Valterra and Riverside Execute Definitive Agreement on Swift Katie Option; Outline Exploration Plans
April 3, 2014
Valterra Resource Corporation (“Valterra”) (VQA-TSX.V) reported today that it has executed a Definitive Option Agreement with Riverside Resources (BC) Inc. (“Riverside”) for exploration and development of the Swift Katie Project in southeast British Columbia. This agreement will be undertaken as part of Riverside’s exploration alliance (the “Alliance”) with a wholly-owned subsidiary of Antofagasta plc. Swift Katie is an 80km² advanced copper-gold-silver porphyry property located seven kilometres southwest of the town of Salmo, BC, in the Nelson Mining District. The Property has approximately 80 drill holes, completed between 1987 and 2010 of which the majority were drilled to define the Katie copper-gold porphyry deposit; the Katie deposit to date has been tested over a 2.5km by 1.5km area but remains open in several directions.
An initial $600,000 has been budgeted for a summer 2014 exploration program, which will include mapping, prospecting, soil sampling and follow-up diamond drill testing of highly prospective areas within a 3km by 11km corridor of favourable geology, geochemistry and geophysics. The program will be designed to evaluate, delineate and test copper-gold porphyry targets outside historically defined zones. Encouraging results obtained from due diligence work completed by Riverside in the fall of 2013 identified a new, high priority target 2km south of the historically defined Katie copper-gold porphyry deposit. The newly identified “Swift” porphyry target is characterized by a 2km by 2km multi-element soil anomaly underlain by a favourable geophysical signature; this forested area has limited outcrop but porphyritic intrusive rocks and altered volcanic rocks were recognized by Riverside geologists within and adjacent to the target area. The program will aim to discover through drilling and geochemistry on new areas of copper-porphyry mineralization moving towards an aggressive Year 2 exploration program in 2015.
Under the terms of the Option, the Alliance can acquire an 80% interest in the Property by incurring cumulative exploration expenditures of $5 million over a 4 year period at which time it will have earned its interest in the Project to be further developed as a joint venture with Valterra holding the remaining 20% interest.
For complete agreement details please view Valterra’s press release dated October 31, 2013.
Swift Katie Property Details
The Property is underlain by the prolific Quesnel Terrane, within a geologically favourable and highly metallogenic area of British Columbia that historically has hosted several important mining camps. Three mineral showings are located within the property and for many years were explored separately in claims with different ownership; the claims were amalgamated into a single property for the first time under Valterra. There have been numerous geological, geochemical and geophysical surveys completed on the property with some of the most significant work funded by subsidiaries of Noranda and Falconbridge in the 1980s-90s. These programs identified several exploration targets, with the most advanced prospect being the Katie deposit, an alkalic copper-gold porphyry deposit which has been tested by 71 shallow drillholes to date and remains open in several directions. Historic drilling at the Katie occurrence covers an approximately 2.5km x 1.75km area with several untested soil, IP, magnetic and resistivity anomalies in close proximity to known mineralization.
At a district scale, the property covers an 11km by 3km trend, as seen in airborne magnetics, that remains virtually unexplored (outside of the Katie occurrence) for copper-porphyry targets to date and represents significant exploration upside and potential for new discoveries. The Property is located in an infrastructure-rich area of southern BC (roads, rail, power, and proximity to the Trail smelter), where a milder climate allows for a long field season, extensive road networks allow for low-cost exploration, and is situated in a favourable region of the province that has a strong community of knowledgeable and experienced people on which to draw.
President Lawrence Page commented, “as a junior exploration company we developed Swift Katie to a point where it may be further developed utilizing the experience and financial capability of the Riverside exploration alliance while our Company focuses its efforts on development of our Bobcaygeon Graphite property in Ontario to become a significant force in the Graphite sector”
About Valterra Resource Corporation
Valterra is a Manex Resource Group Company. The group provides expertise in exploration, administration, and corporate development services for Valterra’s mineral properties located in British Columbia and Ontario. Valterra is focused on early stage properties with the potential to host large deposits, in regions with excellent infrastructure. Over the last several years, Valterra has acquired and is exploring several key projects including”, “Swift Katie” and “Bobcaygeon” which are located near roads, rail, power, and resource communities in Canada.
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Robert Macdonald, MSc., P.Geo., is the Qualified Person responsible for reviewing the technical information presented in this release.
On behalf of the Board of Directors,
Lawrence Page Q.C., President, Valterra Resource Corporation
For further information, please visit Valterra’s website at valterraresource.com or contact Valterra at1.888.456.1112 or 604.684.9384 or by email at firstname.lastname@example.org.
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This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. These statements are based on a number of assumptions, including, but not limited to, assumptions regarding general economic conditions, interest rates, commodity markets, regulatory and governmental approvals for Valterra Resource Corporation’s projects, and the availability of financing for Valterra Resource Corporation’s development projects on reasonable terms. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, the timing and receipt of government and regulatory approvals, and continued availability of capital and financing and general economic, market or business conditions. Valterra Resource Corporation does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.
This News Release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Valterra Resource Corporation relies upon litigation protection for forward looking statements.