*** NEWS OUT ***
CanAlaska acquires interest in South Voisey's Bay project
Cartaway Resources Corporation CWA
Shares issued 31,132,284 Dec 24 close $0.115
Mon 29 Dec 97 News Release
See International Freegold Mineral Dev Inc (ITF) News Release
Mr Harry Barr of International CanAlaska reports
International CanAlaska has signed a letter agreement with International
Freegold Mineral Development and Cartaway Resources covering the
acquisition of interests in certain mineral properties in Labrador,
Newfoundland, specifically claim blocks 3307M (the SVB-1 property) owned by
Cartaway and claim block 5446M (the CAN-12) property owned by
CanAlaska/Freegold.
Cartaway agrees to amend its right to earn a 50% interest (reduced from
60%) in the CAN-12 property as outlined in the September 9 1996 agreement
between the companies. In order to earn a 50% interest Cartaway must spend
$2 million on or before December 31 1999, including on a best efforts basis
a minimum 1,000m of diamond drilling on or before December 31 1998.
CanAlaska can earn a 50% interest in the SVB-1 property by completing a
$100,000 private placement into Cartaway (333,333 units at $0.30, each unit
consisting of one share and a warrant); by exercising $500,000 of Cartaway
warrants on or before May 31 1998; by financing an exploration budget and
program totalling $100,000 and completing a geophysical survey on or before
April 30 1998; and expending $500,000 on the SVB-1 property by December 31
1999. After completion of the initial $100,000 geophysical survey,
CanAlaska will be operator of the SVB-1 project.
The SVB-1 project is southwest of the Donner/Northern Abitibi property,
where recent drilling has returned an intercept of 15.7m assaying an
average grade of 1.13% nickel, .078% copper and .20% cobalt. Earlier this
year, a 1m intercept from the Donner/Northern Abitibi drilling program
returned assays of 11% nickel. Host of the Donner/Northern Abitibi
mineralization is a gabbroic rock type, which preliminary work indicates
extends onto the CanAlaska/Cartaway SVB-1 property.
The SVB-1 property is subject to a 1% nsr owned by a third party. CanAlaska
and Cartaway have agreed to create a new 1% nsr in the definitive agreement
to follow the letter agreement, which 1% nsr will be owned 0.5% by
CanAlaska and 0.5% by Cartaway for a total combined nsr on the SVB-1
property of 2%. |
