MONTREAL, QUEBEC -- (Marketwired) -- 05/21/13 -- TomaGold Corporation (TSX VENTURE: LOT) ("TomaGold" or the "Company") is pleased to announce that it has acquired from 2736-1179 Quebec Inc., an arm's length party, a 100% interest in the Lac Cavan property, consisting of 66 claims covering 3,670 hectares just west of Chapais, near Quebec's Chibougamau mining camp. Under the terms of the agreement, the acquisition price is $150,000, payable through the issuance of 1,000,000 common shares of the Company (the "Common Shares") and a 2% NSR, of which 1% can be repurchased for $1 million. The transaction is subject to regulatory approval and the Common Shares are subject to a mandatory 4 month and 1 day holding period.
David Grondin, President and Chief Executive Officer of TomaGold, stated: "The Lac Cavan acquisition is part of our plan to consolidate our land position in the Chibougamau mining camp. Our geologists and external technical team feel that Lac Cavan is a good fit with our existing portfolio of promising mining properties in the area."
The Lac Cavan property lies in a volcanic belt north of a large batholith (the Lapparent batholith). The Monster Lake property is located at the edge of the batholith, farther southeast in the same volcanic belt.
The claims are underlain by three different geological horizons: the andesitic basalts of the Obatogamau Formation across the central portion, flanked to the north and south by more-felsic pyroclastic formations. Two horizons recently identified by the MRNF's geologists as having high potential for VMS (Volcanogenic Massive Sulphide) mineralization have been identified on the property. The newly-described Chrissie Formation has been mapped across the northern part of the claims, along with the better known Waconichi Formation. In the Chibougamau mining camp, the Waconichi Formation is the host of the former Lemoine Mine and Cogitore's Lac Scott deposit.
There is also a gold showing on the property that Falconbridge Copper (later Minnova) worked intermittently between 1970 and 1990 while it was operating the Chapais mines and mill complex. Falconbridge Copper believed that the geology, alteration and mineralization at Lac Cavan showed strong similarities to the Lac Shortt Mine farther west. Furthermore, there are strong siderite alteration zones at both locations. It should be noted that large precious and base metal zones at the former Chibougamau mines were also hosted by siderite zones.
Eight holes were drilled in 2009 in the vicinity of the gold showing to locate contacts and better define the local stratigraphy. The best results were obtained in Hole LC-09-52, which returned 0.40 g/t Au over 3.6 m, and Hole LC-09-54, which returned 1.37 g/t Au over 1.4 m, 0.42 g/t Au over 5.5 m and 1.6 g/t Au over 0.6 m.
The technical content of this press release has been reviewed and approved by Maurice Giroux, a qualified person under National Instrument 43-101.
About TomaGold Corporation
TomaGold Corporation is a Canadian-based mining exploration company whose primary mission is the acquisition, exploration and development of gold projects in Canada and abroad.
Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
President and Chief Executive Officer
Most Popular Stories
- Dell Offers Undisclosed Number of Employee Buyouts
- Saab Gets Back into the Game; U.S. Auto Sales Soar
- Authorities Close to Deal with JPMorgan Chase over Madoff Response
- Apple Activates Customer-Tracking iBeacon
- 2013 Tech Gift Guide: iPad Mini Still Hot; Chromecast a Great Low-Cost Option
- A Biography of Jonathan Ive, Apple's Creative Chief
- It's No Yolk: Food-tech Startups Take Aim at Replacing Eggs
- U.S. Stocks Rise on Sysco Acquisition