- Firesteel Resources receives $125,000 for the sale of Virimoa property in
Mexico to Chesapeake Gold
Corp.
VANCOUVER,
Oct. 7, 2013 /CNW/ - Firesteel
Resources Inc. ("Firesteel" or the "Company") (TSXV: FTR) today
announced that it has received $125,000 in cash from Chesapeake Gold Corp (TSV-V: CKG) for the sale
of their Virimoa property in Mexico.
In addition, Firesteel has retained a 2.5% net
smelter return royalty, payable on any future production from the
Virimoa property. Chesapeake has the right to purchase 60% of the
royalty, which is the equivalent of 1.5% of the NSR, at a price of
$1,000,000 for as long as the royalty
is in effect.
Mr. Michael
Hepworth, President & CEO stated, "As Firesteel moves
towards our prospect generator business model, we will rationalize
our existing portfolio of properties and focus on acquiring world
class copper porphyries and other high grade precious metals
properties suitable for optioning and joint ventures with strategic
partners. We are actively searching for suitable acquisitions that
meet our requirements."
About the Company
Firesteel is an exploration-stage junior mining
Company engaged in the acquisition and exploration of prospective
precious and base metal properties in Canada and stable jurisdictions around the
world.
Firesteel currently has two highly prospective
properties in British Colombia.
The ROK Coyote property is currently under
option to OZ Exploration a wholly owned subsidiary of OZ Minerals
(ASX:OZE). OZ Exploration has the right to acquire up to 80% of the
property in return for spending $13,000,000 on exploration and providing
$1,500,000 in cash.
Highlights of the ROK Coyote property
include:
- 6,900 Ha, of highly prospective large tonnage targets
with known Cu-Au results
- Historical drilling highlights - 38.37 m @ 1.32% Cu, 1.54 g/t
Au
- Adjacent to Red Chris Mine
development with P&P Reserves of 302
Mt at 0.365 Cu and 0.27 g/t Au (a 28 year mine life at
30,000 tpd) Imperial Metals
The Sheslay property is currently under option
to Prosper Gold. (TSX-V: PGX) Under
this agreement, Prosper has the right to acquire up to 80% of the
property in return for spending $5,000,000 on exploration, providing $1,000,000 in cash and 1,000,000 shares.
Highlights of the Sheslay property include:
- 6,700 Ha property hosts five significant Cu-Au targets within
close proximity with large tonnage, high grade potential.
- Historical drilling highlight - grading 242.3 m @ 0.44% Cu
& 0.32 g/t Au.
- Largest of the targets is 1,800 m by 750 m.
The Company's management and board of directors
have extensive experience in exploration, operations, business and
corporate finance.
The Company's objective is to enhance
shareholder value as a prospect generator by identifying and
securing early-stage exploration opportunities and developing them
to more advanced stages with the help of joint venture
partners.
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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
Advisory Regarding Forward Looking
Statements
This news release contains forward-looking
statements. Users of forward-looking statements are cautioned that
actual results may vary from forward-looking statements contained
herein. Forward-looking statements include, but are not limited to:
expectations, opinions, forecasts, projections and other similar
statements concerning anticipated future events, conditions or
results that are not historical facts. In certain cases,
forward-looking statements can be identified by the use of words
such as "plans", "expects" or "does not expect", "is expected",
"budget", "scheduled", "estimates", "forecasts", "intends",
"anticipates" or "does not anticipate", or "believes", or
variations of such words and phrases or statements that certain
actions, events or results "may", "could", "would", "might" or
"will be taken", "occur" or "be achieved". While the Company has
based these forward-looking statements on its expectations about
future events as at the date those statements were prepared, the
statements are not a guarantee of the Company's future
performance. Although the Company believes that the
expectations reflected in such forward-looking statements are
reasonable, it cannot give any assurance that such expectations
will prove to be correct.
The Company's forward-looking statements are
expressly qualified in their entirety by this cautionary statement
and are made as of the date of this new release. Unless
otherwise required by applicable securities laws, the Company does
not intend nor does it undertake any obligation to update or review
any forward-looking statements to reflect subsequent information,
events, results or circumstances or otherwise.
SOURCE Firesteel Resources Inc.