Cross River Signs Earn-in with Ethos GOLD FOR Fuchsite Lake GOLD Project
CROSS RIVER VENTURES CORP.
Suite 1430, 800 West Pender Street
Vancouver, British Columbia
V6C 2V6
NEWS RELEASE
CROSS RIVER SIGNS EARN-IN WITH ETHOS GOLD
FOR FUCHSITE LAKE GOLD PROJECT
Vancouver, British Columbia, Canada – September 8, 2020 – Cross River Ventures Corp. ( the
“Company” or “Cross River”) (CSE: CRVC) (FWB:C6R) is pleased to announce that it has entered into
a definitive property option agreement (the “ Option Agreement ”) with Ethos Gold Corp. (“Ethos
Gold”) (TSXV: ECC), dated September 8, 2020, pursuant to which the parties intend to cooperate in
the development of the Fuchsite Lake Gold Project (the “Project”), comprising approximately 3,750
hectares located near the town of Armstrong, approximately 300km north of Thunder Bay, Ontario.
The Fuchsite Lake claims represent a new greenfield fault zone gold target that has been overlooked
and under -explored despite reasonable access and favourable rock types and alteration that
commonly accompany large gold discoveries. In addition, t he work program s for Fuchsite will be
managed by the Ethos technical team , led by Rob Carpenter and Jo Price, Vice President of
exploration for Ethos.
Mr. Carpenter is a profession al geoscientist (PGeo) with more than 30 -plus years of corporate and
technical mineral exploration experience. He has founded and played key roles in several successful
junior mining companies including Kaminak Gold Corp. He led the Kaminak team as CEO fro m
inception in 2005 through acquisition, discovery, and maiden resource calculation of the multimillion -
ounce Coffee gold project, Yukon. Kaminak was acquired by Goldcorp in 2016 for over $500 million.
In 2014, the Association of Mining and Exploration for B.C. (AMEBC) awarded him and his team the
Huestis Award for Excellence in Mineral Exploration for the discoveries at Coffee.
Stated Dr. Carpenter: “The Fuchsite Lake claims represent a new greenfield fault zone gold target that
has been overlooked and und er-explored despite reasonable access and favourable rock types and
alteration that commonly accompany large gold discoveries. We look forward to partnering with
Cross River and to starting our work on the project in the next several weeks”
Stated John Fr aser, President & CEO of Cross River: “We’re very pleased to work with Ethos. The
track record of their technical team is obviously impressive, and their involvement and endorsement
of the project was a critical factor in Cross River’s decision to enter t he earn-in agreement. We feel
this project represents an outstanding opportunity at discovery and we’re eager to move forward.”
Under the terms of the Option Agreement, the Company has been granted the right to acquire up to
a sixty percent interest in the Project from Ethos Gold in consideration for completing a series of cash
payments totaling $ 300,000, issuing a total of 2,000,000 common shares (the “ Option Shares”), and
incurring expenditures on the Project of at least $ 1,950,000. The Company is required to make the
cash payments, issue the Option Shares and incur the expenditures, in accordance with the following
schedule in order to maintain the Option Agreement in good standing:
Deadline Cash Payments Option Shares Expenditures
Initial Nil 500,000 Nil
December 31, 2020 Nil Nil $100,000
Year 1 $75,000 500,000 Nil
December 31, 2021 Nil Nil $350,000
Year 2 $75,000 500,000 Nil
December 31, 2022 Nil Nil $750,000
Year 3 $75,000 500,000 Nil
December 31, 2023 Nil Nil $750,000
Year 4 $75,000 Nil Nil
Total $300,000 2,000,000 $1,950,000
Following completion of the required cash payments, issuance of the Option Shares and satisfaction
of the expenditures, the Company will hold a sixty percent interest in the Project, subject a two
percent net smelter returns royalty in favour of Ethos Gold . One-half of the royalty can be acquired
for a one-time cash payment of $1,000,000.
All Option Shares issued to Ethos Gold pursuant to the terms of the Option Agreement will be subject
to a four-month-and-one-day statutory hold period in accordance with applicable securities laws. In
addition, 500,000 common shares of the Company issued to Ethos Gold upon the entering into the
Option Agreement will be subject to a pooling arrangement during which time they may not be sold,
transferred, pledged or otherwise encumbered. One -half of the shares will be released from the
pooling arrangement after six months, with the balance being released six months thereafter.
About the Fuchsite Gold Project
The Fuchsite Lake project comprises approximately 3,750 hectares 20 km north of the town of
Armstrong, Ontario.
The target is Archean shear zone hosted gold within deformed and altered ultramafic (fuchsite
altered) and mafic volcanic rocks. This setting an d rock type association is a major indicator of gold
mineralization in many world-class gold camps in the superior province of Ontario and Quebec.
The prospective shear zones each extend more than 5 km along trend and were first identified by
regional mapping programs in the 1970's by the Ontario government (OGS Report 251). The region,
however, has largely been overlooked by exploration companies. The only recorded work for gold
comprises five short drill holes (all less than 40 m deep) completed on the Le tt occurrence in 1981.
Drill logs detail extensive hydrothermal alteration, brecciation, quartz veining and sulphide
mineralization, however, no assays are available. The Ontario government sampled this outcropping
zone (OGS Report 251) and obtained 1.7 g/ t Au and 1.4 g/t Au from two separate samples. No follow
up work has been recorded in nearly 30 years.
The presence of anomalous gold in outcrop samples within shears suggest a systematic structural and
targeting program on the claim block will help asse ss the gold potential. Initial work will consist of
ground truthing the shear zone model followed by an airborne magnetic survey designed to map out
the structural geometry at the property scale.
Qualified person
The technical content disclosed in this press release was reviewed and approved by Jo Price, PGeo,
MSc, vice-president of exploration of Ethos and a qualified person as defined under National
Instrument 43-101.
About the Company
Cross River is a gold and silver exploration company that is prima rily engaged in the acquisition and
evaluation of precious metals exploration properties. The Company owns an option to acquire a
100% undivided interest in the Tahsis Property, an early -stage gold exploration property located on
Northern Vancouver Island, in the Nanaimo Mining Division, British Columbia. Cross River’s common
shares trade under the symbol “CRVC” on the CSE.
On behalf of the Board of Directors of
CROSS RIVER VENTURES CORP.
Alex Klenman
Director
604-227-6610
The Canadian Securities Exchange has in no way passed upon the merits of the proposed transaction
and has neither approved nor disapproved the contents of this news release. Neither the Canadian
Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain forward -looking state ments. These statements are based on current
expectations and assumptions that are subject to risks and uncertainties. Actual results could differ
materially because of factors discussed in the management discussion and analysis section of our
interim and most recent annual financial statement or other reports and filings with the Canadian
Securities Exchange and applicable Canadian securities regulations. We do not assume any obligation
to update any forward-looking statements, except as required by applicable laws.