BC drilling program -- hmmm!
NEWS RELEASE
October 19, 1999
VSE SYMBOL - "TRR"
tnrvse.com
SEC 12g3-2(b): Exemption #82-4434
CUSIP #872950-10-0 VSE:TRR
New Exploration and Drilling Project Announced
TNR Resources Ltd. ("TNR") has entered into a 50/50 joint venture
with Ivory Oils & Minerals Inc. ("Ivory") to option the 21-unit Ledge
property, located in the Cariboo Mining Division of B.C., from
Lodestone Explorations Ltd. ("Lodestone"). Terms of the option
agreement include issuance to Lodestone a total of 100,000 shares
each from TNR and Ivory and payment of a total of $131,000 over four
years. Recent exploration on the property has identified a large
overburden-covered magnetic anomaly on the order of 5,000 to 22,000
nanoteslas above background, with evidence of conductors within and
peripheral to the anomaly. The intensity of the magnetic anomaly and the
geological similarities to the Craigmont Mine near Merritt are indicative
of the potential for the presence of a significant magnetite bearing
skarn. The Craigmont Mine produced 34 million tons of 1.3% copper
between 1961 and 1982. The presence of gold within the rocks
sampled enhances the significance of this newly discovered target with
grab samples peripheral to the anomaly assaying at 1670 ppb gold.
The Nicola Volcanic belt, in which the property lies, is host to several
world-class copper and copper-gold deposits. Exploration is to
commence immediately and will consist of grid rehabilitation and
expansion to accommodate soil, magnetic and Max-Min
electromagnetic surveys, followed by diamond drilling. This program is
estimated to be completed by the end of November. TNR will be the
operator on this project.
TNR has arranged two non-brokered private placements of 500,000 and
600,000 special warrants at $0.15. The 500,000 special warrant
placement is convertible to one flow-through share and one
non-flow-through share purchase warrant exercisable at $0.15 for a
one-year period. The 600,000 special warrant placement is convertible
to a unit consisting of one share and one share purchase warrant,
exercisable for a one year period at $0.15. The special warrants can be
converted upon the Company obtaining a receipt of its Annual
Information Circular. The proceeds of this placement will be used to pay
the Company's portion of the initial exploration program and for general
corporate purposes. A finder's fee is payable with respect to the
property acquisition. These transactions are subject to regulatory
approval.
The Company also would like to announce that, with the start of the
Andean exploration season in Argentina, representatives from three
major North American mining firms are visiting TNR's Valle Del Cura
and Cañada Honda concessions, with the prospect of forming
joint-venture partnerships. TNR conducted an intensive geophysical,
geological, and drilling program earlier this year on the La Ortiga
concession, located approximately 12 km east of the very richly
mineralized Amable Zone of the Veladero Project now owned by
Homestake Mining Co. (60%) and Barrick Gold Corp. (40%). Results of
this program warrant further drilling and exploration.
ON BEHALF OF THE BOARD
Gary Schellenberg,
President
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adequacy or accuracy of this news release. |
