|St. John’s – Altius Minerals Corp. (“Altius”) (TSX:ALS) is pleased to report that it has completed three new agreements covering eight exploration projects from its project generation portfolio. This brings the total number of exploration projects that it has structured into equity/option and royalty agreements to 22 over the past 11 months. It is anticipated that partner-funded drilling programs in Canada, the Republic of Ireland and Chile will occur in 2017 and that further details will be provided as partner budgets are finalized.|
Newfoundland, Canada – Gold. Antler Gold Inc. (“Antler”) (TSX-V:ANTL) has optioned six projects covering 41,325 hectares located along the projection of the major structural corridor hosting gold mineralization at Antler’s Wilding Lake Project (acquired from Altius in September 2016) and Marathon Gold’s Valentine Lake Project.
Antler has recently reported channel sample assay results from the 2016 trenching program at Wilding Lake with highlights including 6.0 g/t Au over 8.5 m, 8.7 g/t Au over 6.7 m, and 49.3 g/t Au over 4.6 m from the Alder-Taz zone.
In consideration Altius is to receive an additional 980,000 Antler common shares (increasing Altius’s total shareholding in Antler to 5,480,000 shares or 19.9%) while retaining 2% NSR royalties over the new projects. Antler has committed to fund a minimum of $300,000 in exploration expenditures on the additional projects within the first year.
British Columbia, Canada – Gold-Silver. Canex Metals Inc. (“Canex”) (TSX-V:CANX) has optioned Altius’s 887 hectare Gibson Gold-Silver Project in central BC.
The Gibson Project features historic channel sampling of quartz breccia veins in altered volcanic rocks that returned values of 12.86 g/t Au and 144.7 g/t Ag over 1.5 meters and 5.35 g/t Au and 2136 g/t Ag over 1.7 meters. A nine-hole drill program reported from 1991 intersected significant and widespread alteration and mineralization with the best reported intersection of 6.77 g/t Au and 1,828 g/t Ag over 4.3 m. No subsequent drilling or trenching has been reported since and the 1.7 km zone remains open.
As consideration, Altius is to receive payments totaling up to 3,545,000 common shares in Canex staged over 18 months (1,125,000 on signing), resulting in a 16.5% equity stake in Canex. A further milestone based share payment of 1,275,000 shares is to be delivered to Altius upon the successful delineation of gold resources on the Gibson project amounting to measured and indicated resources of 1 million ounces gold equivalent. Altius will retain an effective 1.5% NSR royalty and preferential rights on any future royalties or streams granted on the Property as well as a pro rata right to participate in future equity financings of Canex for two years. Canex has committed to fund a minimum of $500,000 in exploration expenditures over the first 18 months.
Republic of Ireland – Copper. First Quantum Minerals Ltd. (“FQM”) has executed a Letter of Intent with an 80% owned Irish subsidiary of Altius (“AEL”) to explore and develop the early stage 110,000 hectare Southwest Cork sediment-hosted copper project in Ireland.
Limited historic drilling, undertaken by previous operators exploring predominantly for barite, reported intersections of up to 6.1 m of 1.7% Cu. Subsequent work by AEL identified widespread mineralization and alteration styles that are suggestive of a previously unrecognized sediment hosted copper mineralizing system. Work is underway along an 85 kilometre long prospective zone to refine targets for follow up.
Under the Letter of Intent FQM will make an initial cash payment of US$25,000 and has committed to spend US$250,00 on a reconnaissance work program by August 2017. FQM will have an option until December 2017 to enter an earn-in/joint venture agreement whereby it may earn up to 75% of the project by conducting US$6,000,000 in exploration work and making staged cash payments of $300,000 over 7 years. FQM will have the additional option to earn up to a 90% interest by reporting a “Decision to Mine” and making a US$500,000 payment to AEL. Altius will directly retain a 2% NSR royalty on the project.
Project Generation. Altius has been extremely active in developing a diversified exploration project portfolio, particularly during the mining industry’s most recent cyclical downturn, and now controls approximately 1.7 million hectares of mineral rights in Canada, the United States, Finland, the Republic of Ireland, Australia and Chile, while continuing to generate innovative new projects. The company’s objective is to attract quality partners to these projects via sales or earn-in/joint venture and royalty agreements. More information on Altius projects can be found at www.altiusminerals.com.
Lawrence Winter, Ph.D., P.Geo., Vice‐President of Exploration for Altius, a “Qualified Person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects, is responsible for the scientific and technical data presented herein and has reviewed, prepared and approved this release. References to historic information in this release have not been independently verified.
Altius directly and indirectly holds diversified royalties and streams that generate revenue from 15 operating mines. These are located in Canada and Brazil and produce copper, zinc, nickel, cobalt, iron ore, potash and thermal (electrical) and metallurgical coal. The portfolio also includes numerous pre‐development stage royalties covering a wide spectrum of mineral commodities and jurisdictions. In addition, Altius holds a large portfolio of exploration stage projects which it has generated for deal making with industry partners that results in newly created royalties and equity and minority interests.
Altius has 43,335,654 shares issued and outstanding that are listed on Canada’s Toronto Stock Exchange. It is a member of both the S&P/TSX Small Cap and S&P/TSX Global Mining Indices.
Forward Looking Information
This news release contains forward‐looking information. This includes, but is not limited to, the satisfaction of the conditions and option terms by the agreement counterparties, which in many cases remain at their complete discretion, and the ultimate acquisition of the mineral projects by the agreement counterparties. These conditions include the results of due diligence, the entry into of definitive agreements, stock exchange approval, shareholder approval, and the completion of proposed financings. The statements are based on reasonable assumptions and expectations of management and Altius provides no assurance that actual events will meet management’s expectations. In certain cases, forward‐looking information may be identified by such terms as “anticipates”, “believes”, “could”, “estimates”, “expects”, “may”, “shall”, “will”, or “would”.
Although Altius believes the expectations expressed in such forward‐looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those projected. Mining exploration and development is an inherently risky business. In addition, factors that could cause actual events to differ materially from the forward-looking information stated herein include any factors which affect the decisions of the agreement counterparties to pursue mineral exploration on the properties and the ultimate exercise of their options, which may include changes in market conditions, changes in metal prices, general economic and political conditions, environmental risks, community and non-governmental actions and changes in key management personnel. Such factors will also affect whether Altius will ultimately receive the benefits anticipated pursuant to the agreements, including the receipt of share-based consideration and, ultimately, royalty payments. This list is not exhaustive of the factors that may affect any of the forward‐looking statements. These and other factors should be considered carefully and readers should not place undue reliance on forward-looking information. Altius does not undertake to update any forward-looking information contained herein or that may be made from time to time by Altius or on its behalf to reflect new events or circumstances, except in accordance with applicable securities laws.
For further information, please contact Chad Wells at 1.877.576.2209.