ST. JOHN'S, NEWFOUNDLAND AND LABRADOR -- (Marketwire) -- 02/14/13 -- Vulcan Minerals Inc. ("the Company" - "Vulcan")(TSX VENTURE: VUL) is pleased to announce it has entered into a letter agreement with Nortec Minerals Corp (Nortec) to acquire Nortec's 51% working interest in the Tasisuak Lake Nickel/Copper/PGE property in northern Labrador. The consideration for the acquisition is 1,000,000 common shares of the Company. Nortec will retain a 1% Net Smelter Return Royalty subject to certain buyout provisions. A formal acquisition agreement is expected to be finalized shortly. Combined with the Company's current 49% working interest in the property, the Company will own a 100% working interest as a result of the acquisition.
The Tasisuak Lake Nickel/Copper/PGE property is situated approximately 50 km northwest of the Voisey's Bay Nickel/Copper mine. Previous work on the property included shallow drilling with encouraging results of up to 14 metres of 1.02% Nickel, 0.51% Copper, 0.03% Cobalt, 0.12% Chromium and 0.35 g/t Platinum Group Elements plus Gold. Many geophysical targets and surface showings remain untested. The mineralization occurs in noritic intrusive rocks within the Tasiyuak gnesis marginal to the Nain Plutonic Suite. The Company plans to commence a detailed compilation and integration of all previous work towards soliciting a joint venture partner and formulating a priority set of drilling targets. The proposed acquisition is subject to TSX Venture Exchange approval.
The Company also announces that it has issued 2,325,000 stock options to Directors, Officers and Employees exercisable at $0.10 for a period of 5 years and vesting over a 2 year period. Shareholders are advised that a Letter to Shareholders has been posted on the Company website www.vulcanminerals.ca and on www.sedar.com. It addresses the current strategy for the Company. The Company is a well capitalized junior explorer with approximately $5 million in cash (inclusive of its subsidiary Red Moon Potash Inc.) and no debt.
Vulcan is a diversified junior exploration company with petroleum and mineral exploration interests in Newfoundland and in Labrador.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. The statements made in this News Release may contain certain forward-looking statements. Actual events or results may differ from the Company's expectations. Certain risk factors may also affect the actual results achieved by the Company. There can be no assurance that forward-looking information will prove to be accurate. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from any conclusions, forecasts or projections described in the forward-looking information. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward- looking information, whether as a result of new information, future events or otherwise.
Shares Issued: 57,526,129
Patrick J. Laracy
Gerri A. MacNeil
Business Manager, Investor Relations
Most Popular Stories
- James Foley Beheading Video Is Real Thing: White House
- McDonald's Packages Coffee for National Distribution
- Apple Stock Bounces Back Big Time
- Notes From the July FOMC Meeting
- Honda's Safe Approach Pays Off in Sales
- Castro-Blanco Joins Fifth Street Finance Board
- GE Healthcare Bringing Jobs to Massachusetts
- Ballmer Steps Down From Microsoft Board
- Target Slashes Annual Profit Outlook
- Google Kid Accounts Plan Raises Worries