Torch Signs LOI to Option 75% of Crown Grants & Nahmint Property
Mon Jan 19, 9:00 AM
ca.news.finance.yahoo.com
CALGARY, ALBERTA--(Marketwire - Jan. 19, 2009) - Torch River Resources Ltd. ("Torch" or the "Corporation") (TSX VENTURE: TCR.V) (FRANKFURT: WNF.F) (PINK SHEETS: TORVF.PK) is pleased to announce that it has signed a letter of intent (the "Letter of Intent") under which Torch may earn a 75% interest in the 14 Crown grants and 18 cell mineral claims known as the Nahmint property (the "Nahmint Property"), located in the Alberni Mining District on Vancouver Island, B.C. Torch intends to enter into a definitive agreement for the Nahmint Property (the "Nahmint Option Agreement"), subject to obtaining the approval of the TSX Venture Exchange.
Terms of the Letter of Intent
Under the terms of the Letter of Intent, Torch shall earn a 75% interest in the Nahmint Property by paying the vendors $351,000 over 5 years, spending $1,350,000 on work programs on the Nahmint Property over 5 years and issuing 10 million shares to the vendors over 5 years. Under the terms of the Letter of Intent, the Nahmint Property is subject to a 2% NSR of which 1% can be purchased by Torch for $1,000,000. Torch shall be the operator for the projects conducted on the Nahmint Property.
The Nahmint Property
The two groups of: (i) 14 Crown granted mineral claims comprised of the Three Jays group of eight crown grants and the Monitor group of six crown grants; and (ii) the surrounding 18 cell staked claims are collectively known as the Nahmint Property. The Nahmint Property is at tidewater on the Alberni Canal approximately 25 km. south-south-west of Port Alberni on Vancouver Island British Columbia.
The Nahmint Property geology consists of a flat-lying sequence of layered rocks of Triassic to Jurassic age, including Karmutsen volcanics, Quatsino limestone, Parsons Bay formation and Lemare Lake volcanics. These layered rocks have been intruded from the southeast by a large batholith of the island intrusive suite of granodiroite. Steeply dipping, northwest-trending faults have deformed and offset the layered and intrusive rocks both vertically and horizontally. This represents an ideal setting on Vancouver Island for porphyry copper-gold-molybdenum and related copper, iron and gold skarn deposits.
The property hosted three past producers. The Monitor Mine operated from 1900 - 1902 and from 1916 - 1918 and produced 1,288 tons averaging 9.09% copper, .05 g/t gold and 28.8 g/t silver. The Sunshine Mine shipped 5 tonnes in 1916 averaging 17.4% copper and 43.6 g/t silver. The Three Jays Mine operated from 1898 -1902 and produced 1,981 tonnes of direct shipping ore averaging 7.5% copper, .97 g/t gold and 38 g/t silver with several stockpiles of mineralized material remaining on surface. The Three Jays Mine was developed over a vertical distance of 750 feet and a horizontal distance of 1500 feet on three separate levels.
Past production was undertaken when sophisticated exploration tools were not available. The Nahmint Property has not been drill tested.
Geological Evaluation
Prior to entering into the Letter of Intent, Torch completed its geological evaluation of Three Jays (BC Minfile 092F 140) copper-silver-gold bearing mineralization. The following assay (for Cu) and geochemical analysis (for Ag and Au) results are listed in the following table:
----------------------------------------------------------------------------
Sample # alteration minerals comments width
(m)
----------------------------------------------------------------------------
TJ08AR2 skarn, cpy.,py sub-crop near 0.15
epidote, bornite shaft
garnet,
actinolite
----------------------------------------------------------------------------
TJ08AR3 skarn, cpy.,py shaft dump float
epidote, bornite grab
garnet,
actinolite
----------------------------------------------------------------------------
TJ08AR4 skarn, cpy.,py 345 degree 1.0
epidote, magnetite adit
garnet, (hangingwall)
actinolite
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Sample # elevation lithology % g/t g/t
(m) Cu(2) Ag(1) Au(1)
----------------------------------------------------------------------------
TJ08AR2 576 marble 7.20 17.4 0.02
----------------------------------------------------------------------------
TJ08AR3 600 marble 2.03 22.0 0.25
----------------------------------------------------------------------------
TJ08AR4 544 marble 3.12 36.0 0.19
----------------------------------------------------------------------------
(2) Assay
(1) Geochemical Analysis by Pioneer Labs, Richmond, BC (lab report 2082062)
The mineralization consists of chalcopyrite, magnetite, bornite, and pyrite in a gangue of epidote, garnet and actinolite. Historic mining took place on the Three Jays mining property in 1898 to 1902 and a total 1,100 m (3,608 feet) of cross-cut and drifts were driven from 3 levels (see attached map). The mining operation produced 148,889 kilograms (328,244.1 pounds) of copper, 75,207 grams (2,417.96 troy ounces) silver, and 1,929 grams (62.018 troy ounces) gold (source: Minfile). Skarn type mineralization is known to occur as individual ore shoots from 2-8.5 meters (6.6-27.9 feet) wide and 20-45 meters (65.6-147.6 feet) in length and is hosted in Quatsino limestone and tuffs/flows of the Karmutsen Formation. The ore shoots strike E-W and dip sub-vertical and occur in several areas of the crown grant claims covering a distance of 1,500 meters (4,920 feet). In addition to skarn mineralization, disseminated mineralization is known to occur in the adjacent intrusive and volcanic rocks. The intrusive rocks nearby are Early Middle Jurassic Plutonic Suite and include granodiorite and diorite porphyry lithologies. Investigation of additional skarn and possible porphyry type Cu-Ag-Au bearing mineralization is planned for future appraisal of the Three Jays mining property.
Andris Kikauka, P.Geo for the purposes of NI 43-101, fulfills the requirements of "qualified person".
Torch is a company listed and trading on the TSX Venture Exchange, symbol: TCR.
For all Torch River investor relations needs, investors are asked to visit the Torch River IR Hub at agoracom.com where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to tcr@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.
Neither 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.
Contacts
William E. Pfaffenberger
Torch River Resources Ltd.
President
(403) 444-6888
Website: www.torchriver.ca
Local Vancouver: (604) 541-1995 or Toll Free: 1-800-540-1995
ProActive Communications Co. |
