TORONTO, Dec. 13, 2021 /CNW/ - American Eagle Gold Corp.
(TSXV: AE) ("American Eagle" or the "Company") is
pleased to announce it has entered into an agreement to
acquire a 100% interest in the Nakinilerak Property ("NAK"
or the "Property") in the Babine Copper District of
British Columbia.
NAK is a copper-gold porphyry exploration target in the Stikine
Island Arc Terrane, which hosts many copper-gold porphyry deposits.
NAK's known copper-gold porphyry mineralization is open at depth
and is defined by a compelling geophysical signature analogous
to Newcrest's Red Chris Mine and
Newmont's Tatogga project located in Northwest BC.
NAK's historic drill and exploration database have been
digitized along with a reinterpretation of the geophysical and
geochemical data to delineate targets for American Eagle's drill
program in 2022. During the due diligence
process, American Eagle Gold's team uncovered what appears to be a
classic geophysical signature for a large underground copper/gold
porphyry system.
NAK has had over $9 million of
exploration work, including 18,000m
of drilling. Most of the historical drill holes have been
shallow, averaging less than 169m,
which defined an extensive zone of near-surface, low-grade
copper/gold mineralization, with the possibility of higher grades
occurring at depth.
"The acquisition of NAK was data-driven and supported by the
risk-reward proposition to drill test a new geophysical feature
within a well understood geologic environment. Our plan with
Golden Gate has not changed, and its drill program is underway,
however with the addition of NAK, American Eagle adds exposure to a
copper and gold property in Canada," said Anthony
Moreau, CEO of American Eagle Gold.
Click Here For Presentation on NAK Acquisition
Accordingly, the Company has entered into a Purchase Agreement
(the "Purchase Agreement") dated December 10, 2021, with 1302580 B.C. LTD. (the "Vendor"), pursuant
to which the Company will, subject to the approval of the TSX
Venture Exchange, assume all rights and interest of the Vendor
under the terms of an option agreement with the underlying claim
owner (the "Owner") executed on April 28,
2021 (the "Option Agreement").
Terms
The total purchase price (the "Purchase Price") payable by the
American Eagle Gold to the Vendor for the Property shall be:
- the assumption of all of the obligations of the Vendor
- issuance to the Vendor of two million (2,000,000) common shares
of American Eagle Gold
-
- such shares to be issued as fully paid and non-assessable
common shares in the capital of the Purchaser;
- the transfer of two million (2,000,000) shares of Orefinders
Resources Inc. as currently held by American Eagle Gold
- 1% NSR with an option by American Eagle Gold to buyback 0.5%
for $1 million
The Vendor is currently earning a 100% interest in the Property
under the terms of the Option Agreement, which calls for cash
payments, in tranches, totalling $450,000 over three years and $1,000,000 in work obligations over three years
to earn 100%, subject to a 2% NSR royalty to the Vendor which can
be bought down to 1% by paying $1,500,000. The Owner has the right to receive
shares of the Company in lieu of the tranches totalling
$450,000 in cash payments, provided
that the value of such shares, at the respective time of issue of
the tranche, cannot exceed an aggregate of $375,000 for the initial $300,000 in tranches, based on a ten-day
volume-weighted price calculation prior to the issue of the
tranche.
About American Eagle Gold Corp.
American Eagle Gold is traded on the TSX Venture Exchange under
the symbol 'AE' and is focused on exploring its flagship property,
Golden Gate. The Property is situated on the Cortez Trend,
which hosts three large Carlin-type gold deposits operated by
Barrick and Newmont's Joint Venture, Nevada
Gold Mines (Pipeline, Cortez
Hills and Goldrush). The Property is located 10 km
south of Cortez Hills and 5 km south of Goldrush and shows many of
the same geological characteristics as at the two deposit
areas.
QP Statement
American Eagle's Vice President of Exploration, Mark Bradley, B.Sc., M.Sc., P.Geo., a Certified
Professional Geologist and 'qualified person' for the purposes of
Canada's National Instrument
43-101 Standards of Disclosure for Mineral Properties, has verified
and approved the information contained in this news release.
Forward-Looking Statements
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the TSX Venture Exchange
policies) accepts responsibility for the adequacy or accuracy of
this release. Certain information in this press release may contain
forward-looking statements. Forward-looking statements in this
press release include, but are not limited to, statements regarding
whether the TSX Venture Exchange will approve the Assignment
Agreement, and whether the Company's exploration efforts on the
Property produce the results that are anticipated by management.
This information is based on current expectations that are subject
to significant risks and uncertainties that are difficult to
predict. Actual results might differ materially from results
suggested in any forward-looking statements. American Eagle Gold
Corp. assumes no obligation to update the forward-looking
statements, or to update the reasons why actual results could
differ from those reflected in the forward looking-statements
unless and until required by securities laws applicable to American
Eagle Gold Corp. Additional information identifying risks and
uncertainties is contained in filings by American Eagle Gold Corp.
with Canadian securities regulators, which filings are available
under American Eagle Gold Corp. profile at www.sedar.com.
SOURCE American Eagle Gold Corporation