Big Valley Resources Inc -
Big Valley arranges financing; exploration activities
Big Valley Resources Inc
BV
Shares issued 19,174,310
1999-01-26 close $0.3
Wednesday Jan 27 1999
Mr. Lloyd Tattersall reports
The company will carry out a non-brokered private placement of up to 1,500,000
units. The purchase price of the units will be 25 cents and each unit will consist of
one share and one warrant. Each warrant will entitle the holder to purchase one
additional share at 35 cents within a two year period. Proceeds from the sale of
the units, the bulk of which has already been received by the company, will be
used as general working capital and to finance exploration work on the company's
B.C. mineral properties.
In late 1998, the company carried out a geochemical soil sampling program on the
Hugger 7 and 8 mineral claims approximately 65 kilometres northeast of Williams
Lake, B.C. A total of 682 samples was collected. The soil grid was located to
cover an area underlain by two small intrusive plugs as well as a known gold
showing. The geology underlying the Hugger claims is the same Triassic
volcanic-sedimentary assemblage that underlies Kinross Gold Corp.'s QR gold
mine. The Hugger claim block adjoins the QR property to the immediate south
and west.
Results from the geochemical soil sampling are encouraging with the identification
of a number of widely spaced small copper anomalies (+250 parts per million).
The central part of the grid contains the best concentration of +100 ppm copper
values. The north-central part of the grid contains an anomalous area (700 metres
x 200 metres) with consistent +30 parts per billion gold values, the highest value
being 945 ppb gold. Additional sampling to the north is required in order to locate
the limits of the anomalous area.
The company has entered into a placer claim purchase agreement dated Jan. 15,
1999 under which it can acquire a 100 per cent interest in two placer claims. The
two placer claims cover the old Priority placer property and overlie a portion of
the company's Calm 4 mineral claim. The purchase price will consist of 300,000
company shares and will be paid to an arm's length third party.
The placer claims cover a major tertiary river channel, which through past drilling
and testwork as documented by engineering reports, is of substantial size and
contains significant placer gold concentrations. In addition, the tertiary river
channel overlies the intrusive body within which the known copper-gold showing
is found. The company has acquired the placer claims in order to secure
unrestricted access to the mineral claims underlying the placer claims. Subject to
reserving priority access and bedrock mining rights, the company intends to sell
the two placer claims as part of a larger placer claim package currently held by the
company. Management believes that the inclusion of the two recently acquired
placer claims will significantly enhance the market value of the entire placer claim
package.
Further to news in Stockwatch Nov. 26, 1998, the financing of the wood
hardening and veneer business is proceeding on a private basis. The company will
be reimbursed in the amount of $1-million (Canadian) upon closing of the
financing. The company is not a party to the continuing financing and will not be
involved in the wood hardening and veneer business once the financing is
completed.
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