CALGARY, Jan. 22, 2014 /CNW/ - StrikePoint Gold Inc. (the "Company") is pleased to announce it has acquired an option to earn a 100% interest in the Lobstick Gold Property located in the Western Wabigoon Subprovince, Lobstick Township, Ontario within the Rowan Lake Greenstone Belt.
The Lobstick property consists of 32 claim units totalling 512 hectares located 50 kilometres southeast of Kenora, Ontario. The property is readily accessible by logging roads and10 km east of Hwy 71.
On a regional scale the property occurs near the junction of two major regional crustal breaks - the Wabigoon Fault and the Pipestone-Cameron Fault. The Wabigoon Fault is associated with Treasury Metal's Goliath Gold Deposit and the Pipestone-Cameron Fault is associated with Chalice Gold's Cameron Lake Gold Deposit.
Locally, the property is within the Lobstick Bay Deformation Zone, which is a splay off the Wabigoon Fault. This deformation zone is comprised of three strongly-foliated, intensely altered, quartz, sericitic-schists containing disseminated pyrite within intermediate to felsic volcanics.
The alteration is highly anomalous in gold mineralization and historical drilling confirms this scenario, with an intercept in the Main Zone assaying 38.95 m of 0.63 g /t Au (DDH LB01-03). Of noteworthiness, the Main Zone, hosting this intercept, is only drilled to a maximum depth of approximately 25 vertical meters. This area has received very little attention; a limited drilling program was performed in 1986.
In the Wabigoon Region, New Gold and Bayfield Ventures are using these lower grade mineralizing envelopes as exploration guides on the Rainy River/Burns Block Projects to delineate higher grade gold discoveries down dip/plunge of lower grade mineralization that is delineated for a low-grade open pit scenario.
Strikepoint's management believes this property represents an excellent discovery-stage opportunity. The rock types in the area are similar to the Cameron Lake and Goliath gold deposits in the region. Sedimentary rocks in the hanging wall of the shear zone suggest similar geometry to Treasury Metal's Goliath Gold Deposit and Barrick's Hemlo Gold Mines; acting as both cap rocks and focusing mineralizing fluids. Exploration plans will include geophysics and diamond drilling.
StrikePoint Gold Inc. can earn a 100-per-cent interest in the property from an arm's-length third party group by paying $70,000, issuing 500,000 shares and performing $200,000 in work commitments over four years. StrikePoint has issued 50,000 common shares of the Corporation pursuant to the Agreement in order to satisfy the initial obligation of the Agreement. The common shares were issued at a deemed price of $0.05 per common share.
Upon completion of an initial NI 43-101-compliant mineral resource, StrikePoint will issue an additional $50,000 and 1,000,000 shares. Within 30 days of filing a positive, bankable feasibility study StrikePoint will issue an additional $ 50,000 and 1,000,000 shares. Upon commencement of commercial production, the company will be subject to a net smelter return royalty (NSR) of 3 per cent with the option to purchase 2 per cent of the NSR in increments of 1% NSR for $1,000,000.
The 2014 exploration program is under the supervision of John C. Florek, P.Geo. Mr. Florek is a Qualified Person as defined by NI 43-101. Mr. Florek prepared and approved the information contained in this release.
Details on StrikePoint's acquisition can be reviewed at the Company's website at www.strikepointgold.com.
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.
This news release contains forward-looking statements relating to the future operations of the Corporation and other statements that are not historical facts. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Such forward-looking statements are subject to important risks, uncertainties and assumptions. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of StrikePoint. As a result, we cannot guarantee that any forward-looking statement will materialize and the reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release, and StrikePoint does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by Canadian securities law.
SOURCE: StrikePoint Gold Inc.
For further information: Shawn Khunkhun, President, Tel: 604-602-1440, E-mail: [email protected]