VANCOUVER, June 19, 2017 /CNW/ - NXGOLD LTD. ("NxGold" or the "Company"), (NXN:TSXV) is pleased to announce that it has received a positive screening decision from the Nunavut Impact Review Board ("NIRB") for its maiden exploration program at the Kuulu Gold Project, Nunavut. The decision by the NIRB, which follows a comprehensive review, means that processing of the additional licence applications for a camp based, multi-phase exploration program may now proceed.
A detailed helicopter-borne VTEM Plus (electromagnetic and magnetic) survey will be initiated as soon as possible out of Rankin Inlet which is located approximately 40km southeast of the Kuulu property. This survey is anticipated to be completed in early July and has as its objective the identification of a number of high priority exploration drill targets. Following completion of this survey, and upon receipt of additional required licences, the field-based portion of the planned drill campaign is expected to commence in early August 2017.
Christopher McFadden, CEO stated, "We are very encouraged by the NIRB's positive screening decision. Since initiating the permitting process, we have worked diligently to engage with the community of Rankin Inlet and the various agencies and organizations involved in the assessment and monitoring of the Kuulu Gold Project. In the process, we have gained an appreciation for the concerns and values of the people of the Kivalliq region of Nunavut. We now look forward to exploring the Kuulu project which will represent the first systematic drill campaign initiated in the property's history."
As set out in the news release dated April 26, 2017, the maiden exploration campaign will consist of:
- A VTEM Plus (electromagnetic and magnetic) survey on 50 m spaced lines over the entire property which will be flown by Geotech Ltd.;
- A low altitude high resolution drone survey at 25 m spacing over the entire property;
- Systematic till sampling and boulder prospecting, and
- A minimum 4,000 m (30 hole) diamond drill program.
NxGold is also pleased to announce that, further to its news release dated April 13, 2017 announcing the execution and delivery of an option agreement (the "Agreement") with Kenorland Minerals Ltd. ("Kenorland") pursuant to which the Company has the exclusive right to earn up to a 100% interest in the Chicobi Project, located approximately 30 km northeast of Amos, Quebec (the "Property"), all required approvals (including the approval of the TSX Venture Exchange) to the Agreement have been obtained.
Pursuant to the terms of the Agreement, the Company has also now paid Kenorland $100,000 cash and issued 800,000 common shares in the capital of the Company (subject to a 12 month hold period) and the Agreement bears an "effective date" of June 7, 2017.
NxGold is a Vancouver-based exploration company. NxGold has entered into an earn-in agreement with Meliadine Gold Ltd. to earn up to a 70% interest in the Kuulu Project (formerly known as the Peter Lake Gold Project). The Kuulu Project is located approximately 40 km northwest of Rankin Inlet, Nunavut. The Kuulu Project covers 4,174 hectares immediately along trend from Agnico Eagle's advanced Meliadine Gold project. Additionally, the Company has entered into an earn-in agreement to earn up to a 100% interest in the Chicobi Project located within the prolific Abitibi Greenstone Belt in Quebec.
Cautionary Statement Regarding "Forward-Looking" Information.
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. "Forward-looking information" includes, but is not limited to, statements with respect to activities, events or developments that the Company expects or anticipates will or may occur in the future. Generally, but not always, forward-looking information and statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or the negative connotation thereof or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative connotation thereof.
Such forward-looking information and statements are based on numerous assumptions, including among others, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed and on reasonable terms, and that third party contractors, equipment and supplies and governmental and other approvals required to conduct the Company's planned exploration activities will be available on reasonable terms and in a timely manner. Although the assumptions made by the Company in providing forward-looking information or making forward-looking statements are considered reasonable by management at the time, there can be no assurance that such assumptions will prove to be accurate.
Forward-looking information and statements also involve known and unknown risks and uncertainties and other factors, which may cause actual events or results in future periods to differ materially from any projections of future events or results expressed or implied by such forward-looking information or statements, including, among others: negative operating cash flow and dependence on third party financing, uncertainty of additional financing, no known mineral reserves or resources, reliance on key management and other personnel, potential downturns in economic conditions, actual results of exploration activities being different than anticipated, changes in exploration programs based upon results, and risks generally associated with the mineral exploration industry, environmental risks, changes in laws and regulations, community relations and delays in obtaining governmental or other approvals.
Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information or implied by forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information. The Company undertakes no obligation to update or reissue forward-looking information as a result of new information or events except as required by applicable securities laws.
SOURCE NxGold Ltd.
For further information: Travis McPherson, Vice-President Corporate Development, NxGold Ltd., +1 604 428 4112, [email protected]