2013-08-15 14:41:19 -
Noram Ventures Signs Letter of Intent with Western Graphite on the Kokanee Flake Graphite Property in the Slocan Mining Division of British Columbia
Drill testing of EM anomaly in 2012 intersected significant graphite mineralization over strike length of 1,200 meters; zone remains open to the N & SW
Vancouver, British Columbia CANADA, August 15, 2013 /FSC/ - Noram Ventures Inc. (NRM - TSX Venture), is pleased to report it has signed a Letter of Intent ("LOI") with Western Graphite Inc. ("Western") to enter into a sub-option and joint venture agreement on the Kokanee flake graphite property (the "Property") located ~50 kilometers (km) northeast of the city of Nelson in the Slocan Mining Division of British Columbia.
Subject to Noram and Western
(the "Parties") completing their respective due diligence and receiving Board and regulatory approvals, the Parties will complete a definitive option and joint venture agreement (the "Agreement") as outlined below:
Grant of Earn-in Option:
Noram has an exclusive option to earn a 100% interest in the Property, with a final payment due in June 2014, and will grant to Western a sub-option (the "Earn-in Option") to earn a 50% interest in the Property. In order to exercise the Earn-in Option and acquire a 50% interest in the Property, Western will be required to complete each of the following earn-in stages (each, an "Earn-in Stage"):
a. Pay to Noram, on or before the 5th business day following receipt of the TSX Venture Exchange approval, the sum of $75,000 payable through the issuance of such number of common shares of Western (the "Western Shares") at a deemed price per Western Share to be mutually agreed upon by the Parties;
b. Fund all costs associated with metallurgical testing on the Property 2012 drill core and surface samples to be completed by SGS Lakefield;
c. Fund the next phase of resource definition drilling to be completed on the Property, and the sample analysis and metallurgical work to be carried out by SGS Lakefield in connection therewith;
d. Fund the preparation of a National Instrument 43-101 compliant resource estimate and technical report in respect of the Property, to be completed by a geological consultant who is independent of the Parties; and
e. Upon completion of the last of the Earn-in Stages set forth in paragraphs (a) through (d) above, pay to Noram the sum of $30,000 as a reimbursement of one-half of the cash payments made by Noram under the Option Agreement between Noram and Bruce Doyle dated June 8, 2012 (the "Kokanee Option Agreement").
Formation of Joint Venture:
Upon completion of all of the Earn-in Stages and provided that Noram has been vested with a 100% right, title and interest in and to the Property pursuant to the terms of the Kokanee Option Agreement, Western will:
a. be deemed to have exercised the Earn-in Option and to have earned a 50% right, title and interest in and to the Property; and
b. form a joint venture with Noram pursuant to the terms of a 50/50 joint venture agreement to be entered into at the relevant time. Such joint venture agreement will provide that the cost of all future exploration expenditures to be undertaken on the Property will be borne equally by the Parties.
In the event that this LOI is not superseded by the Agreement on or before October 21, 2013, or such other date the Parties may agree to, the LOI will terminate.
About the Kokanee Property:
Drill testing of a large EM anomaly in 2012 intersected significant graphite mineralization over a strike length of 1,200 meters (m) with true widths ranging from 60 to 137m and the down-dip depth ranging from 100 to 150m. The strike length of the graphite horizon is open in both directions, and down dip, with potential to add resource along strike approximately 500m to the north and a minimum of 300m to the southwest of the area drilled to date. Using a cut-off of 1% graphite the area drilled shows a potential of 15,000,000 to 22,500,000 tonnes grading 1.65 to 1.80% graphite. It must cautioned that: the potential tonnage and grade is conceptual in nature; there has been insufficient exploration to define a mineral resource; it is uncertain if further exploration will result in discovery of a mineral resource; and a 1% cut-off was selected for the resource estimate based on the current value of flake graphite. See Figure 8a (">)for a plan view map of the potential resource area showing the drill holes completed in 2012 and the holes proposed for 2013.
The Property covers an area of 1,659 hectares and is located ~50km northeast of the city of Nelson on the eastern side of Kootenay Lake in the Slocan Mining Division of British Columbia. Infrastructure for a quarry mining operation is readily accessible in the area, with a paved highway within 2km of the main graphite zone and rail transportation 45km to the south.
John R. Kerr, P.Eng. and Qualified Person as defined in NI 43-101, has reviewed and approved the technical content of this news release on behalf of Noram.
About Noram Ventures Inc.:
Noram Ventures Inc. (TSX-V: NRM) is a Canadian based mineral exploration company with a project generator business model. The Company's strategy is to identify and acquire early-stage properties that offer large-scale resource potential, and create value through the initial drilling and discovery phase. Noram's current portfolio includes four properties in the central Kootenay region of southern British Columbia: the Amazing Grace gold property, the Jumbo flake graphite property, the Kokanee flake graphite property and the Silver Hill molybdenum-galena property.
For further information, please visit www.noramventures.com.
For corporate, media, or investor communications contact:
Greg Lytle, Direct: (604) 839-6946, Email: firstname.lastname@example.org
ON BEHALF OF THE BOARD OF DIRECTORS
s/ "David W. Rees"
President & Director
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding exploration work on the properties and the completion of the Offering. 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. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) a downturn in general economic conditions in North America and internationally, (2) the inherent uncertainties and speculative nature associated with mineral exploration, (3) a decreased demand for minerals, (4) any number of events or causes which may delay or cease exploration and development of the Company's property interests, (5) the risk that the Company does not execute its business plan, (6) inability to finance operations and growth, and (7) other factors beyond the Company's control. These forward-looking statements are made as of the date of this news release and, except as required by law, the Company assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statements.
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Noram Ventures Inc.
12835 Gilden Road, Madeira Park,
BC Canada V0N 2H1
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