Berkwood Resources concludes $250,000 Project Finance Agreement with Progressive Planet Solutions Inc. to advance the Lac Gueret South Graphite Project
TSX VENTURE: BKR
October 30th, 2018 / TheNewswire / VANCOUVER, B.C. Berkwood Resources Ltd. (TSX-V: BKR, FSE: BK2, WKN: A110N3) ("Berkwood" or the "Company") is pleased to announce that an agreement to finance has been concluded between Progressive Planet Solutions Inc. (PLAN-TSX:V) ("Progressive Planet" or "PLAN"). The Terms of the agreement allow Progressive Planet to earn a 5% interest to the Lac Gueret South Graphite property in exchange for expenditure of $250,000 on the project by December 31st, 2018. During a period of 6 months, either party will have the right to execute a buy-back scenario in which Berkwood would purchase the 5% back by paying to Progressive Planet 1,750,000 Units in Berkwood. Each unit will entitle PLAN to receive one share, and one half warrant of the Company, which at the time of signing this agreement constitutes 5% of the Issued and Outstanding Shares of Berkwood. This transaction is subject to Exchange approval.
The Lac Gueret South project is located directly south of Mason Graphite's (TSX-LLG) advanced Lac Gueret Project. With a market capitalisation of over $120 million Mason owns one of the largest high grade graphite deposits in the world, and is planning on building a new graphite mine and processing plant. The Berkwood Lac Gueret South project is broadly analogous to the Mason Graphite deposit. The project comprises 288 Claims which cover a total area of 15,552 hectares. Three drill programs have been completed to date with 27 holes drilled recovering over 4,000m of drill core. Of the holes drilled, 26 of the 27 had significant graphite intersections (Hole 25 intersected 130.55 m averaging 17.37 Cgr). Assays have confirmed average grades in the range of 14.39% to 25.52% Cgr and true thicknesses ranging 22.1 to 90 meters. The graphite lies near surface to open-pit mineable depths similar to the depths drilled by Mason Graphite for its planned open pit development, and includes significant intervals of modal large flake mineralogy.
The Company is progressing a Mise-A-La-Masse geophysical program that is intended to inform a drill program that is scheduled to mobilize in late November.
Tom Yingling, President and CEO states, "I am very pleased to have Progressive Planet partnered with our near-term advancement of our Lac Gueret South discovery. We are determined to advance the project toward a Preliminary Economic Assessment as soon as is practical, and we are thrilled to have the financial support and technical endorsement of PLAN as we prepare to drive the Project forward."
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Edward Lyons PGeo (BC, QC, NL) is a Qualified Person under the definition of Canadian National Instrument 43-101, and has approved the technical information in this news release. Ed has worked extensively on the Lac Gueret Property, now owned by Mason, and neighbouring graphite properties since 2000.
About Progressive Planet: Progressive Planet is a Canadian based mineral exploration company with a flagship Zeolite Mine in British Columbia, a 20% interest in a lithium project in Manitoba and a graphite property in Buckingham, Quebec. PLAN features a strong technical team that recognises promising resource discoveries in the industrial mineral space.
About the Company: Berkwood is engaged in exploration for the commodities that enable the modern revolution in essential technologies. These technologies are dependent upon the ethical mining and supply of naturally occurring elements and minerals that enhance the performance of energy storage systems and permit the development and miniaturization of new electronics and structural components for the new suite of innovative tools. The Company is led by a team with collectively over 100 years experience and whose members have been involved with the discovery of several producing mines.
On Behalf of the Board of Directors
Berkwood Resources Ltd.
President, CEO & Director
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Disclaimer for Forward-Looking Information:
Certain statements in this release are forward-looking statements, which reflect the expectations of management. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions, which may prove to be incorrect.
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