VANCOUVER, British Columbia, Nov. 28, 2018 /CNW/ -- Surge Exploration Inc. ("the Company" or "Surge") (TSXV: SUR) (OTC: SURJF) (FRA: DJ5C) announces that it has entered into Purchase and Sale Agreement with Venture Capital IQ Inc. dated November 27, 2018 (the "Agreement") whereby Surge has acquired 100% interest in 9 mineral claims comprising 19,665 hectares (197 sq km) located in North Central British Columbia. The region is host to numerous operating mines, good infrastructure including experienced exploration and supporting services. The transaction is subject to TSX Venture Exchange ("Exchange") approval.
"We're excited at Surge Exploration to acquire approximately 200 sq. km's (85 sq. mi) of tenures in such a propitious area of BC," commented the Honourable Bill Bennett, Surge director and three-time former BC Energy & Mines Minister. "This area of the Province has already generated several promising projects, and our land package is strategically situated to exploit the high copper-gold values of the region. BC is a mining-friendly jurisdiction with reasonable processes, good infrastructure and potential First Nation partners – extending Surge's land holdings from Chile and Ontario to this region of BC makes our company stronger."
About the Property
The Omineca Group of 9 claim blocks (see map) lie in the Omineca Mining Division of north-central British Columbia, approximately 150 km north of Fort St. James. The claims are not subject to any royalty terms, back-in rights, payments or any other agreements and encumbrances.
B.C. Minfile assessment report data indicates that most of the area covered by the Omineca Group claim blocks were at one time or another covered by staking during surges of exploration in B.C. dating from the 1940's to present day. Largely the claims appear to have been minimally explored with little follow-up. However, some work was recorded on several claims with results for stream sediment sampling showing anomalous to highly anomalous results for gold in a few areas. These areas were recommended for detailed follow-up, however due to a previous commodity price downturn no further work was recorded.
Prominent among early discoveries in the Omineca region were the nearby Lustdust/Stardust property (Sun Metals Corp.TSXV: SUNM) covering a large, coherent integrated porphyry-skarn, epithermal system; the Kwanika property (Serengeti Resources Inc./POSCO DaewooTSXV: SIR) a promising advanced stage copper-gold project; the Lorraine property (Lorraine Copper Corp.TSXV: LLC) host to a large copper/gold NI 43-101 compliant resource. The tenures are located between the Kemess North project being developed by Centerra Gold's subsidiary Aurico Metals and Centerra Gold's operation Mt Milligan mine.
Once a detailed compilation of all available data has been collected and assessed, management will prepare a plan and budget for an exploration program to be carried out once the field season starts in 2019.
Terms of the Agreement
The Company will pay Venture Capital IQ Inc. $40,000 upon signing the Agreement and issue 1,000,000 fully paid and non-assessable common shares in the capital of Surge upon Exchange approval.
All shares issued are subject to a four month and a day hold period in accordance with applicable securities laws.
The technical content of this news release and the 43-101 technical reports have been reviewed and approved by Paul Sorbara, P.Geo., an independent consulting geologist and a qualified person as defined in NI 43-101.
About Surge Exploration Inc.
The Company is a Canadian-based mineral exploration company which has been active in the resource sector in British Columbia and elsewhere in Canada. The Company has an exploration office in Santiago, Chile to review mineral exploration opportunities in Chile and elsewhere in South America.
Ontario Cobalt Properties (Cobalt):
The Company has an option to earn an undivided 60% interest in the Glencore Bucke Property and the Teledyne Property, located in Cobalt, Ontario Canada.
Incahuasi Lithium Project (Lithium Brine):
The property is located on the northernmost section of the Incahuasi salar, 75 km southeast from both the town of Tilomonte, Chile and the Salar de Atacama, where mining is the largest economic activity, and the mining industry is one of the region's major employers. The Incahuasi salar is located on the national border between Chile and Argentina at an elevation of 3,260 m. The Incahuasi Lithium Project consists of 10 mineral exploration concessions totalling 2,300 hectares. Bordering this property, in Argentina, is a 9,843 hectare lithium exploration property held by Advantage Lithium (TSXV: AAL OTCQB: AVLIF). The option on this project is subject to TSXV approval.
Atacama Cobalto Project (Cobalt Copper):
The Atacama Cobalto Project is located in the Atacama Province in northern Chile, 15 km northwest of the town of Copiapó, where mining is the largest economic activity, and the mining industry is one of the region's major employers. The Atacama Cobalto Project consists of 1,059 hectares and is located only 3 km East of the Cerro Iman Mine. To date, CAP Minería has drilled over 20,250 m on the Atacama Cobalto Project.
The area of interest hosts several other mining companies and is situated near the mylonitic corridor that is part of the Atacama Fault System that hosts many of the IOCG deposits in northern Chile. The Atacama Cobalto Project corresponds to a "cobalt anomalous IOCG" associated with the geographic area. The Atacama Cobalto Project benefits from access to excellent infrastructure, including port access, energy supply, and access through the Pan American Highway. The option on this project is subject to TSXV approval.
Hedge Hog Property, (Copper Gold) British Columbia
The Company has an option to earn an undivided 60% interest seven mineral tenure covering 2,418 hectares (5,972 acres) located approximately 80 km northeast of the town of Quesnel, BC and 20 km north of the historic gold mining towns of Wells and Barkerville.
On Behalf of the Board of Directors
President & CEO
Neither the 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 may contain forward‐looking statements which include, but are not limited to, comments that involve future events and conditions, which are subject to various risks and uncertainties. Except for statements of historical facts, comments that address resource potential, upcoming work programs, geological interpretations, receipt and security of mineral property titles, availability of funds, and others are forward‐looking. Forward‐looking statements are not guarantees of future performance and actual results may vary materially from those statements. General business conditions are factors that could cause actual results to vary materially from forward‐looking statements.
SOURCE Surge Exploration Inc.