(TheNewswire)
Vancouver, British Columbia – TheNewswire - September 20, 2022 – Rackla Metals Inc. (TSXV:RAK) is pleased to announce that it hasentered into a property option agreement with Orogen Royalties Inc. (TSXV:OGN) ( “ Orogen”) to purchase a 100% interest in the Astro goldproject in Northwest Territories, Canada. The acquisition expandsRackla’s existing claim position in the Tombstone Gold Belt withinthe Selwyn Basin.
“We’re excited to add to our holdings in this goldbelt this quality target, ” states Simon Ridgway, CEO of the Company. “We now hold aportfolio of over 35,000 hectares of multiple high quality explorationtargets with significant data to work with in this very prospectivegold belt. ”
Management believes the significance of the recentintrusive hosted gold discovery made by Snowline Gold Corp.(“Snowline ” ) at itsRogue project opens up a great opportunity. Previous explorationprograms at various projects within the Tombstone Gold Belt region targeted thegossanous sedimentary rocks. The Rogue discovery lies within theintrusive body and these rocks in many areas have not seen boots onthe ground.
Figure 1. Astro ProjectLocation
Rackla recognizes that the Astro Property is locatedwithin the territories of the Sahtu Dene and Metis Comprehensive LandClaim and will continue the positive working relationship establishedby Orogen.
Astro Project History
The Astro Project is a 288 square-kilometre explorationproperty located in the Northwest Territories along the Yukon border,close to the Canol Road. The Project was generated from a two-yearUS$1.8 million regional alliance between Orogen and Newmont MiningCorporation that identified gold mineralization associated with anintrusive stock during a regional stream sampling survey. Work onthe property identified outcropping gold mineralization in aten-kilometre-long structural corridor flanking the hornfelsed aureoleof the Border granodiorite pluton. Gold mineralization consists ofgold-arsenic-antimony bearing quartz veins, gold-bismuth skarn andgold associated with disseminated sulphides in siltstone.
Surface sampling of showings has returned strongchip-channel results including 30.0 metres of 17.7 g/t gold and 18.0metres of 3.6 g/t gold. Results from limited RC scout drillingprogram completed returned best intercepts of 3.0 metres grading 3.1g/t gold, 7.6 metres grading 0.7 g/t gold, and 6.0 metres grading 1.1g/t gold.
Several stream sediment gold anomalies in creeksdraining the Border intrusive indicate potential for goldmineralization within the intrusive stocks. See Rackla’s website formore detailed information on the Astro Project.
Figure 2. Astro Property Map
Astro Project Agreement Terms
Under the terms of the option agreement, Rackla canearn a 100% interest in Astro by issuing 120,000 common shares toOrogen on closing of the Agreement, and incurring $250,000 inexploration expenditures and making cash payments or issuing commonshares to Orogen totaling $382,000 within twelve months. Once theseobligations have been satisfied and Rackla exercises its option toacquire the Astro Project, Orogen will retain a 2.5% net smelterreturn royalty on the Project.
The option agreement is subject to TSX Venture Exchangeapproval.
Qualified Person
Bruce Smith, M.Sc. (Geology), a member of theAustralian Institute of Geoscientists, is Rackla’s Qualified Personas defined by National Instrument 43-101, Standards of Disclosure forMineral Projects. Mr. Smith prepared and approved the technicalinformation contained in this news release.
Simon Ridgway,
CEO and Director
Tel: (604) 801-5432; Fax: (604) 662-8829
Email: info@goldgroup.com
Website: www.racklametals.com
Neither the TSX Venture Exchange norits Regulation Services Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accept responsibility for theadequacy or accuracy of this press release.
Forward-LookingInformation
Certain statements contained in thisnews release constitute forward-looking statements within the meaningof Canadian securities legislation. All statements included herein,other than statements of historical fact, are forward- lookingstatements and include, without limitation, statements about the Company’s proposedacquisition of the Astro Project, and future explorationactivities . Often, but notalways, these forward looking statements can be identified by the useof words such as “estimate”, “estimates”, “estimated”,“potential”, “open”, “future”, “assumed”,“projected”, “used”, “detailed”, “has been”,“gain”, “upgraded”, “offset”, “limited”,“contained”, “reflecting”, “containing”, “remaining”,“to be”, “periodically”, or statements that events,“could” or “should” occur or be achieved and similarexpressions, including negative variations.
Forward-looking statements involveknown and unknown risks, uncertainties and other factors which maycause the actual results, performance or achievements of the Companyto be materially different from any results, performance orachievements expressed or implied by forward-looking statements. Suchuncertainties and factors include, among others, whether the stockexchange approval to the Astro Project acquisition will be obtained;whether the Company will exercise the option to acquire the AstroProject; changes in general economic conditions and financial markets;the Company or any joint venture partner not having the financialability to meet its exploration and development goals; risksassociated with the results of exploration and development activities,estimation of mineral resources and the geology, grade and continuityof mineral deposits; unanticipated costs and expenses; and such otherrisks detailed from time to time in the Company’s quarterly andannual filings with securities regulators and available under theCompany’s profile on SEDAR at www.sedar.com. Although the Company has attempted to identify important factors thatcould cause actual actions, events or results to differ materiallyfrom those described in forward-looking statements, there may be otherfactors that cause actions, events or results to differ from thoseanticipated, estimated or intended.
Forward-looking statements containedherein are based on the assumptions, beliefs, expectations andopinions of management, including but not limited to: that the stockexchange approval to the Astro Project acquisition will be obtained;that the Company’s stated goals and planned exploration activitiesat its properties will be achieved; that there will be no materialadverse change affecting the Company or its properties; and such otherassumptions as set out herein. Forward-looking statements are made asof the date hereof and the Company disclaims any obligation to updateany forward-looking statements, whether as a result of newinformation, future events or results or otherwise, except as requiredby law. There can be no assurance that forward-looking statements willprove to be accurate, as actual results and future events could differmaterially from those anticipated in such statements. Accordingly,investors should not place undue reliance on forward-lookingstatements.
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