Posted in | Mining Business

Millrock Assumes Option Agreement on LNT Polymetallic Property from Geofine Exploration Consultants

Millrock Resources Inc. ("Millrock") announces that the company has assumed an option agreement on the Lord Nelson Tenures ("LNT Property") from Geofine Exploration Consultants ("GFX"). The mineral tenures are owned by Teuton Resources Corp. ("Teuton"), and have been under option to GFX since October 2010. The LNT Property adjoins and expands to the south upon Millrock's Poly property. It is situated at the juncture between the Del Norte mineralized trend further to the south and the X Zone VMS horizon located on Millrock's Poly Property.

The LNT Property consists of five tenures covering approximately 2,450 hectares. The expanded Poly property, now consisting of 9,770 hectares, is located 34 kilometers northeast of the town of Stewart, British Columbia and is bisected by Highway 37A and the Stewart Power Line.

The LNT target area hosts highly anomalous stream sediment, soil and rock samples. Samples are anomalous in gold, silver, copper, lead, zinc, and pathfinder elements cadmium, arsenic, and antimony. A rock sample collected from a large, silica flooded felsic boulder is reported to contain 6.55 grams of gold per tonne. An historic AeroTEM electromagnetic anomaly extends to the north from the Del Norte trend and has never been drill tested on the LNT Property. The property is underlain by favourable Middle to Lower Jurassic-aged Hazelton Group rocks. Rapidly receding glaciers have exposed new mineral showings and alteration zones in recent years. Systematic geochemical sampling and geological mapping will be needed prior to selecting targets for drill testing.

By assuming the option, Millrock now has the right to earn a 100% interest in the LNT Property by incurring exploration expenditures of $898,405 and providing option payments of $120,000 over a four-year period. The next option payment of $15,000 is due in November, 2016 and the exploration expenditures may be completed any time prior to November, 2019. Teuton retains a 2% NSR royalty with a $50,000 advance royalty starting in 2020. There has been no up-front cost to Millrock for the assumption.

The technical information within this document has been reviewed and approved by Gregory A. Beischer, President, CEO and a director of Millrock Resources. Mr. Beischer is a Qualified Person as defined in NI 43-101.

Source: http://www.millrockresources.com/

Tell Us What You Think

Do you have a review, update or anything you would like to add to this news story?

Leave your feedback
Submit