Midland Exploration Inc. ("Midland") is pleased to announce the execution of a new option agreement with Donner Metals Limited ("Donner") for its Valmond gold property, currently wholly owned by Midland. The Valmond property consists of 62 claims covering a surface area of about 35 square kilometres. This property is located about 50 kilometres west of the town of Matagami, in Abitibi, Quebec.
Under the terms of this new agreement, Donner may earn 50% of Midland's interest over a period of four (4) years, by fulfilling the following conditions:
- Cash payments totalling $250,000, including a $20,000 payment upon signing the agreement;
- Exploration expenditures totalling $2,500,000, including a firm commitment of $300,000 during the first year. Midland will be project operator during the option period.
The Valmond property covers, over more than 10 kilometres, an important gold-bearing structure trending NW-SE, which hosts several historical gold occurrences with drill intercepts grading 2.3 g/t Au over 4.57 metres and 5.22 g/t Au over 1.55 metres. This structure has seen very little exploration in the past and the main showing known to date has been traced over more than 300 metres along strike. This gold showing is characterized by an extensive hydrothermal alteration zone more than 70 metres wide, and remains open beyond 200 metres vertical depth, where the deepest drill hole yielded a grade of 3.77 g/t Au over 1.50 metres. In addition, a recent helicopter-borne magnetic survey covering the entire property was used to generate a new detailed structural interpretation and identify several new promising exploration targets.
Over the coming weeks, geophysical work including a ground-based induced polarization survey (50 km) and a helicopter-borne electromagnetic survey (900 km) will be completed to define new drilling targets along the extensions of the main gold occurrences.
Maps showing the location of the new option agreement with Donner for the Valmond property may be consulted using the following link: http://media3.marketwire.com/docs/Valmond_Donner_Dec_10_2013.pdf
About Midland
Midland targets the excellent mineral potential of Quebec to make the discovery of new world-class deposits of gold, PGE, base metals and rare earth elements. Midland is proud to count on reputable partners such as Donner Metals Limited, Teck Resources Limited, Agnico Eagle Mines Limited, Maudore Minerals Limited, Japan Oil, Gas and Metals National Corporation and SOQUEM Inc. Midland prefers to work in partnership and intends to quickly conclude additional agreements in regard to newly acquired properties. Management is currently reviewing other opportunities and projects to build up the Company portfolio and generate shareholder value.
This press release was prepared by Mario Masson, VP Midland Exploration and Qualified Person as defined by NI 43-101.
Source: http://www.midlandexploration.com