Amex Exploration Inc. (TSX VENTURE:AMX) ("Amex" or the "Corporation") is pleased to announce that it has entered into a purchase agreement (the "Agreement") with Stellar Africa Gold (TSX VENTURE:SPX), to acquire its Eastmain River North and South properties (the "Properties") which are adjacent to Amex's properties at Eastmain River, to consolidate its land position in this strategic area. (see figure 1: http://media3.marketwire.com/docs/1088660.pdf).
The Properties are situated in the Eeyou Istchee Territory, James Bay, Québec, approximately 350 km north of the town of Chibougamau and are accessible from Chibougamau by the new 243-kilometer-long all-season road to Stornoway's Renard diamond Mine (route 167 extension from Temiscamie).
Stellar's Eastmain South property consists of 37 claims totalling 1,950 hectares and is adjacent to the Eastmain Mine property owned by Eastmain Resources and to Amex's Eastmain South property. The property boundary is located just about 2 km to the east of the former mine site and in the hinge of a major regional fold that affects the entire Eastmain Greenstone Belt that is hosting the Eastmain gold mine.
Stellar's Eastmain North property consisting of 16 claims totalling 840 hectares, is adjacent to SOQUEM Lac Harbour gold property located at about 25 km to the North of the Eastmain Mine and directly to the NE of Amex Eastmain North property. Geologically, the property is laying over the contact zone between the NE arm of the Eastmain Greenstone Belt and Granitoid rocks of the Canadian shield.
Mr. Victor Cantore, President of Amex Exploration stated, "My geological team identified the Properties as desirable targets due to their favourable geology and proximity to our properties as well as the Eastmain Mine. With this acquisition we continue to accumulate land blocks that host the Eastmain Greenstone belt which is prospective for ore deposits. This region has been vastly underexplored and our near-term goal is to build a sizable land position in the area that has excellent exploration potential."
Pursuant to the Agreement, Amex will be issuing 350,000 common shares of the Corporation to Stellar. Under the terms of the Agreement, Amex will have no further financial obligations to Stellar Africa Gold with the exception of a 1.5% Net Smelter Return(NSR) from the proceeds of any commercial production. Half (0.75%) of the NSR can be bought back anytime for an amount of $750,000. The common shares issued to Stellar Africa Gold in counterpart of the acquisition will be subject to a hold period of 4 months. The transaction is subject to the TSX Venture Exchange approval and is expected.