2014-02-27 15:07:45 -
Toronto, Ontario CANADA, February 27, 2014 /FSC/ - PJX Resources Inc. (PJX - TSX Venture), ("PJX" or the "Company") is pleased to announce that the Company has completed a Purchase and Sale Agreement (the "Purchase Agreement") with Klondike Gold Corp. ("KG") to acquire a 100% interest in the Vine Extension property (the "Property") located in Cranbrook, British Columbia, that was initially under option to PJX.
The Vine Extension claims will be merged with PJX's adjacent Vine Property. The expanded Vine Property will be over 8,000 hectares in size. Property highlights include:
* The Vine Property has gold, silver, zinc, lead, and copper in a mineralized vein structure tested by over 50 historical drill holes. The mineralization appears to be open
along strike and at depth.
* The Property also has favourable geology with potential to host bedded massive sulphide mineralization (zinc, lead and silver) similar in style to Teck-Cominco's former 150 million tonne Sullivan deposit located 35 km to the north.
* Permitting is underway to drill a large positive gravity anomaly that may represent bedded massive sulphides. Two historical holes, drilled by previous operators in the 1990's on the Vine Property, intersected bedded massive sulphides at depths of about 750 metres on the edge of the gravity anomaly. No other holes have been drilled to that depth in the anomaly area.
* Highway 3, secondary roads, power lines and a rail line cross the property.
The Vine Extension Property was initially optioned to PJX from KG, under an Option Agreement dated April 26, 2012, which allowed PJX to earn up to a 50% interest in the Property by spending $1.5 million on exploration work and making share payments of 200,000 common shares over a 5 year period. Under the Purchase Agreement, which replaces the Option Agreement, PJX will not have to complete the remaining $1.4 million on exploration work or pay the 200,000 shares (none paid to date). PJX has purchased full ownership of the Property by issuing 700,000 common shares ("Shares") to KG. In addition to receiving the Shares, KG retains a royalty equal to 1 percent of net smelter returns from minerals produced from claims comprising the Vine Extension Property.
KG has agreed to vote with PJX Management and Board for a period of 2 years from the closing date. If, at any time for a period of 1 year from the closing date, KG wishes to assign, sell or transfer the Shares, KG must notify PJX and PJX will have the opportunity to arrange for the sale of the Shares on terms not less favourable to KG than the terms contained in the notice provided by KG.
The Purchase Agreement is subject to compliance with applicable securities laws and to receipt of the approval of the TSX Venture Exchange.
"This is a great opportunity and important milestone for PJX", states John Keating, President of PJX. "We now have 100% ownership of all our Properties in the Cranbrook area with no contractual liabilities, work commitments or option payments. PJX will be able to focus resources on priority targets and realize the full upside potential of the many gold and base metal showings on the Properties."
About PJX Resources Inc.
PJX is a mineral exploration company focused on building shareholder value and community opportunity through the exploration and development of mineral resources with a focus on gold. PJX's primary properties are located in the historical mining area of Cranbrook and Kimberley, British Columbia. Please refer to our web site www.pjxresources.com
for additional information.
FOR FURTHER INFORMATION PLEASE CONTACT:
Linda Brennan, Chief Financial Officer
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.
This News Release contains forward-looking statements. Forward looking statements are statements which relate to future events. Forward-looking statements include, but are not limited to, statements with respect to exploration results, the success of exploration activities, mine development prospects, completion of economic assessments, and future gold production. In some cases, you can identify forward-looking statements by terminology such as "may", "appears to", "should", "expects", "plans", "anticipates", believes", "estimates", "predicts", "potential", or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our actual results, level of activity, performance or achievements to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking-statements.
Although PJX has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
To view the press release as a PDF, please click on the following link:
Source: PJX Resources Inc. (TSX-V: PJX)
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