WCP Earns 40% Interest on the Al Hariqah Gold Project
31 Oct, 2014, 09:00 ET
KELOWNA, BC, Oct. 31, 2014 /CNW/ - Cantex Mine Development Corp. (CD : TSXV) ("Cantex" or the "Company") wishes to announce that WCP Resources Ltd ("WCP") has earned a 40% interest in the Al Hariqah Gold Project ("Project"), a prospective and potentially large scale gold project located in the Republic of Yemen.
In accordance with the farm-in agreement, WCP has met the first US $5 million expenditure commitment on the Al Hariqah Gold Project and has thus earned a 40% interest in the Project, subject only to payments due under the agreement. WCP has elected to maintain its interest in the Project at 40% and both Parties with now be responsible for their respective share of costs or be subject to dilution.
As a result of the recent increase in the level of violence, political instability and civil unrest in Yemen, Cantex and WCP have taken the decision to suspend activities at the Project until it is considered appropriate to restart operations. Cantex and WCP will continue to monitor the situation in Yemen and when circumstances improve will look to restart activities at the Project.
In the meantime, Cantex and WCP have notified the Yemen Government of their decision to declare force majeure at the Project, in accordance with the Yemen mining laws. If the Yemen Government grants force majeure status for the Project, this will allow the proposed work programs to be suspended without consequence.
About the Company
Beyond the Al Hariqah gold project Cantex has projects in the Yukon and Nevada. In the Yukon recent work has identified the potential for the claims area to host Carlin-style mineralization. In Nevada the Company has five drill ready properties along known trends of gold mines and is currently seeking joint venture partners to advance the projects.
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.
SOURCE: Cantex Mine Development Corp.
For further information: Cantex Mine Development Corp, Tel: +250-860-8582, Email: [email protected]
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