Category: Precious Metals

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James Pettit the President, CEO, and Director of Aben Resources sits down with Maurice Jackson of Proven and Probable to discuss the exciting final results of the 2018 drilling program on the Forrest Kerr Flagship Project located in the Golden Triangle of British Columbia. Mr. Pettit, provides a thorough analysis of this years drilling program. Equally important Mr. Pettit provides an update to current and prospective shareholders on the Justin Gold Project in the Yukon.
 

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Original Source: https://www.streetwisereports.com/article/2018/12/22/exploration-company-diversifies-with-three-canadian-projects.html

Source: Maurice Jackson for Streetwise Reports  (12/22/18)

James Pettit, CEO of Aben Resources talks with Maurice Jackson of Proven and Probable about his company’s summer drill program in the Golden Triangle, as well as projects in the Yukon and Saskatchewan.

Maurice Jackson: Welcome to Proven and Probable. I’m your host, Maurice Jackson. Joining us today is James Pettit, the president, CEO and director of Aben Resources Ltd. (ABN:TSX.V; ABNAF:OTCQB). Mr. Pettit, welcome to the show, sir.
James Pettit: Thank you very much. Glad to be here.
Maurice Jackson: Mr. Pettit, we’re glad to have you back on the show. We have some exciting news coming out of your flagship project, the Forrest Kerr, which is located in the Golden Triangle of British Columbia. But before we proceed, for someone who is new to the story, who is Aben Resources and what is the thesis you’re attempting to prove?
James Pettit: Aben Resources is a gold exploration company. We basically have taken on some relatively new projects that at the same time are old. They just haven’t been worked for a long time but they all have a lot of data. Our flagship is the Forrest Kerr. We have a project in the Yukon called the Justin project and we have a project in Saskatchewan called the Chico project. Our project portfolio is based in Western Canada, which is a very good mining jurisdiction known to be a very safe, politically stable jurisdiction to work. Canada has a remarkable mining history and there are a number of discoveries from the past, and we have an extensive resource database available to us on our projects and properties culminated with our proven management and technical expertise.

Maurice Jackson: In our last interview, we discussed the discovery of a new boundary zone at the Forrest Kerr. Today we will discuss Aben Resources’ two most recent press releases regarding high-grade gold discoveries at the northern boundary of the Forrest Kerr and the final results of the 2018 program. Mr. Pettit, what can you share with us?
James Pettit: In our last discussion, Aben had moved the rig a kilometer and a half south of the North Boundary Zone from our initial discovery, and we drilled three holes and we issued press release regarding the results. We were very encouraged because we hit some very good mineralization, in broad zones of lower grade, which excited us because we know that may have been one degree or two degrees off to the north, south, east or west and we could have hit potentially what we had already discovered at the North Boundary Zone! This, in essence, tells us that the whole Boundary Zone in general is alive. We have identified extensive mineralization. We are in an area that’s two kilometers wide by about four kilometers long and everywhere we drill, we have been successful in hitting mineralization. The mineralization does varies from low grade to very high grade.

This year’s drill program to date has been very encouraging, we were able to see sections that are very high grade and in the surrounding area, as it either carries on or diminishes. As a reminder, at the very beginning of our program this year, we hit very high grade, 30 to 38 grams over 10 meters respectively. Thereafter, on our next 10 holes we drilled stepouts and we were continuing to hit some really good intersections consisting of a lot of lower grade interspersed within it. I’m talking 70 to 100 meters. As we get away, we’re now into the last two news releases that we’re going to talk about now and as we moved away from the high-grade North Boundary Zone, consisting of high-grade intercepts, they tend to diminish, instead of being 30 grams, there may be 5 to 14 grams and we also have intercepts that might be one to two meters wide and then they are surrounded by a lower grade that could be anywhere from 0.5 gram, 2, 3 grams.

We have broad intersections in most of the holes. Some of the holes, we didn’t hit anything. As I recall, two press release ago we published the results on holes 22 to 36. And now we have issued the results from holes 37 to 45 concluding this year’s drill program. Most of those holes were exactly indicating what I was referencing, very broad intersections of low grade with the occasional high-grade spike. That definitely has our interest. Because it tells us we are in an environment that’s extremely alive. We have the right rock package, in the right location, and we will continue with our efforts in 2019 to drill more.
A side note, all the drilling we’ve done since the initial discovery is oriented core drilling, which is a technique that allows us to understand the orientation, which is very important because it will indicate to us where to drill. Also, another side note, the reason we went to the South Boundary Zone for three holes is that we wanted to allow ourselves time to get some assays back to provide us information on the North Boundary Zone where the high-grade discovery was to give us an indication of where we should be drilling. So those three holes, although it was a side note, turned out to be extremely exciting for us because we know we can go down there and do a lot more drilling.
Current and prospective shareholders should note, on top of everything else, we have a lot more targets to work with in this total Boundary Zone that we haven’t conducted. The future is looking very bright for Aben Resources. We believe once we get all the data compiled from this year’s drill program, we’re going to be a lot smarter. We are permitted. We were hoping to have the pad location permits earlier in the season, which would have allowed us to move the drill around on new pads so that we get better angles and orientation, but that wasn’t the case. We got that permit after the season and it was delayed specifically because of the amount of fires we had in the area last year. The ministry stopped issuing permits, which was unfortunate, because that limited us to 10 pads. We now have 40 permits for 40 new pad locations, all pre-approved, and that will get us through the next few years.
Maurice Jackson: Mr. Pettit, how would you grade the 2018 season’s work and the results on the Forrest Kerr?
James Pettit: I would say the work so far to date has been very exceptional. We did discover a zone right out of the shoot and it was our number 1 target out of about 15 for this whole area and we’re still on it. That’s a big deal, because we discovered this essentially through the data compilation and a little additional field work that we conducted in 2017. We did come up with some success right away and we’re still there and it brought us to this very large zone, which was an old geochemical anomaly that was discovered back in the early 1980s and we’ve made it bigger. We have filled in some gaps. We are going to be doing a geophysical airborne survey with a drone early this coming season, that’ll probably be in May that will overlay everything we’re looking at. We’ve got several more targets to work with.
2018 really is the first season on concentrating on the boundary zone, and I would say with the data we’ve accumulated, it’s extremely good. I believe we have a lot ahead of us.
Maurice Jackson: Moving on to the remaining project portfolio. Can you please provide us with some updates on each of them respectively?
James Pettit: At our Justin property in the Yukon, very quietly, we have done some trenching and more soil sampling work up there this year, which actually started last year. We ended up with some really good results from golden soil, an anomaly and so we did a golden grain count where you actually extract the gold grains from a 30 kilograms bulk sample, and it came back incredibly high, approximately 1,200 gold gains. They were jagged, meaning they’re pristine, indicating they haven’t traveled very far through glaciation. So we’re sitting on what we feel is very close to or on top of the source.

Select Coarse Gold Grains from Justin Project, Lost Ace Zone, Yukon
We went in this year with a small mechanical excavator that we took up by helicopter and we did some excavating and channel sampling throughout that whole area. Specifically, two targets were 125 meters apart. Both targets had a tremendous amount of coarse and visible gold in the soils and what you extract from the channel samples. So we sent in a lot of assays. Those results are expected very soon. They may in fact be in the hands of the geo right now. Aben will be coming out with some information on that in the near future. You can see some of the gold analysis on our website. We have visible gold on the website from the Justin project. It’s pretty incredible. We may have an extension of Golden Predators’ 3 Aces project, which is very high-grade gold, and that ties in nicely with what we drilled several years ago back in 2012 on that property. We may very well have an intrusion related gold system, which is generally lower grade, but large like Fort Knox or Virginia Gold.
These are very structurally controlled elements. They can prove to be very large, but we seem to have an overprinting of two different mineralizations happening because they’re very close to each other. So this is exciting for us. We’re going to spend more time and effort up there in the offseason for Forrest Kerr. We can probably get up there hopefully by March even though it’s in the Yukon, the project is located inland and to the east. So it’s away from the coast where you get some tremendous weather that is not conducive to doing any work.
In Saskatchewan, the Chico project is drill ready. We have some final negotiations that have been tied up. Everything’s looking good with the local native group. We should be good to go late February, early March there.
We expect to have a good drill program, probably no more than 10 holes, but we know where to drill. That was all set up last year and it’s following a model that SSR, which used to be Silver Standard, is doing on our northern boundaries. It has a very large program going on there because the company bought Claude Resources, which had the Seabee Mine and the Seabee and Santoy deposits in its property, right down to the Chico and it’s doing 40,000 meters of drilling. Half of that is for exploration, to increase the resource so it can keep the mine open for an additional 10 years or whatever it’s planning. But we’re following its exploration model as well.
In fact, I think basically this year was good enough that we raised the money we need to probably do everything we want. We may do another smaller financing next year, but we’re well positioned with cash. We’ve got $6 million in the till and that was raised at higher prices during the season this year, 30 cents and 45 cents (CAD).
Maurice Jackson: Well, that’s very encouraging to hear. Switching gears, the value proposition for Aben Resources in our view has only improved as management continues to meet and/or exceed timelines and goals with very positive results. Yet the share price has responded counterintuitively. What would you like to tell current and prospective shareholders regarding the stock price?
James Pettit: The reason I want to advance the Justin and the Chico projects is to keep that cyclical event from happening because if you look at the chart, you can see it. Last summer, big spike in share price and by the end of October the season is up in the Golden Triangle. It’s a very, very severe winter. It’s high altitude and it’s coastal mountains and you can get 30 to 40 feet of snow. So you’re not doing anything up there and you got to get out and that also coincides, like it or not, with tax-loss selling. So if you only have the one project, then you’re really going to subject yourself to this cyclical nature and the best time to buy the stock has always been November. Then you hold it and wait until you get going again, but what we’re doing is adding in these other two projects, which are going to add some life and I think you’re seeing it right now.
The stock did not come all the way down the way it did last year. As a matter of fact, I think I’m starting to see it bounce a little bit because tax-loss selling is pretty much over and I wouldn’t be surprised at all if you see this stock back up in where it should be, in the twenties.
Maurice Jackson: Mr. Pettit, can you please share the last time you purchased shares and at what price?
James Pettit: The last time would have been a financing, last year, 18 months ago. I just took down the warrants on that one. I didn’t sell anything. As a matter of fact, I’ve never sold anything. It was probably at 12 cents.
Maurice Jackson: For the record, we’re looking to continue to add to our position in Aben Resources in the near future as we like the proposition before us at the current share price. Before we close, Mr. Pettit, multilayered question, what is the next unanswered question for Aben Resources and when should we expect results and what determines success?
James Pettit: Well, the next unanswered question is when can we get back in there to do more work and that’s going to be next June, if not sooner. I think going forward in the immediate future, what’s on the horizon and that’s going to be the Justin project.
Maurice Jackson: Mr. Pettit, we’ve covered the good. What keeps you up at night that we don’t know about?
James Pettit: Well, right now, I’m starting to like gold. The gold price kept me awake for a while. This was what was going on for gold and I think we’re seeing a bit of relief and that’s a consequence of other external factors, macro, and I think we’re going to be looking at probably a good year for gold. But that has traditionally been what what’s kept me awake is the fear of gold dropping more and it’s actually held beautifully, I think.
Maurice Jackson: I would agree with that sentiment, sir. Finally, what did I forget to ask?
James Pettit: I think you got it. To be honest with you, I think you’ve got everything.
Maurice Jackson: Well, Mr. Pettit, for someone listening that wants to get more information on Aben Resources, please share the website address.
James Pettit: www.abenresources.com.
Maurice Jackson: As a reminder, Aben Resources trades on the TSX.V, symbol ABN, and on the OTCQB, symbol ABNAF. For direct inquiries, please contact Don Meyers at 604-639.3851. He may also be reached at info@abenresources.com.
As a reminder, Aben Resources is a sponsor of Proven and Probable. We are proud shareholders for the virtues conveyed in today’s message. Last but not least, please visit our website www.provenandprobable.com where we interview the most respected names in the natural resource space. You may reach us at contact@provenandprobable.com.
James Pettit of Aben Resources, thank you for joining us today on Proven and Probable. Thank you for joining us today on Proven and Probable.
Maurice Jackson is the founder of Proven and Probable, a site that aims to enrich its subscribers through education in precious metals and junior mining companies that will enrich the world.

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Disclosure: 
1) James Pettit: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Aben Resources. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: Aben Resources.
2) Maurice Jackson: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: Aben Resources. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: Aben Resources is a sponsor of Proven and Probable. Proven and Probable disclosures are listed below.
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Bob Moriarty
Archives
Dec 21, 2018
Novo just announced results from testing at two different projects in the Pilbara. I’ll start this piece with the results from the Tomra sorting machine because it’s so simple to understand. It works.
Novo took four samples from Purdy’s/Comet Well and ran them through the Tomra machine. In three of the tests, the material ranging in size from 6 mm to 63 mm consisted of about two thirds of the total weight. The sorter removed 99.52% of the total mass. The small amount of material above 63 mm won’t trigger the sorting mechanism so must be crushed to below 63 mm to process. The smaller than 6 mm material is about 30% of the total weight. In the last sample processed, the incoming material was greater than 10 mm for 50% of the total and below 10 mm for the other 49%+.
The sorter works and Novo expects to announce final grade for the material in January. But the sorter increased the grade of the concentrate to as high as 792.4 g/t. That would be direct shipping ore that any smelter in the world would be thrilled to buy and by shipping only the sorted material, Novo has made the gold secure.
The results from Egina get even more interesting and I’m writing this because it is an area I am very familiar with and few readers will be.
Few people know this but I have been well aware for many years about the danger of the financial system. I spent almost fifteen years trying to set up an alluvial project that would provide an independent source of income for when the shit hits the fan. I have invested my own money in alluvial projects in Chile, BC, Ghana, Tanzania and Guiana. I picked up some ground in the south island of New Zealand that looked interesting but sold it to another company. I have mined alluvials. I know the costs and all the associated problems. I know many of the people in the industry.
Few hard rock geos understand anything about alluvials and it’s just as true that most alluvial miners don’t know much about hard rock mining. Each has its own issues.
These are the nuggets and fine gold from the latest test at Egina provided to me by Quinton.

(Click on images to enlarge)

When you mine alluvials, you always measure the material with either cubic yards or cubic meters depending on where you are. Novo is a Canadian company so we should use cubic meters. You do this because when you are mining alluvials you are using yellow gear to move dirt. Dump trucks, excavators, bull dozers are always thought of in their cubic capacity.
To mine gold, you don’t focus on the gold. All you do is get rid of everything that is not gold. You need to know how much water you have if you are mining wet and how clean the water is. You need to know the range of the size of gold; you need to know if there is clay in the material. You need to know the cobble size and if there are any boulders present. Then you design your system.
Novo had a plant that they used at Beaton’s Creek in a bulk sample a couple of years ago. It was moved to Egina and set up there. Novo just released the first results. I’ll go through the numbers.
This is the only time I will use tons because it is the wrong measure for alluvials but I want to ease readers into understanding how the numbers work.
Novo processed 170 tons. That was 95 cubic meters giving about 1.8 tons per cubic meter and now we will never talk about tons again with alluvials. In the 95 cubic meters Novo recovered 107.88 grams of raw gold with a fineness of .91 to .93 giving a grade of 1.14 g/m of raw gold.
We will convert the raw gold to fine gold so we can do the correct math to see the value. We do that by multiplying 1.14 by .91 giving 1.03 g/m of pure gold. As I do this piece the price of gold is $1259.18 an ounce in USD so the value of a cubic meter of material in this test was $41.84.
Since that value of gold per cubic meter won’t mean much to most readers, I will convert it based on the five alluvial projects I operated and some advice from others who know. I would figure a cost of $8 a meter but I was operating in low cost countries and Australia isn’t low cost. I talked to Keith Barron. Few know it but he owns and operates a sapphire mine in Montana. He uses a figure of $10.70 per cubic meter and I’d call Montana a medium cost environment.
I talked at length to someone who has done alluvial mining in Australia and he came up with a figure of $27 Aussie per cubic meter. Call it $20 a cubic meter in USD. Here is something that should be as obvious as a pimple on your tongue. If your revenue is $42 a meter and your all in costs are $20 a meter, you are going to make a boatload of money. I never have any problem of saying what I believe. I know Novo has the best alluvial guy in the world designing a plant and I’ll tell you right now the costs are going to come in at about $15 a meter USD. You can use $20 USD if you are the world’s biggest and most negative guy but I will start busting kneecaps if they go above $15 a cubic meter.
Quinton and I drove from Karratha to Egina. We drove over mile after mile of an alluvial terrace. Novo owns about 1,000 square km of ground around Egina that measures 1-3 meters in depth from the surface in gravel. Now, if you accept that all this gold came from the conglomerates as they weathered, there is a lot of gold potentially. Quinton and I pretty much agreed that it could be mineralized all the way to the Indian Ocean.
If you have one square km of gravel one meter deep grading 1.14 g/m at a fineness of .91 you have about 36,608 ounces of raw gold. If you have 1000 square km or even 100 square km of even .5 meters gravel, you have a lot of gold.
Novo is permitted for a 50,000-ton bulk sample. When the Australian summer cools down to a reasonable temperature in March or April, Novo will begin processing and testing. Cash flow will start then. They still have to come to an agreement with the native corporation and be permitted for large-scale operation. That could take a year.
If you are going to mine alluvials at a profit, you need the most experienced people you can find. Kirkland Lake doesn’t have them. Egina would never make a successful project for Kirkland Lake; it’s not their sort of project.
I contacted Pacton before I made my trip a month ago and for only the 2nd time in the last 18 years, when a company found I was going to be in the neighborhood, they showed no interest in meeting with me or briefing me. The other time a company wasn’t interested in briefing me, the company went bankrupt.
I gave the management of Pacton the name and contact details of the best alluvial person I know in Canada so they could talk to her. They said they would contact her but never did. Pacton was an advertiser and I would have loved to write about them but frankly I have no idea of what they are doing. And if they aren’t interested in talking to the most experienced alluvial operator I know of in Canada, well, good luck with that.
Novo is on track and on target. I own shares, I have participated in a lot of private placements and I couldn’t be any more biased than I am. Do your own due diligence.
Novo Resources
NVO-V $2.15 (Dec 20, 2018)
NSRPF $1.60 OTCQX 162.3 million shares
Novo Resources website
###
Bob Moriarty
President: 321gold
Archives
321gold Ltd

Toronto, Ontario and Vancouver, British Columbia–(Newsfile Corp. – December 20, 2018) – Minera Alamos Inc. (TSXV: MAI) (“Minera” or the “Company”) is pleased to provide an update of its 2018 development activities at the La Fortuna (“Fortuna” or the “Project”) gold project located in Durango, Mexico.

“As one of two foundational assets that have been rapidly advanced this year, La Fortuna now has key permitting and technical milestones in place. This provides a path to a commercial production decision in the second half of 2019,” commented Darren Koningen, Chief Executive Officer. “Minera can now begin development activities at La Fortuna that will run in parallel with the proposed development of the Santana gold project and allow for our development team to transition from Santana to Fortuna as the year progresses.”

2018 La Fortuna Project Development Highlights

• The completion of a Preliminary Economic Assessment (“PEA” – see further details below) demonstrating robust project economics including an after-tax internal rate-of-return of 93% and an all-in sustaining cost (“AISC”) of $440/oz [net of by-product credits].
• The receipt of a positive notification from the Mexican environmental authorities (Secretaria de Medio Ambiente y Recursos Naturales – “SEMARNAT”) confirming the successful completion of the technical review phase of the Company’s application (Estudio Tecnico Justificativo – “ETJ”) for the change of land use to construct mining and processing facilities at the Fortuna project area. Following the completion of the change of land use payments made earlier this month, SEMARNAT is now in a position to issue the formal approval documentation for the project.
• The completion of the geotechnical studies and design of the “dry-stack” tailings containment facilities for the Project which were submitted to the Mexican Federal Environmental Agency (Secretaria de Medio Ambiente y Recursos Naturales or “SEMARNAT”) as part of the mine permitting process.
• The identification of a new area (“La Pista”) approximately 1300m southwest of the Company’s La Fortuna Main Zone resource that contains significant near surface disseminated gold/silver mineralization with “heap leach style” intervals of up to 50m in width. Rock sampling surrounding the new target zone has returned assays up to 8 g/t Au and 30 g/t Ag over a mineralized area of approximately 500m x 300m. Plans were completed to include testing of the new area in addition to other known areas of historical mining as part of the Company’s Fortuna exploration plans for 2019.

Production and Economic Highlights from La Fortuna PEA

The Company has filed on SEDAR the independent Preliminary Economic Assessment (“PEA”) titled “NI 43-101 Technical Report, Mineral Resource Update and Preliminary Economic Assessment of the La Fortuna Gold Project, Durango State, Mexico”. The PEA results were previously disclosed in the Company’s news release dated August 16^th, 2018 and prepared by CSA Global Geosciences Canada Ltd (CSA Global) of Toronto, Canada in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”). The report, which is effective as of July 13^th, 2018 can be found under Minera’s profile at www.sedar.com and on the company website.

• Production highlights
  • Average annual contained-metal production of approximately 50,000oz Gold Equivalent (43,000oz Gold, 220,000oz Silver, 1,000t Copper).
  • 5-year mine life based on initial resource “starter pit” with 2.0 Mt of mineralization (3.68 g/t Au, 20 g/t Ag, 0.27% Cu) processed at 1,100 tpd average processing rate.
  • 215koz of Gold, 1.1Moz of Silver, and 5kt of Copper produced in concentrates.
• Robust economics using metals prices of $1,250/oz Au, $16/oz Ag, and $5,725/t Cu:
  • All-In Sustaining Cost (AISC) of $440/oz [net of by-product credits]
  • After-Tax NPV at 7.5% of $69.8M and IRR of 93%.
  • Pre-Tax NPV at 7.5% of $103.8M and IRR of 122%.
• Low initial capital costs and rapid payback:
  • Pre-production capital costs of $26.9M.
  • Payback period of 3.9 11 months.
  • 2,000 t/d mill already purchased awaiting shipment to site reduces up-front capital.
• Significant Upside
  • Current PEA completed on project “starter pit” resource only, a single zone of drilled mineralization that appears to remain open geologically.
  • Additional milling capacity – project permitted for a 2,000 tpd operation with the PEA based on a starting rate of 1,100 tpd.
  • Numerous opportunities for significant economic improvement – improved gold recoveries, reduced initial capital costs, etc.

Notes:

1. “AISC per ounce” is a non-GAAP financial performance measures with no standardized definition under IFRS; additional reference info at bottom of release
2. Base case prices for gold, silver and copper were assessed at values approximately 2%-7% below the three-year trailing average prices for each of the metals and below the majority of the publicly available forward looking estimates available as of July 2018

PEA Cautionary Note:

Readers are cautioned that the PEA is preliminary in nature and there is no certainty that the PEA results will be realized. Mineral resources are not mineral reserves and do not have demonstrated economic viability. Additional work is needed to upgrade these mineral resources to mineral reserves.

For Further Information Please Contact:

Minera Alamos Inc.
Doug Ramshaw, President
Tel: 604-600-4423
Email: dramshaw@mineraalamos.com
Website: www.mineraalamos.com

About Minera Alamos

Minera Alamos is an advanced-stage exploration and development company with a growing portfolio of high-quality Mexican assets, including the La Fortuna open-pit gold project in Durango with positive PEA completed, the Santana open-pit heap-leach development project in Sonora with test mining and processing completed and the Guadalupe de Los Reyes open-pit gold-silver project in Sinaloa with mine planning in progress. The Company is awaiting the pending approval of permit applications related to the commercial production of gold at both the Santana and Fortuna projects.

The Company’s strategy is to develop low capex assets while expanding the project resources and pursue complementary strategic acquisitions.

Mr. Darren Koningen, P. Eng., Minera Alamos’ CEO, is the Qualified Person responsible for the technical content of this press release under National Instrument 43-101. Mr. Koningen has supervised the preparation of, and approved the scientific and technical disclosures in this news release.

Caution Regarding Forward-Looking Statements

This news release may contain forward-looking information and Minera Alamos cautions readers that forward-looking information is based on certain assumptions and risk factors that could cause actual results to differ materially from the expectations of Minera Alamos included in this news release. This news release includes certain “forward-looking statements”, which often, but not always, can be identified by the use of words such as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”. These statements are based on information currently available to Minera Alamos and Minera Alamos provides no assurance that actual results will meet management’s expectations. Forward-looking statements include estimates and statements with respect to Minera Alamos’ future plans with respect to the Projects, objectives or goals, to the effect that Minera Alamos or management expects a stated condition or result to occur and the expected timing for release of a resource and reserve estimate on the Projects. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, results of exploration, the economics of processing methods, project development, reclamation and capital costs of Minera Alamos’ mineral properties, the ability to complete a preliminary economic assessment which supports the technical and economic viability of mineral production could differ materially from those currently anticipated in such statements for many reasons. Minera Alamos’ financial condition and prospects could differ materially from those currently anticipated in such statements for many reasons such as: an inability to finance and/or complete an updated resource and reserve estimate and a preliminary economic assessment which supports the technical and economic viability of mineral production; changes in general economic conditions and conditions in the financial markets; changes in demand and prices for minerals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with Minera Alamos’ activities; and other matters discussed in this news release and in filings made with securities regulators. This list is not exhaustive of the factors that may affect any of Minera Alamos’ forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on Minera Alamos’ forward-looking statements. Minera Alamos does not undertake to update any forward-looking statement that may be made from time to time by Minera Alamos or on its behalf, except in accordance with applicable securities laws.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Vancouver, British Columbia–(Newsfile Corp. – December 20, 2018) – Pacific Empire Minerals Corp. (TSXV: PEMC) (OTCQB: PEMSF) (“Pacific Empire”, “PEMC” or the “Company”), a hybrid prospect generator focused in British Columbia is pleased to announce it has entered into an option agreement to acquire a 100% interest in the Sat Property located in the Babine Copper-Gold Porphyry district in central British Columbia. The Sat Property covers 50 square kilometers and is within 15 km of the past-producing Bell and Granisle copper-gold porphyry deposits.

About the Sat Property

Historical work conducted on the Sat Property includes over 3,000 metres of diamond drilling, 180 line-km of induced polarization surveys, collection of over 3,500 soil geochemical samples and ground and airborne geophysics. Historical drilling focused on was has been interpreted as a “pyrite halo”, measuring approximately 1,200 x 600 metres. Drilling encountered biotite-feldspar porphyry dikes and sills which intrude moderately to intensely chlorite-epidote-calcite altered andesitic volcanics, argillite and basalt. Anomalous copper values are present in several holes, though intercepts indicating a potentially economic deposit have not been encountered to date.

Thorough data compilation and review has outlined several target areas untested by drilling, the most significant of which is situated adjacent to the interpreted pyrite halo where bedrock exposures are obscured by glacial overburden. A network of logging roads make the Property ideally suited for PEMC’s reverse circulation drill.

Details with respect to the consideration payable for the Sat Property acquisition are as follows:

Table 1. Option agreement terms.

The vendors of the property hold a 1% net smelter royalty (“NSR”). The Company may purchase one half of the NSR at any time from the vendors for $500,000. *

* Dollar amounts expressed in Canadian dollars

This property acquisition remains subject to approval of the TSX Venture Exchange. Any securities issued as consideration under this option agreement will be subject to a statutory hold period of four months and one day from the date of issuance.

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Figure 1. Location map – Sat Property.
To view an enhanced version of Figure 1, please visit:
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About the Babine Copper-Gold Porphyry District

The most significant deposits and occurrences in the Babine Lake area are temporally and spatially related to Eocene (50 Ma) Babine intrusions. These host more than a dozen deposits and occurrences in addition to the past producing Bell and Granisle open-pit mines which processed 130 million tonnes with average recovered grades of 0.40% copper and 0.15% gold between 1966 and 1992.

Babine intrusions occur as small stocks, plugs and dike swarms emplaced along northwest-trending regional faults developed in arc-derived Mesozoic volcanic and sedimentary assemblages. The dominant host rock for copper-gold mineralization is a distinctive, fine- to medium-grained, crowded biotite feldspar porphyry (BFP) of granodiorite composition. Copper-gold mineralization occurs as chalcopyrite and bornite within narrow quartz-filled fractures and stockworks and as disseminations within and marginal to BFP intrusions.