No news? You gotta be kiddin'! See the news below that Ed Fenwick (1 800 6653624) emailed me last week. To be on the HGO data base for future email news, give him your email address.
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February 17, 2000
Dear Investor:
RE: NEW DIAMOND DISCOVERY AREA PLAY
Please find enclosed a brief overview regarding our company HAWKEYE GOLD INTERNATIONAL INC (hereinafter referred to as "HAWKEYE").
HAWKEYE recently acquired an interest in the YANKEE Property totaling 90,000 acres strategically situated within the emerging ?Homerun Project? ? Victoria Island Diamond Area Play located on Victoria Island, Nunavut, Canada. World class exploration and mining company?s DiaMet Minerals Ltd. and Monopros (DeBeers) are actively involved in exploration and diamond drilling programs in the immediate area. A total of thirteen diamondiferous kimberlite pipes have been discovered within kilometres of the YANKEE Property. HAWKEYE intends to drill the YANKEE Property this year.
STOCK INFORMATION UPDATE
Shares Listed
Canadian Venture Exchange: Symbol - HGO
Standard & Poor's: Corporate Records
S.E.C. Exemption: 12g3-2(b):82-2435
Capitalization
Authorized Capital: 100,000,000 (shares without par value)
Shares Issued and Outstanding: 3,014,276
DILUTION:
- Director/Employee Stock Options 288,750 (exercisable at $0.20 per share expiring 19/11/2004 )
- Private Placement Warrants 313,250 ($0.20 first & $0.23 second year?expire 14/04/2001)
- Private Placement Warrants 410,000 ($0.20 first & $0.23 second year?expire 01/10/2001)
FULLY DILUTED: 4,026,276
Estimated Float: 700,000
Stock Low / High: $0.04 / $12.00
52 Week Range: $0.04 / $0.80
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THE DEAL:
The Company has the right to earn a 33 1/3% interest in the property by paying staking costs of $54,000 ($50,000 paid), issuing 50,000 shares to the to the optionor within 15 days of Canadian Venture Exchange (CDNX) acceptance of the Option Agreement (issued) and an additional 50,000 shares to the optionor upon completion of the YANKEE property?s phase one exploration program and the filing with and acceptance by the CDNX of an engineering report recommending a further phase of exploration and incurring exploration expenses of approximately $2.00 per acre over the course of the next year. Major General will be operator in respect of the initial exploration program.
In addition, the Company has the right to increase its interest in these claims to 50% and become the operator by issuing another 50,000 shares and incurring additional exploration expenses of approximately $2.00 per acre during each of the two ensuing years.
SUMMATION:
The Yankee Property places HAWKEYE in the middle of an emerging diamond area play with thirteen (13) diamondiferous kimberlite discoveries within kilometers of the property. The Yankee Property is in the same geological setting as these discoveries with approximately 1 kilometre thick sediments overlying the Slave Craton. The kimberlites discovered to date on Victoria Island penetrate through these sediments to surface. For the following reasons, the Company considers the Yankee Property a ?Homerun? opportunity.
YANKEE Property Summary and Kimberlite Potential:
Approximately 90,000 acres.
Property boundary is located within 15 kilometres of Major General ? Ascot - Monopros (DeBeers) diamondiferous kimberlite discovery to the east.
Located within 25 kilometres of Monopros (DeBeers) diamondiferous kimberlite to the north.
To date, 15 kimberlites have been discovered on Victoria Island. Of these, 12 are known to be diamondiferous, results of two recently discovered ones are pending.
Yankee Property is in the same geological setting as these discoveries with approximately 1 kilometre thick sediments overlying the Slave Craton. The kimberlites discovered to date on Victoria Island penetrate through these sediments to surface.
The Slave Craton is also host to the rich Lac de Gras Diamond discoveries.
Remote sensing studies show close relationship between kimberlites and dense intersections of faults and fractures. A very large, strong intersection of such structures occurs in the southwest portion of the Yankee Property.
Remote sensing also outlines the presence of numerous large and small sub-circular structures on and near the Yankee Property. Similar sub-circular structures are evident in the Lac de Gras diamond discovery area.
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Several north-south and northwesterly trending diabase dykes transect the property.
A 400 metre wide bullseye magnetic low anomaly, interpreted to be at a depth of 75 metres, may be a kimberlitic target.
Results of nearby indicator mineral (IM) chemistry indicates that peridotitic and eclogitic mantle rocks, prospective for diamonds, have been sampled by the Victoria Island kimberlites. These IM results also show that the crust is permissive for diamond retention during their transport to surface.
TECHNICAL TEAM:
Operator -(Major General Resources)
Glenn Shevchenko, P.Geo
Bernard H. Kahlert, P.Geo
Geologist
K. Vincent Campbell, Ph.D., P.Geo., F.G.A.C. - remote sensing
Consulting Geologists
Larry Lebel, P.ENG.
Christopher "Kit" Campbell - P.Geo., geophysicist
George Read, geochemist
For further information regarding HAWKEYE GOLD INTERNATIONAL INC. and our YANKEE Property diamond project feel free to contact Corporate Communications at:
Vancouver: 878-1339 (Ed Fenwick)
Toll free: 1-800-665-3624
Web Site: www.hawkeyegold.com
E-mail: haw@hawkeyegold.com
HAWKEYE GOLD INTERNATIONAL INC.
Per:
"Greg Neeld"
President & CEO
This letter shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
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