Thundermin Obtains New Joint Venture Partner as Rambler Metals Purchases Cornerstone's 50% Interest in the Little Deer Copper
Thundermin Obtains New Joint Venture Partner as Rambler Metals Purchases Cornerstone's 50% Interest in the Little Deer Copper Project
TORONTO, ONTARIO -- (Marketwired) -- 09/17/13 -- Thundermin Resources Inc. ("Thundermin") (TSX:THR) announces that it has declined to purchase Cornerstone Capital Resources Inc.'s ("Cornerstone") 50% interest in the Little Deer Copper Project ("Little Deer") situated approximately 10 km north of Springdale in north-central Newfoundland.
As a result, Thundermin has been advised by Cornerstone that Cornerstone has entered into a letter of intent with Rambler Metals and Mining Canada Limited ("Rambler"), a 100% owned subsidiary of Rambler Metals and Mining plc., to purchase Cornerstone's 50% participating interest in Little Deer. The purchase price is $550,000, being $200,000 in cash and $350,000 in common shares of Rambler plus a 0.75% net smelter return royalty on Cornerstone's proportionate share of all products produced from any future mine at Little Deer. Rambler's offer is subject to a full due diligence review and negotiation and agreement on final terms and conditions which must be completed on or before November 14, 2013. Should Rambler and Cornerstone complete the transaction on Little Deer, then Rambler will be bound by the terms of the current Thundermin-Cornerstone Joint Venture Agreement under which Thundermin has the right to increase its interest in Little Deer to 75%.
John B. Heslop, President and Chief Executive Officer of Thundermin said "we are looking forward to working with Rambler on the Little Deer Copper Project. Rambler has successfully brought the past-producing Ming Mine in Newfoundland back into commercial production. It is hoped that Rambler's mining expertise will also lead to the resurrection of the Little Deer and Whalesback copper deposits in the future if they are viable. The Little Deer and Whalesback copper deposits are in close proximity to Rambler's port facilities at Goodyear's Cove which could allow the possibility of bulk shipping of material to their Nugget Pond Processing Facility thus minimizing both future capital and operating costs at Little Deer."
The Little Deer copper project, located approximately 10 km north of Springdale in north-central Newfoundland, hosts the Little Deer and Whalesback copper deposits. On June 22, 2011 and July 26, 2012, National Instrument 43-101 ("NI 43-101") compliant mineral resource estimates, which were undertaken by P&E Mining Consultants Inc. ("P&E") of Toronto, Ontario, were announced for Little Deer and Whalesback, respectively. P&E estimated that Little Deer contains Indicated Resources of 1,911,000 tonnes ("t") at an average grade of 2.37% Cu (99.8 million lbs. Cu) and additional Inferred Resources of 3,748,000 t at an average grade of 2.13% Cu (176.0 million lbs. of Cu). P&E estimated that Whalesback contains Indicated Resources of 797,000 tonnes grading 1.67% Cu (29.3 million lbs. Cu) and Inferred Resources of 443,000 tonnes grading 1.57% Cu (15.3 million lbs. Cu). On a combined basis, Little Deer and Whalesback are estimated to contain Indicated Resources of 2,708,000 tonnes grading 2.16% Cu (129.1 million lbs. Cu) and Inferred Resources of 4,191,000 tonnes grading 2.07% Cu (191.3 million lbs. Cu).
On November 1, 2011, results of a positive Preliminary Economic Assessment ("PEA") for the Little Deer copper deposit, on a stand-alone basis, were announced that indicate that there is potential to develop the Little Deer copper deposit on an attractive economic basis at current copper prices. The discovery of new copper resources at Whalesback during 2012, because of their proximity to Little Deer, expand the total mineral resources available for mining and may enhance the overall economics of establishing a new mining operation at Little Deer.
The NI 43-101 mineral resource estimates and PEA referred to above were prepared under the supervision of Mr. Eugene J. Puritch, P. Eng., President of P&E. Mr. Puritch is an independent Qualified Person ("Q.P.") in accordance with NI 43-101.
Mr. Andrew Hussey, P.Geo., is the Q.P. responsible for supervising all of the drilling programs at Little Deer and Whalesback for the purposes of NI 43-101.
Thundermin is a Canadian-based mineral exploration company focused on the exploration for and the discovery of economically viable base metal and gold deposits in Canada. Thundermin has an interest in, or the right to earn an interest in 12 base metal and gold properties in Canada. Thundermin owns a 100% interest in the Lebel Township gold property, which is located on the Kirkland Lake Main Break in the prolific Kirkland Lake gold camp. Thundermin has the right to earn a 100% interest in eight exploration licenses covering a large portion of the Stirling volcanogenic massive zinc-lead-copper-silver-gold sulphide belt located on Cape Breton Island, Nova Scotia. An initial diamond drill program undertaken on the property in 2012 was successful in intersecting copper mineralization in porphyritic volcanic rocks similar to those known to host massive sulphide deposits elsewhere. Thundermin has royalty interests in 12 base metal and gold properties located in Manitoba, Saskatchewan, British Columbia and Quebec, the most significant being a 2.5% net smelter return royalty in the Pelletier Lake gold deposit which is under option to QMX Gold Corporation. The Pelletier Lake property is currently in arbitration with Thundermin aiming to regain full ownership of the property. Thundermin also has various shareholdings in fifteen other junior resource companies that are actively exploring for base metal, gold, chrome, vanadium-titanium and diamond deposits in Canada.
This news release may contain "Forward-Looking Statements" that involve risks and uncertainties, such as statements of Thundermin's plans, objectives, strategies, intentions and expectations. The words "potential," "anticipate," "forecast," "believe," "estimate," "expect," "may," "project," "plan," and similar expressions are intended to be among the statements that identify "Forward-Looking Statements". Although Thundermin believes that its expectations reflected in these "Forward-Looking Statements" are reasonable, such statements may involve unknown risks, uncertainties and other factors disclosed in our regulatory filings that can be viewed on the SEDAR website at www.sedar.com. For us, uncertainties arise from the behavior of financial and metals markets and from numerous other matters of national, regional, and global scale, including those of an environmental, climatic, natural, political, economic, business, competitive, or regulatory nature. These uncertainties may cause our actual future results to be materially different than those expressed in our "Forward-Looking Statements". Although Thundermin believes the facts and information contained in this news release to be as correct and current as possible, Thundermin does not warrant or make any representation as to the accuracy, validity or completeness of any facts or information contained herein and these statements should not be relied upon as representing its views subsequent to the date of this news release.
For further information on Thundermin Resources Inc., visit Thundermin's website at www.thundermin.com or the SEDAR website at www.sedar.com. Contacts: Thundermin Resources Inc. John B. Heslop President & CEO (647) 344-1167
Thundermin Resources Inc. James W. Gill Chairman (416) 450-1851 www.thundermin.com