White Metal Resources to Begin Exploration on its Little Joanna Gold Property Located Near the Sokoman Gold Discovery
TSX VENTURE: WHM
Thunder Bay, Ontario--(Newsfile Corp. - April 16, 2019) - White Metal Resources Corp. (TSXV: WHM) ("White Metal" or the "Company") is pleased to announce the following:
Little Joanna Gold Property
White Metal has received its work permit allowing White Metal to begin its 2019 exploration program on its recently optioned Little Joanna Gold Property (the "Property"), located in Central Newfoundland. Planned exploration work includes a regional soil sampling survey designed to test for continuity and additional gold-bearing structures and a detailed soil sampling survey over the main gold showing from which selected grab samples by the Property vendor assayed up to 734 g/t Au (23 oz/ton Au).
The regional soil sampling survey is planned to extend up to seven kilometres away from the Property's main gold showing. In addition, the regional soil survey will cover an area in which historical work by Noranda (1980s) reported up to 44 g/t Au in boulder samples and outlined two significant basil till sample anomalies of 1.15 g/t Au and 5.2 g/t Au. Soil sampling is expected to commence in the coming weeks, followed by a prospecting program and subsequent trenching on favourable targets. The Property, one of several recently optioned properties (see the Company's press release dated October 23, 2018), is located approximately 25 kilometres northeast of the town of Glenwood, is accessible by supply roads, and comprises 280 claim units covering 7,000 hectares.
The Property is situated approximately 45 kilometres northeast of Sokoman's Moosehead Gold project. In July 2018, Sokoman Minerals Corp. (previously Sokoman Iron, herein referred to as "Sokoman') announced their high-grade gold-bearing discovery hole, reporting an assay result from drill core of 44.96 g/t Au over 11.90 metres (from 109.00 to 120.90 metres).
Williams and Williams West
White Metal work permit applications are also being prepared for the Williams and Williams West properties, also located near Sokoman's Moosehead Gold project. Applications are expected to include prospecting and soil sampling as a Phase 1 work program. A planned Phase 2 program is designed to consist of trenching and drilling of any favourable targets outlined by the Phase 1 program.
The Williams and Williams West properties are located nearby and to the south of the town of Glenwood, Newfoundland, approximately 30 kilometres southeast of Sokoman's Moosehead Gold property. The Williams and Williams West properties are also in close proximity to the Clarks Brook property where Sokoman recently drilled 3.74 g/t Au over 3.10 metres, including 14.73 g/t Au over 0.60 metres (see Sokoman News Release dated April 5, 2018).
Work permits will also be submitted by White Metal for the Startreck Gold property to include relocating all previous trenching and drill hole locations and follow up work on the numerous gold showings that have not had any follow up since their original discovery. The Startrek Gold property is located about 20 kilometres west of the Town of Gander, Newfoundland, and was acquired because of the abundant gold showings found on the Property. Previous operator, Rubicon Minerals Corp., performed prospecting, trenching, and drilling on the Startreck Gold property from 2001 to 2005, leaving numerous gold and antimony showings yet to be evaluated. A Phase 2 work program is planned to include follow-up trenching and drilling of any favourable targets developed from the Phase 1 program.
White Metal also announces a proposed non-brokered private placement of up to a maximum of $300,000 to fund working capital requirements by way of an issue of units. Each unit will be priced at $0.05 per unit and each unit will consist of one (1) common share and one (1) share purchase warrant. Each warrant will entitle the holder to purchase an additional common share at $0.10 for a period of two years from the closing of the private placement. The offering is only open to accredited investors in Canada and will be subject to the completion of formal documentation, receipt of all necessary regulatory approvals, including the TSX Venture Exchange and other customary conditions. All of the securities sold pursuant to the offerings will be subject to a four-month plus one day hold period from the date of closing. Finder's fees may be payable on all or a portion of the private placements and will consist of 7% cash and 7% Broker's Warrants, where applicable. In respect of the units, the Broker Warrant will be exercisable for $0.10 for a unit consisting of one common share and one (1) share purchase warrant exercisable at $0.10 for a period of two years from closing.
Although the Company fully expects to spend the funds as stated there may be circumstances, for sound business reasons, where a reallocation of funds may be necessary. There is no material change about the Company that has not been generally disclosed.
Technical information in this news release has been reviewed and approved by Dr. Scott Jobin-Bevans (P.Geo.),
Vice President Exploration and a Director of White Metal, who is a Qualified Person under the definitions established by the National Instrument 43-101.
About White Metal Resources Corp (TSXV: WHM):
White Metal Resources Corp. is a junior exploration company exploring in Canada. For more information please visit the Company's Web Page at www.whitemetalres.com.
On behalf of the Board of Directors of White Metal Resources Corp.
Jean-Pierre Colin, President, CEO and Director
For further information contact:
President, CEO & Director
684 Squier Street
Thunder Bay, Ontario, Canada, P7B 4A8
Phone: (807) 628-7836
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 release.