SAL Salmon River Resources Ltd.

Salmon River Resources Ltd. (TSX VENTURE:SAL) (together with its subsidiaries
individually and jointly referred to as "Salmon River" or the "Company") is
pleased to announce several important corporate developments and the results of
its latest exploration activities.


Extension of Treppo Grande Option

Salmon River is pleased to announce that it has further extended the payment
terms on its agreement to acquire a 100% interest in the shares of Treppo Grande
Iron Pty Ltd. (the "Acquisition") (see press releases dated 16 June 2010 and 2
May 2012), a private Australian company which holds five granted tenements in
the Yilgarn Craton of southwestern Australia, including the highly prospective
Treppo Grande iron ore prospects. Under the terms of the agreement for the
Acquisition (the "Acquisition Agreement"), the Vendor has agreed to extend the
date for completion to 15 January 2013.


Under the terms of the Acquisition Agreement, the Company has agreed to make a
payment to the Vendor of A$4,000,000 on or before 20 July 2012; the two
pre-completion payments of A$1,000,000 each previously paid by the Company to
the Vendor in relation to earlier extensions will now be in addition to the
Purchase Price; the Company has agreed to implement an additional exploration
programme and incur not less than A$4,000,000 in exploration expenditure within
the Tenements by no later than 15 November 2012;the rate of the royalty has been
increased from A$0.50 per metric tonne of all Iron Ore to A$1.00 per metric
tonne of all Iron Ore; and the final payment for completion of the sale of
A$96,000,000 is to be paid by no later than 15 January 2013.


Doug Betts, Chairman of the Company, commented, "The extension of the payment
terms is an important development for Salmon River. This allows us additional
time to complete several strategic initiatives currently underway that are
expected to provide significant funding and strategic benefits for the Company.
Additionally this allows us to progress exploration on the project to further
demonstrate the potential of the Treppo Grande Iron Project and significantly
enhance shareholder value prior to any such funding."


Exploration Update

As part of the terms of fulfilment of the Option Amendment Agreement, Salmon
River has developed plans for the next phase of exploration focused on the
highly prospective hematite potential of Treppo Grande South (E77/1208). In this
regard, the Company has engaged Digirock Pty Ltd ("Digirock") to carry out a
program of 1:5,000 scale geologic mapping over the southern part of their
E77/1208 tenement covering the Mount Manning Range, WA, which has potential for
banded iron formation (BIF) related iron ore deposits. The mapping program has
particularly focused on identifying and delineating the surface extents of
hematite enrichment in BIF, and down-slope detrital iron deposits derived from
BIF, which may contain high iron grades suitable for direct shipping ore, in the
vicinities of the Hook, Shank and Western anomalies that were previously defined
by interpretation of aero-magnetic survey data (See Figure 1).


To view Figure 1 please click on the following link:
http://media3.marketwire.com/docs/SALfig1.pdf 


The Company has received a preliminary report, based on eleven days of surface
mapping between 11-21 May 2012 at a 1:20,000 scale and an account of the geology
observed. During that time Digirock mapped the Hook and Shank anomaly zones,
over a combined strike length of about 7 1/2 kilometre ("km") at the southern
end of Treppo Grande South. The preliminary geologic mapping has indicated that
the Hook anomaly zone is dominated by iron-rich BIF that crops out on the upper
northern slope and the crest of the main ridge, in a unit up to about 150 metres
thick. This iron-rich BIF facies is nearly continuous over 4 1/2 kilometres
strike and appears to have an average thickness of approximately 125m (See
Figure 2). The down dip extension is not yet determined but preliminary drilling
suggests a high probability of greater than 50m in depth and geophysical
interpretations suggest the potential for extensions to at least 250m. These
results support the potential for substantial DSO hematite mineralization.


To view Figure 2 please click on the following link:
http://media3.marketwire.com/docs/SALfig2.pdf 


The preliminary mapping also identified the potential for substantial indurated
detrital ironstone (DID) on both the northern and southern lower slopes of the
Hook area. The Company expects to release final results of the surface mapping
in the near future.


The next phase of exploration work during the period to the end of 2012 will
initially focus on completing an updated Conservation Management Plan and a new
Programme of Work. This will allow for more intensive drilling at Treppo Grande
South and an extensive rock chip sampling programme to target outcropping BIF
and DID units. A small resource delineation drill programme is expected to be
completed during this period.


Financing and Other Negotiations

During the last several months, Salmon River has also been involved in extensive
negotiations with a number of strategic and financial investors regarding
funding for payments under the terms of the Acquisition Agreement and for the
furthering of the Treppo Grande Project. Salmon River continues discussions with
General Steel Holdings Inc. ("General Steel") regarding the terms of potential
arrangements under the previously announced Memorandum of Understanding and
their potential participation alongside other investors who have indicated
interest in participating in agreements with the Company. As well, in light of
the developments described herein, the Company will not proceed with the Private
Placement previously announced on 29 December 2011.


In the interim the Company is also in discussions with a number of potential
investors regarding an approximately C$10 million financing to fund the payments
to the Vendor and the exploration program and working capital requirements. More
details are expected to be released shortly.


These discussions are at an advanced stage and the Company remains confident of
the ultimate success of these discussions, especially given the potential of the
Treppo Grande Iron Project. Any financing proposals will be subject to approval
by the TSX Venture Exchange and may require shareholder approvals. There can be
no assurance that these discussions will be successfully completed or required
approvals obtained.


Temporary Management Changes

The Company also wishes to advise that for personal reasons Mr. James Stewart
has temporarily relinquished his role as CEO of the Company. Mr. Douglas Betts
will assume the position as Interim CEO, pending Mr. Stewart's return.


Qualified Person

Mr. Hector Galam, B.App.Sc. (Hons) (App. Geology), M.Sc. (Geology), is a Member
of both the AIG and the AusIMM; and the Exploration Manager responsible for the
geological programmes on all the EL's referenced in this document. He is a full
time employee of the Company. Mr. Galam is a Qualified Person as defined in
National Instrument 43-101 and has assisted in the preparation of and approved
this news release in relation to the exploration update.


Salmon River has established and maintains a comprehensive quality
assurance-quality control (QA/QC) program.


ABOUT SALMON RIVER RESOURCES LTD.

Salmon River Resources Limited (TSX VENTURE:SAL) is a mineral exploration
company engaged in the exploration for and development of commercial deposits of
iron ore in Western Australia. It exercised its option to acquire five tenements
in the Yilgarn region of Western Australia including the Treppo Grande iron ore
project, approximately 210 kilometres northwest of Kalgoorlie, comprising three
tenements covering approximately 396.7 km2. Completion of the acquisition of the
tenements is subject to certain conditions, including payment of approximately
A$100 million to the vendor. For further information see our website at
www.salmonriver.com.au.


Forward-Looking Statements:

This press release contains forward-looking statements that are based on the
beliefs of management and reflect Salmon River's current expectations. This
press release relates to the extension of terms for the Treppo Grande Iron
acquisition, further exploration and future financing requirements. The
forward-looking statements are based on certain assumptions, which could change
materially in the future, including the assumption that the current negotiations
will lead to definitive agreements, that the transactions and financings
contemplated herein will be completed, that Salmon River will be able to
complete on its exercise of the Treppo Grande option and that the Treppo Grande
property will ever be developed. By their nature, forward-looking information
involves known and unknown risks, uncertainties and other factors that may cause
actual results, performance or achievements to be materially different from any
future results, performance or achievements expressed or implied by the
forward-looking information. Such factors include the risk that the definitive
agreements contemplated may not be completed, that Salmon River may not complete
the financings in the amounts contemplated and that the Company may not complete
on its exercise of the Treppo Grande acquisition. There can be no assurance that
forward-looking information will prove to be accurate, as actual results and
future events could differ materially from those anticipated in such statements.
Accordingly, investors should not place undue reliance on forward-looking
information. Forward-looking information is provided as of the date of this
press release, and the Company assumes no obligation to update or revise them to
reflect new events or circumstances, except as required in accordance with
applicable laws.


Statements in this release that are forward-looking statements are subject to
various risks and uncertainties concerning the specific factors disclosed under
the heading "Risk Factors" and elsewhere in the Company's periodic filings with
Canadian securities regulatory authorities. Such information contained herein
represents management's best judgment as of the date hereof based on information
currently available. The Company does not assume the obligation to update any
forward-looking statement.

Salmon River Resources Ltd. (TSXV:SAL)
과거 데이터 주식 차트
부터 5월(5) 2024 으로 6월(6) 2024

Salmon River Resources Ltd. (TSXV:SAL)
과거 데이터 주식 차트
부터 6월(6) 2023 으로 6월(6) 2024