(TheNewswire)
Vancouver, British Columbia – TheNewswire - November 1, 2021 – Xander Resources Ltd.(“Xander” or the “Company”) (TSXV:XND) (OTC:XNDRF) (FSX:1XI) is pleased to announce that it has entered intoan option agreement (the “ Option ”) to acquire(the “ Acquisition ”) 100% interest in certain 286mineral claims (the “ Claims ” and the “ Property ”) locatedin Timmins, Ontario.
TheProperty
The Property consists of two (2) separate mineral claimblocks and is located within the Timmins mining camp in Ontario,Canada, a highly prolific mining complex with over 100 hundred yearsof history well supported by major infrastructure including highways,rail, and relatively inexpensive hydroelectric power.
The “North Block” consists of 236 claims locatedapproximately 21 kilometres west of Canada Nickel Company’s(CNC’s) Crawford Project (as shown in Figure 1 below) where CNC hascompleted a preliminary economic assessment only 20 months after thecommencement of exploration drilling that indicates 25-year mine withan after-tax NPV 8% of 1.2billion i . It is alsosituated southwest of Kingsmill, Mahaffy-Aubin, and Nesbitt North,properties acquired from Noble Mineral Exploration by Canada Nickelthrough option agreements earlier in 2021 ii .
Figure 1 -Location of the "North Block"
The “South Block” consists of 50 claims contiguousto Canada Nickel’s MacDiarmid Project (as shown in Figure 2 below)where in May 2021, Canada Nickel announced a secondary discoverythrough the identification of significant intersections of mineralizeddunite similar to the average mineralization initially discovered atCrawford. Geophysical surveys reveal that theMacDiarmid target to be approximately 1.8 kilometres long indicating astructural footprint averaging 400 meters in width – 15% larger thanCanada Nickel’s original Crawford’s Main Zonediscovery iii .
Figure 2 -Location of the "South Block"
Historical work at the Property includes airborne geophysical survey work (Geotech’s HelicopterBorne VTEM) which has delineated a series of high-priorityelectromagnetic anomalies within the Property (often indicative ofsulphide mineralization), and numerous major and minor structures,which require follow-up exploration and possibly drilling as shown inFigure 3 below. The Company’s plan over the coming months is tobuild on the geophysical work completed through further geophysicalmapping and interpretation, sampling, and other techniques in order tolaunch a comprehensive drill program with the goal of completing amaiden resource at one or more areas.
Figure 3 - VTEM Conductors Identified on the "NorthBlock"
Pursuant to the Agreement and in exchange for theoption to purchase a 100% interest in the Property, the Company willpay the following remuneration to the Vendors:
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- 600,000 common shares (the “ Shares ”) of theCompany at a deemed price to be determined as of the closing marketprice of the Company’s Shares on or before the closing date (the“ Closing Date ”)
- $50,000 cash payable within 90 days of the ClosingDate
- 1,000,000 Shares to be issued at a deemed price to bedetermined within 90 days of the Closing Date
- $50,000 cash payable within one year of the ClosingDate
- 1,000,000 Shares to be issued at a deemed price to bedetermined within one year of the Closing Date
- 900,000 Shares to be issued at a deemed price to bedetermined within two years of the Closing Date
- $50,000 cash payable within two years of the ClosingDate
The Company has agreed to incur not less than$1,250,000 of qualified exploration expenditures, including 3,000metres of diamond drilling on the Property within two (2) years of theClosing Date, of which not less than $500,000 and 1,500 meters ofdiamond drilling will be incurred within one (1) year following theClosing Date and of which not less than $120,000 ($95,000 North Blockand $25,000 South Block) will be incurred within six months from theClosing Date. The Company has also agreed to grant the Optionors a3% net smelter returns royalty.
The Acquisition and transactions contemplated,including the issuance of the Shares, are subject to the finalapproval of the Exchange. The Shares will be subject to the applicablehold periods in accordance with securities laws in Canada and theExchange policies.
“We are thrilled to have acquired such a significantproject at a time when the demand for nickel is increasing sodramatically,” stated Deepak Varshney, CEO of the Company. “Thisproject checks off all the boxes – a mining-friendly jurisdiction,easy year-round access, and a Property with great geophysical targetsat a stage of development where we can explore and unlock shareholdervalue”.
Qualified Person
The technical content of this news release has beenreviewed and approved by Mr. Andrew Tims, P.Geo., a qualified personas defined by National Instrument 43-101 Standards of Disclosure for MineralProjects (“ NI 43-101 ”).
About Xander Resources Inc.
Xander Resources Ltd. is a Canadian mineral acquisitionand exploration company based in Vancouver, BC, Canada focused ondeveloping accretive gold and battery metal properties within Canada.The company currently has a focus on projects located within theProvinces of Ontario and Quebec.
Xander is exploring for commercially exploitablemineral deposits and is currently focused on deposits located inVal-d’Or, Quebec, including the Senneville Claim Group whichcomprises over 100 sq. km and is contiguous in the south to ProbeMetals’ new discovery, and contiguous in the north to MonarchMining, in close proximity to Eldorado Gold’s (formerly QMX Gold)projects, and east of the North American Lithium Deposit, GreatThunder Gold‘s Chubb Lithium property and East of the SayonaQuebec's Authier Lithium Deposit, all in the Val-d’Or Mining Camp,plus its newly acquired nickel-sulphide project in Timmins, Ontarionear Canada Nickel’s MacDiarmid and Crawford Projects.
We seek Safe Harbor
ON BEHALF OF THE BOARD OFDIRECTORS
Deepak Varshney, P.Geo., Presidentand CEO
For more information, please phone Dan Samartino,Investor Relations, at 778-962-0234, email ir@xanderresources.ca , or visit www.xanderresources.ca .
Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in policies ofthe TSX Venture Exchange) accepts responsibility for the adequacy oraccuracy of this release.
Forward-looking statements:
This news release may include"forward-looking information" under applicable Canadiansecurities legislation. Such forward-looking information reflectsmanagement's current beliefs and are based on a number of estimatesand/or assumptions made by and information currently available to theCompany that, while considered reasonable, are subject to known andunknown risks, uncertainties, and other factors that may cause theactual results and future events to differ materially from thoseexpressed or implied by such forward-looking information. Readers arecautioned that such forward-looking information are neither promisesnor guarantees and are subject to known and unknown risks anduncertainties including, but not limited to, general business,economic, competitive, political and social uncertainties, uncertainand volatile equity and capital markets, lack of available capital,actual results of exploration activities, environmental risks, futureprices of base and other metals, operating risks, accidents, labourissues, delays in obtaining governmental approvals and permits, andother risks in the mining industry.
The Company is presently anexploration stage company. Exploration is highly speculative innature, involves many risks, requires substantial expenditures, andmay not result in the discovery of mineral deposits that can be minedprofitably. Furthermore, the Company currently has no reserves on anyof its properties. As a result, there can be no assurance that suchforward-looking statements will prove to be accurate, and actualresults and future events could differ materially from thoseanticipated in such statements.
i Preliminary Economic Assessment, titled "CrawfordNickel-Sulphide Project National Instrument 43-101 Technical Reportand Preliminary Economic Assessment", Effective Date of May 21,2021
ii https://canadanickel.com/wp-content/uploads/2021/04/20210422-Canada-Nickel-Acquires-Option-Properties-final.pdf
iii https://canadanickel.com/wp-content/uploads/2021/10/2021-10-26-East-Zone-High-Grade-vFinal2.pdf
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