RENO, NEVADA -- (Marketwired) -- 06/12/13 -- NuLegacy Gold Corporation (TSX VENTURE: NUG)(PINKSHEETS: NULGF) reports it has initiated the creation of a Plan of Operations for the development of the Iceberg Gold deposit on its Red Hills Project in Nevada. NuLegacy Gold is currently earning a 70% interest in the project from Barrick Gold Corporation.
On acceptance by the Bureau of Land Management (the "BLM") the completed Plan of Operations will permit an increase in the allowable area of disturbance (for drilling activities) on the Red Hill Project to approximately 1,800 acres. Currently the Company is operating under a Notice of Intent with the BLM that permits a 5 acre surface disturbance and there remains sufficient undisturbed acreage within the fully bonded Notice of Intent to complete this year's planned drilling.
The Plan of Operations is being submitted in preparation for the drilling required to delineate the Iceberg gold deposit to NI 43-101 standards, and in anticipation of the $15 million dollars of exploration expenditures that Barrick Gold Corporation will need to fund should it exercise the "earn back" provision in the exploration agreement(1) once the Company has acquired its 70% interest. The larger disturbance allowance will give the Company more flexibility in planning and permitting the numerous drill sites required for the 2014 drill season and beyond.
Upon completion of the required cultural and biological studies an Environmental Assessment (EA) will be developed and submitted to the BLM, Battle Mountain, NV office for review and approval. This work is currently in progress under the direction of Enviroscientists, Inc. of Reno, NV. It is anticipated that approval of the Plan of Operation will be issued before the start of the 2014 drilling season.
NuLegacy Gold Corporation is a Nevada based exploration company focused on delineating the near-surface oxide Iceberg gold deposit on its 60 square km Red Hill option with Barrick Gold. The Iceberg deposit has similar geology to that of Barrick Gold's on-going multi-million ounce Goldrush gold discovery.
On Behalf Of The Board Of Directors Of NuLegacy Gold Corporation
James E Anderson, Chief Executive Officer
For further information please visit our website at www.nulegacygold.com.
This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Readers are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. There are no known resources or reserves on the Iceberg deposit or the Red Hill project and the proposed exploration programs are exploratory searches for commercial bodies of ore. In addition, the presence of gold deposits on properties adjacent or in close proximity to the Red Hill project is not necessarily indicative of the gold mineralization on the Red Hill project. All of the forward-looking statements made in this news release are qualified by these cautionary statements and those in our continuous disclosure filings available on SEDAR at www.sedar.com including our annual management's discussion and analysis dated July 30, 2012 for the year ended March 31, 2012. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances save as required under applicable securities legislation.
(1) Under the terms of the option agreement once NuLegacy Gold has completed its earn-in to a 70% working interest Barrick Gold has 90 days in which to either elect to earn-back to a 70% working interest (become majority Joint Venture-partner) by committing to spending $15 million over the following 5 years with NuLegacy's remaining 30% becoming a 'carried to production' interest; or remain the 30% minority Joint Venture-partner.
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.
NuLegacy Gold Corporation
Chief Executive Officer
NuLegacy Gold Corporation
NuLegacy Gold Corporation
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