Oct 19 2010
Silver Grail Resources Ltd. (TSX VENTURE:SVG) (FRANKFURT:KD7) has announced that it has entered into an agreement to purchase the rare earth Major Hart property located 90km northeast of Dease Lake, BC.
The Major Hart property covers 5344 hectares (13,200 acres) of mineral claims covering highly anomalous rare earth element and strategic metals, as defined by stream sediment samples collected by the British Columbia Regional Geological Survey. The anomalous stream drainage trend and coincident pluton-host contact zone is over 10 km long.
The broad contact zone, within and adjacent to the pluton, is considered to be prospective for the discovery of rare earth elements, related strategic metals, and quite possibly emeralds near the contact with the ultramafic rocks. The pluton is a one-of-a kind Eocene intrusive located between the Kechika Fault and the Kutcho Fault in the Omenica Terrane of British Columbia. This is in an area of intense and prolonged crustal faulting and deformation.
Of the 7 stream sediment samples comprising the Major Hart anomaly cluster, 7 are >99th percentile for Bismuth, Lutetium, Rubidium, Tantalum & Tungsten; 6 are >99th percentile for Fluorine in water; 5 are >99th percentile for Ytterbium, and 4 are >99th percentile for Cesium & Hafnium (in comparison to the B.C. provincial RSG stream sample database). The partial rare earth element results to date indicate a propensity towards the more valuable heavy rare earths.
A program of heavy mineral sediment sampling and prospecting is to begin immediately. The complete suite of rare earth elements and strategic metals will be analyzed for.
Terms of the agreement call for the payment of $100,000 and the issuance of 1,000,000 shares of Silver Grail to the vendors over the three year term of the option, subject to regulatory approval. Initial payment is $10,000 and 100,000 shares. The vendors are at arms-length to the Company and will retain a 2.5% NSR on minerals and a 5% GOR on gems.
D. Cremonese, P.Eng., is the Qualified Person for the purposes of this news release.
Source: Silver Grail Resources Ltd.