VANCOUVER, April 1, 2019 /CNW/ - Vanadian Energy Corp. (the "Company") (TSXV: VEC), is pleased to announce the commencement of an exploration diamond drilling program on the Huzyk Creek Vanadium Property (the "Property") to follow up on a broad zone of vanadium mineralization encountered in a historic drill hole.
The initial drill hole will twin historic drill hole NIM-19 which encountered a broad zone of vanadium mineralization. Previous sampling in NIM-19 returned a total of 68 meters @ 0.14% V2O5 hosted within a sequence of graphitic meta-sediments associated with sulphides. Individual V2O5 values ranging from 0.04% to 0.6% over widths ranging from 0.3 to 1.25 meters were noted within this mineralized interval. Mineralization appears to be open down hole, with the new drilling planned to determine the width potential of the vanadium mineralization.
No other known historic drill holes have completed on this mineralized zone. At this time the strike, dip and the lateral extent of mineralization is not known. The Company plans to complete additional drilling along strike to determine the potential for additional vanadium mineralization along the geophysical conductor.
Under the terms of the Agreement with Rocas del Norte, the Company can earn an initial 49% interest in the Property by making staged payments over 3 years totalling $215,000 ($25,000 upon signing), issuing $180,000 of the Company's shares and completing $2,500,000 of exploration on the Property.
The Company can earn an additional 21% interest with a cash payment of $125,000 and the issuance of $50,000 of the Company's common shares to the Vendor, along with completing an additional $2,225,000 of exploration on the Property which will include a preliminary economic assessment (PEA) study.
The Company can earn the remaining 30% interest in the Property, for a total 100% interest, in the Huzyk Creek Project by completing a pre-feasibility study within 24 months of the 4th anniversary of the Agreement, along with a payment of $500,000 to the Vendor.
A National Instrument 43-101 geological report for the Huzyk Creek Property entitled 'Geological Report on the Huzyk Creek Property, Ponton Manitoba Region' has been prepared in connection with the Agreement and has been filed on SEDAR at www.sedar.com.
Marc Simpson, P.Geo., the Company's President, CEO and Director is the Qualified Person that has reviewed and approved the contents of this news release on behalf of the Company.
The Company also announces that it has granted an aggregate of 1,495,000 incentive stock options to directors, officers and consultants at a price of $0.055 per share, exercisable for a period of 10 years, subject to TSX-V approval.
ABOUT VANADIAN ENERGY CORP.
Vanadian Energy Corporation is an energy minerals focused company headed by an experienced team, well versed in mineral exploration and capital markets. The company is focused on the strategic acquisition, exploration, and development of high quality energy mineral properties in Canada and around the world. Vanadian Energy Corporation is building a leading vanadium focused resource company.
ON BEHALF OF VANADIAN ENERGY CORP.
President and CEO
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION
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. The foregoing information may contain forward-looking information relating to the future performance of the Company. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the mining industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the mining industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
SOURCE Vanadian Energy Corp.
For further information: Marc Simpson, President and CEO, Vanadian Energy Corp., 604-506-6996, www.vanadianenergy.com