ALIX RESOURCES CORP. (TSX VENTURE:AIX)(FRANKFURT:37N) has announced that an option agreement has been signed with Strategic Metals Ltd. (TSX VENTURE:SMD) to earn a 100% interest in a portfolio of five properties located in Yukon Territory. The Hartless Joe, Byng, Meloy, Corky, and Vault properties are enriched in a broad range of metals, especially gold.
The Hartless Joe and Byng properties are 28 and 44 kilometers northeast of Whitehorse, respectively and both host low sulfidation epithermal gold-silver vein systems developed in mafic and felsic volcanics and associated sedimentary rocks of the Stikine Terrane. Previous grab sampling from mineralized veins conducted on behalf of ATAC Resources Ltd. (TSX VENTURE:ATC) in 2004 returned grades of 0.8 to 251 g/t (grams per tonne) gold and from 13.5 to 5,780 g/t silver. Hartless Joe totals 1,000 hectares under claim and features numerous undrilled soil geochemical and geophysical targets. Byng has 405 hectares under claim, and it also features several geochemical anomalies that have not been tested by drilling.
Corky is located 125 kilometers northwest, and Meloy is located 80 kilometers north-northwest, of the community of Haines Junction. Both are copper-gold prospects with potential molybdenum (Corky) and tungsten (Meloy) credits. They are both porphyry targets associated with high level granitic intrusions. The 750 hectare Corky property has seen limited geophysical surveys and drilling, with eight drill holes totaling only 800 meters. Meloy covers 850 hectares, and has not been drill tested. Both properties warrant detailed soil geochemical sampling and geophysical surveys to define targets for drill testing.
Vault is another gold prospect, located 140 kilometers northwest of Haines Junction. It covers 3,650 hectares in Wrangellia Terrane. The Vault property hosts numerous high gold (200 ppb to over 10,000 ppb Au) soil anomalies, the distribution of which suggests that the source could be a stacked sequence of thrust faults cutting Permo-Triassic metasedimentary rocks over 12 kilometers of strike length. No detailed geophysical surveys or drilling have been carried out on the Vault property.
To earn 100% of the five properties Alix will issue 9.9% of its outstanding share capital to Strategic and make cumulative cash payments totaling $3,000,000 cash over a four year period. Upon earn-in, the properties will be subject to a 2% net smelter return royalty. Alix will have the option to buy back 1% for $1,000,000. During the option earn-in period, Strategic shall have the right, but not the obligation, to participate in future Alix equity financings so as to maintain its percentage equity interest in the company.
"We are excited to have Alix, with its team of very qualified geologists, join us in advancing these quality projects. Exploration in the Yukon is expected to be at record levels this year and we anticipate many new discoveries will be made," stated Doug Eaton, President and CEO of Strategic Metals Ltd.
"Alix is extremely pleased to be working with Strategic in developing these properties. There is no question that, as a result of recent discoveries, the Yukon will be the focus of unprecedented interest from mining professionals and the investment community worldwide this coming exploration season. It is our opinion that there will be more discoveries in this region and I believe that, based on the due diligence of our technical staff, we have acquired the best available exploration targets," stated President Michael England.
A finder's fee will be payable on this transaction.
This transaction is subject to TSX Venture approval.
The technical contents of this release were approved by Dr. Tom McCandless, Technical Advisor to Alix Resources and qualified person as defined by Natitabonal Instrument 43-101.
Source: ALIX RESOURCES CORP.