SHL:CC - Spruce Ridge Resources Ltd. Announces the Closing of the Acquisition of the Shamrock Nickel Property in Oregon
(TheNewswire)
Toronto, Ontario – TheNewswire - April 26, 2024 – Spruce Ridge ResourcesLtd. ( “Spruce” or the “Company” )(TSXV:SHL) is pleased to announce that it has closed the acquisitionof the Shamrock Nickel Sulphide Property (the “ Property ”), locatednear Medford in southwest Oregon, USA (the “ Acquisition ”) (seepress release dated March 11, 2024).
Steve Balch, President and CEO, stated, “Spruce isincreasing its presence in the U.S. critical minerals market with theacquisition of an interesting nickel sulphide property where thegrades of nickel and copper are both over 1.0% and where themineralization is open along strike and at depth. We do not yet knowthe extent of the mineralization and there is no record of explorationsince the 1950s. We believe there are significant platinum groupmetals present as well.”
The acquisition terms were amended as disclosedbelow.
Shamrock Property
Information on the Property is taken from a NationalInstrument 43-101 – Standards of Disclosure for Mineral Projects (“ NI 43-101 ”) report prepared by D.E. Cameron for Northwest Nickelwith an effective date of March 1, 2023.
The Property consists of 40 unpatented lode claims,accessible by paved road, covering approximately 758 acres and located20 miles northwest of Medford, Oregon.
The area was first prospected in the early 1900s, whena 60 ft-deep inclined shaft was excavated to intersect the mainShamrock showing containing nickel (Ni), copper (Cu), cobalt (Co), andplatinum (Pt). Underground development occurred during 1949-50 by theU.S. Bureau of Mines (“ USBM ”). USBM completed eleven diamonddrillholes totaling 3,419 ft and outlined a lens of nickel-coppersulphide 325 ft long, 200 ft deep and 3-25 ft thick. A 200-lbcomposite sample was submitted for metallurgy and assayed 1.3% Ni,1.1% Cu, 0.07% Co and 0.03 oz/t Pt. In 1952-53 USBM removed 101.5 tonsof manganese- (Mn) and iron-rich (Fe) material from previouslydiscovered pods for metallurgical sampling with assays returning23.1-32.3% Mn and 2.06-3.70% Fe.
Nickel-copper mineralization can be traced along strikefor 1,500 ft north-south, 500 ft east-west and contains twomineralized lenses. Ultramafic rocks were intersected in drilling andconsist predominantly of peridotite and related serpentinite, as wellas norite and diorite. The best mineralization is present in acoarse-grained norite. Sulphide mineralization includes pyrrhotite,pentlandite, chalcopyrite and pyrite. A bulk flotation programrecovered 92.3% of the Ni, 89.4% of the Cu and 51.3% of the Pt.
Acquisition Terms
Under the terms of the Acquisition, Spruce acquired a100% interest in the Property by:
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making a cash payment of $148,949 to Northwest NickelCorp (“Northwest”);
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issuing to Northwest an aggregate of 2,500,000 commonshares in the capital of Spruce (TSXV:SHL); and
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granting to Northwest a 2.0% net smelter returnsroyalty ( NSR ”) with the option to repurchase 50% of the NSR forconsideration of $1,000,000.
The original terms involved transferring to Northwest100,000 common shares in the capital of Canada Nickel Company Inc.(TSXV:CNC) held by Spruce, but was amended to be included in the cashpayment of $148,949 included above;
The Acquisition is an arm's length transaction for thepurposes of the policies of the TSX Venture Exchange (the“ TSXV ”) and no finder's fees are payable in connection with theAcquisition. The Company expects that the Acquisition will meet thecriteria of an “Expedited Acquisition” under TSXV Policy 5.3 – Acquisitions and Dispositionsof Non-Cash Assets and remains subject to theTSXV's final acceptance. All securities issuablein connection with the Acquisition will be subject to a hold period offour months and one day after closing.
Additional technical information on the Property isavailable on the Company’s website.
Figure 1 -= Location of the massivesulphide lenses and historic workings at Shamrock.
Qualified Person
Stephen J. Balch, P.Geo. (ON), the Company’sPresident and CEO and a “Qualified Person” under NI 43-101, hasreviewed and approved the technical content of this pressrelease.
About Spruce Ridge
Spruce Ridge is a Canadian-based mineral explorationcompany focused on critical metal resources with nickel projects inOregon, United States and copper projects in Newfoundland, Canada. TheCompany also holds a significant portfolio of mining securitiesincluding 3.55 million shares of Canada Nickel Company Inc.(TSX-V:CNC), 10.0 million shares of Noble Mineral Exploration Inc.(TSX-V:NOB), 15.0 million shares of Benton Resources Inc. (TSX-V:BEX)and 2.5 million shares of Magna Terra Minerals Inc. (TSX-V:MTT).Spruce’s common shares trade on the TSX Venture Exchange under thesymbol “SHL”. More detailed information can be found on theCompany’s website at:
http://www.spruceridgeresources.com
Cautionary Statement
Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in the policiesof the TSX Venture Exchange) accepts responsibility for the adequacyor accuracy of this news release. No stockexchange, securities commission or other regulatory authority hasapproved or disapproved the information contained herein.
This news release contains statements that constitute“forward-looking statements”. Forward-looking statements arestatements that are not historical facts and include, but are notlimited to, disclosure regarding possible events, that are based onassumptions and courses of action, and in certain cases, can beidentified by the words “expects”, “plans”, “anticipates”,“believes”, “intends”, “estimates”, “projects”,“potential” and similar expressions, or that events or conditions“will”, “would”, “may”, “could” or “should” occur,or the negative forms of any of these words and other similarexpressions. Forward-looking statements include statements related tofuture plans for the Company, and other forward-looking information.Forward-looking statements are based on various assumptions includingwith respect to the anticipated actions of securities regulators,stock exchanges, and government entities, management plans andtimelines, as well as results of operations, performance, businessprospects and opportunities. Although the forward-looking statementscontained in this news release are based upon what the management ofthe Company believes are reasonable assumptions on the date of thisnews release, such assumptions may prove to be incorrect.Forward-looking statements involve known and unknown risks anduncertainties, they should not be read as guarantees of futureperformance or results, and they will not necessarily be accurateindications of whether such results will be achieved. A number offactors could cause actual results, performance or achievements todiffer materially from the results discussed in the forward-lookingstatements, including, but not limited to: an inability to develop andsuccessfully implement exploration strategies; general business,economic, competitive, political and social uncertainties; the lack ofavailable capital; impact of the evolving situation in Ukraine on thebusiness of the Company; and other risks detailed from time-to-time inthe Company’s ongoing filings with securities regulatoryauthorities, which filings can be found at www.sedarplus.ca. TheCompany cannot assure readers that actual results will be consistentwith these forward-looking statements. Readers are cautioned not toplace undue reliance on forward-looking statements in this pressrelease. These forward-looking statements are made as of the date ofthis news release and the Company disclaims any intent or obligationto update any forward-looking statement, whether because of newinformation, future events or otherwise, unless otherwise required bylaw.
Contact
Stephen Balch, President & CEO
Phone: 905.407.9586
Email: steve@beci.ca
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