Nebu Resources Inc. which has reported up to 5.69 g/t Au over 4.5m.
RTM is presently carrying out a deep penetrating IP geophysical program to 400m in depth consisting of approximately 42 line kilometres on its Golden Property. Follow up drilling to this geophysical program is expected to commence in December 2009.
The Qualified person for the Company's Golden Property is Mr. Robert Laakso, P.Eng., and he has reviewed the contents of this release.
SOURCE RT MINERALS CORP.
For further information: For further information: Jonathan Samuda, Director, (604) 681-3170