EXMIN Resources Inc. announce the signing of the definitive agreement with Canarc Resource Corp. for a joint venture option on a portion of its 45,000 hectare Batopilas project land holdings. A letter agreement was originally signed in September, 2007. EXMIN has received 15,000 Canarc shares and a payment of US$25,000 as part of the agreement.
Canarc can acquire up to a 75% interest in a 791 hectare portion of EXMIN’s Huimayvo concession (hereafter termed the “Santiago Fraction”), which surrounds the 171 hectare Santiago Gold Project, by issuing 15,000 common shares (issued), paying US$25,000 cash to EXMIN after year 1 (paid) and spending up to US$1 million on the project over 5 years. After vesting, Canarc and EXMIN intend to form a joint venture to continue the exploration and development of the Santiago Fraction.
Karl Boltz, Co-founding President, CEO and Director of EXMIN, stated, “We are pleased to finalize the joint venture with Canarc. Exploration work has been delayed due to the spinoff of Caza Gold, but the company is now prepared to aggressively explore the project.”
The exploration target at the Santiago project consists of precious metal bearing epithermal veins within a wider lower grade alteration zone; eight parallel, gold-bearing, quartz-sulfide veins have been identified. Canarc geologists channel sampled three of the eight known veins yielding consistently high grade gold assays, including 30.3 grams per metric ton (g/t) gold over 2.3 metres (m) in the Veta Blanca, 7.0 g/t gold over 5.0 m in the Veta Tajos and 17.7 g/t gold over 2.5 m in the Veta Verde.
One of the prominent alteration zones trends onto the Santiago Fraction being optioned from EXMIN and may represent a high level extension of the high grade gold veins exposed at lower elevations on the Santiago properties. Canarc is undertaking an initial exploration program of geological mapping and rock sampling at the Santiago and newly acquired Santiago Fraction properties in order to delineate targets for drilling.
The Santiago prospect may be related to the regional scale structure that extends northward from the formerly producing Tres Hermanos mine to EXMIN’s 100% owned La Verde prospect. Surface sampling by EXMIN along the structural zone exposed on the La Verde concession has yielded values of as much as 7.65 grams per metric ton (g/t) gold and 4% copper over 3 metres, and 5.67 g/t gold and 5.9% copper over 3.4 metres, as well as locally important silver, zinc and lead values. For more information on the La Verde prospect and the Batopilas land holdings, please see EXMIN’s news release of October 5, 2006.