Golden Dory Signs Letter of Intent for the Jackpot Lithium Oxide Property, Ontario
Wed Oct 7, 10:56 AM
ca.news.finance.yahoo.com
Gander, Newfoundland CANADA, October 07, 2009 /FSC/ - Golden Dory Resources Ltd. (GDR - TSX Venture), ("Golden Dory") is pleased to announce that it has signed a Letter of Intent to acquire a 100% interest (subject to a 2% NSR retained by the vendor, 50% of which can be purchased by Golden Dory for $1 million), in the Jackpot lithium oxide (Li2O) property in the Thunder Bay Mining District of Ontario. The 4 claim property is located approximately 150 kilometers northeast of Thunder Bay and is accessible by road.
The property is host to the Jackpot No. 1 and No. 2 deposits of which the No. 2 deposit is reported to host 2 million tons of lithium rich pegmatite averaging 1.08% Li2O*. The No. 1 deposit lies at surface approximately 70 to 100 meters above the gently dipping No.2 deposit, and is reported to host 32,000 tons grading 1% Li2O.*(grades and tonnages are historical in nature and not 43-101 compliant).
The No. 2 deposit strikes about N 65 degrees E and dips 15 degrees-25 degrees NW and has been intersected in drill holes over a minimum strike length of 210 meters and for a minimum distance of 365 meters across strike. The deposit ranges from 4.0 to 19.8 meters thick with an average thickness of 11.0 meters. Historical drill intercepts** include 1.52% Li2O over 35 feet (10.60 meters) from 240 to 275 feet (down hole depth) in drill hole 411, and 1.17% Li2O over 69.5 feet (21.2 meters) from 175.5 to 245.0 feet (down hole depth) in drill hole 407.( Assays have not been verified by Golden Dory). No assaying for rare earth elements or other rare metals was reported in any of the historical exploration results.
The property was worked in 1955 when a total of 32 holes were drilled by Conwest Exploration Company Limited into the Jackpot deposits. The property was subsequently transferred to the Ontario Lithium Company in 1956, but lay dormant until recently staked by local prospectors. The property is subject to a 2% NSR and payments totaling $100,000 cash and 400,000 common shares of Golden Dory over a four year period (subject to TSX Venture Exchange approval). A finders fee of 10,000 Golden Dory shares will be paid to an arms length third party.
Golden Dory plans, subject to the property acquisition, and as part of the ongoing due diligence, to compile all information available in the MNDM files pertaining to historic drilling at Jackpot prior to outlining an aggressive exploration program to refine and expand the historic resources at Jackpot. All future analytical work will include a full suite of analysis for lithium as well as a full complement of rare earth elements and other rare metals.
Kevin Keats, President and CEO states," The Jackpot property fits well with our plans to become a significant lithium and rare metals player. Combined with our high grade Root Lake lithium/rare metal property, Golden Dory is well positioned to capitalize on this market".
About Golden Dory
Golden Dory is focused on gold exploration in Nevada, USA, and gold and uranium exploration in the province of Newfoundland and Labrador, Canada. The company recently announced an option agreement with Reno, Nevada based AuEx Ventures, whereby Golden Dory can acquire a 70% interest in the Pequop South property in Elko County, Nevada. Golden Dory has 100% interests in the Burin intrusion hosted uranium property, the Little Rattling Brook gold property, and the Brady intrusion hosted gold property in central Newfoundland. Golden Dory is earning a 70% interest in the Huxter Lane intrusion hosted gold property and also has a 50% interest in the Sims Ridge Athabasca type uranium property in western Labrador. Golden Dory has recently entered into an agreement to acquire a 100% interest (subject to a 2% NSR) in the Root Lake lithium-rare metals property in northern Ontario. Golden Dory is seeking partners to jointly explore the Burin, Little Rattling Brook and Brady properties.
This news release has been reviewed and approved by Timothy Froude, P. Geo., a "Qualified Person" under National Instrument 43-101. For further information contact Kevin D. Keats, President and CEO of Golden Dory at (709) 256-4201.
* (historical in nature and not 43-101 compliant - the grade and tonnage estimates for the No. 2 deposit was taken from the Ontario Department of Mines, Geological Report No. 31, Georgia Lake Area, by E.G. Pye, 1965; grade and tonnage for the No. 1 deposit obtained from archived MNDM assessment files).
**(Drilling information was obtained from archived files and reports obtained from the Ontario Ministry of Northern Development and Mines (MNDM) in Thunder Bay, Ontario.)
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."
On behalf of the Board of Directors of Golden Dory Resources Corp.
"Kevin Keats" Kevin Keats, President
Investors are cautioned that trading in the securities of the Corporation should be considered highly speculative. The TSX Venture Exchange Inc. has neither approved nor disapproved the contents of this press release. Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Golden Dory will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by Golden Dory.
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