Mar 29 2017
Canada Strategic Metals Inc. ("Canada Strategic Metals" or "the Company") (TSX VENTURE:CJC)(FRANKFURT:YXEN)(OTCBB:CJCFF) and Matamec Explorations Inc. (TSX VENTURE:MAT)(OTCQB:MHREF) are pleased to announce the commencement of drilling on the Sakami property. A total of 3,000 m of drilling is planned on Sakami to extend the known mineralized body to the west. Drilling in 2016 suggests that the mineralization is thicker and locally richer in this direction. It also confirms the relatively consistent orientation of the mineralization, which allows for more aggressive step-outs of 90 m.
The figures below illustrates the distribution of mineralized intervals and planned drilling.
Figure 1. Oblique image of Zone 25 showing the distribution of mineralized intervals created using a 1g/t lower limit and shown as spheres according to the thickness. Red traces represent the planned drilling.
Figure 2. Vertical section looking west, showing the proposed drill traces in red with respect to the possible extensions to Zone 25 (grey polygon).
At this time, each company owns 50 % of the Sakami project. Canada Strategic Metals recently exercised an option to acquire an additional 20% of the Sakami property from Matamec in exchange for 1 million shares in the Company and a commitment to spend CDN$ 2,000,000 in exploration work per year for the next five years, during which time it must also complete an independent bankable feasibility study. Please see the press release from February 14th, 2017 for more details of the option agreement and the ownership structure of the property. During the period covered by the option agreement, Canada Strategic Metals will remain the operator of the exploration works, supervised by a management committee comprising two representatives of Canada Strategic Metals and two representatives of Matamec.
Canada Strategic Metals is well funded, having recently closed a round of funding for a total of $1,329,690 hard cash and $2,502,500 flow-through.
The drilling program has designed by Guy Desharnais, Ph.D. (OGQ No.1141), employed by SGS Canada Inc. and independent of Matamec and Canada Strategic.
Jean-Sebastien Lavallée (OGQ #773), geologist, shareholder and Chief Executive Officer of the Company and a Qualified Person under NI 43-101, has reviewed and approved the technical content of this release.
Source: http://www.csmetals.ca/