VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 7, 2013) - Kent Exploration Inc (TSX VENTURE:KEX) ("Kent" or the "Company") announces that it has entered into a Letter of Agreement (the "Agreement") with American Mining Corporation ("AMCOR") whereby it can acquire an Option, subject to the approval of the TSX Venture Exchange, ("TSX-V"), (the "Option") to earn an 80% interest in the historic Bayhorse Silver Mine ("Bayhorse") in east-central Oregon State.
The Bayhorse property consists of 3 patented claims and 10 lode claims totaling approximately 250 acres. The property is readily accessible, being approximately 7 miles by County road from Huntington, Oregon, on the BN rail line, with road access and power at the property boundary, approximately 500 feet from the main adit entrance.
Mining has been conducted intermittently at Bayhorse since the early 1920's and the mine last closed after the price of silver dropped to under US$6/oz in late 1984. The property has remained dormant since. The Bayhorse mine has two existing accessible adits, the upper extending about 800 feet westward into the hill and the lower extending about 500 feet into the hill. A middle level is reached only by raises from the lower level and winzes from the upper level. Three areas have been stopped in the ground between the upper and middle level.
The terms of the Agreement call for the payment of US$5,000 on execution of the Agreement (paid) and a further US$20,000 on execution of the Option Agreement.
To earn the 80% interest the Company is required to conduct US$100,000 per year on exploration expenditures on the property on or before each of the first two anniversaries of the Agreement, US$300,000 on or before the third anniversary of the Agreement and expend US$500,000 on or before the fourth and fifth anniversaries respectively of the Agreement. In addition, the Company will issue 500,000 shares on execution of the Option Agreement, 500,000 shares on the third anniversary of the Agreement and 500,000 shares on the fifth anniversary of the Agreement.
Assays from a surface and underground sampling program recently conducted by the Company are tabulated below. Further assay results are pending.
|178628||grab, upper adit entrance||3.53||0.11|
|178629||1m Chip, 0.5 mi s. of Bayhorse adit||57||1.83||0.44|
|178630||0.5m Chip, same||5.10||0.16|
|178631||1m Channel, vein, main adit||1.25||0.04|
|178632||1m Channel, wall rock||52.6||1.69|
|178635||Grab, near main adit||172||5.53||0.82|
The Company advises that information of a historic nature is presented in this news release and historic production, estimates, drill information and grades reported have not been verified; A qualified person has not done sufficient work to verify the historical estimates nor classify the historical estimates as current mineral resources or mineral reserves and the Company is not treating the historical estimates as current mineral resources or mineral reserves. (ounces/grams conversion is one ounce/short ton = 34.2857 grams/metric ton)
As "stated in the minerals production yearbook" (Jacobsen, 1959), total reported historic production from the Bayhorse Mine through 1959 was 286,000 ounces of silver from 8,300 tons of ore for an average of approximately 35.5 opt Ag (1,217 g/t Ag) while Herdrick (1981) estimated remaining shipping ore at a 7.5 opt Ag cutoff to be 166,208 tons, and on-site mill ore at a 3 opt Ag cutoff to be 473,350 tons. Historic records do not identify whether any of this ore was produced between 1981 and 1984.
According to other more recent reports in 1984, 90 underground drill holes totaling approximately 15,000 feet reportedly delineated approximately 26,000 tons of silver bearing mineralization of which 5,718 tons were reported being produced at an average grade of 16.7 opt Ag (572.5 g/t Ag) while approximately 20,000 tons at an average of 15 opt Ag reportedly remained unmined. The historic records also indicate that of the 5,718 tons produced, approximately 23% reportedly graded between 21 - 100 opt Ag, 71% reportedly graded between 6 opt - 20 opt Ag and 6% reportedly graded less than 6 opt Ag. Ancilliary copper produced reportedly averaged 1% Cu. The highest reported grade from the 1984 drilling, sampling and mining program was a round that reportedly assayed 691 opt Ag (23,691 g/t Ag) and 15.72% Cu from a tetrahedrite-tennantite rich vein.
Both adits on the property are open, but the workings are not entirely accessible at present due to safety issues. Historic reports indicate that the mineralization, consisting mainly of tehrahedrite/tennantite, occurs in a 60-80 feet wide in a zone along an andesite and rhyolite contact. Minor copper, arsenic, and vanadium are associated with the silver. Azurite and malachite coatings are common in oxidized parts of mineralized ground on the walls of the excavated stopes. Additional minerals include enargite, dufrenoysite and cuprodesclosite. Gold values of up to 10 g/t Au have also been reported in the mineralization.
Kent Exploration Inc. is a junior exploration company with a 100% interest in all its major projects, and is planning on building shareholder value through establishing cash flow from its Flagstaff Mountain, WA, barite mine. Any positive cash flow is intended to reduce dilution and fund exploration on its three major high grade gold prospects (Alexander River, Paparoa and Lyell), in the highly prolific West Coast South Island gold fields of New Zealand. Additional shareholder value has been established through its approximately 13% interest (9,981,416 shares) in Archean Star Resources Inc, ("Archean") which is listed on the TSX Venture Exchange under the symbol ASP.
The Company has an experienced management and technical team with extensive exploration expertise and offers investors the potential for a major gold discovery on its New Zealand gold projects.
This News Release has been prepared on behalf of the Kent Exploration Inc. Board of Directors, which accepts full responsibility for its contents. The contents of this news release has been reviewed and approved by Dr. Clay Conway, P. Geol., a Qualified Person as recognized by National Instrument NI-43-101 and a director of the Company.
ON BEHALF OF THE BOARD
Graeme O'Neill, President
Neither the TSX Venture Exchange, nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), has reviewed, nor do they accept responsibility for, the adequacy or accuracy of this news release.