Global Vanadium Signs Option Agreement FOR Stony Lake East GOLD Project IN Newfoundland and Provides Update ON Desert Eagle Project
2310 - 1177 West Hastings Street │Vancouver, BC │V6E 2K3
TSX-V: GLV
GLOBAL VANADIUM SIGNS OPTION AGREEMENT FOR STONY LAKE EAST GOLD
PROJECT IN NEWFOUNDLAND AND PROVIDES UPDATE ON DESERT EAGLE
PROJECT
July 29, 2020 – Global Vanadium Corp. (GLV: TSX-V) (“Global” or the “Company”). has entered
into an option agreement to acquire up to a 100% interest in the Stony Lake East Gold Project
located in the Grand Falls – Bishops Falls area of the Province of Newfoundland from District
Copper Corp. (“District”). The project is comprised of 8 mineral licenses covering a total of 13,625
hectares.
Global can exercise the Option as to a seventy-five (75%) percent interest in the Property by:
• paying to District the sum of $75,000 within fifteen business days following the date (the
"Approval Date") that this Agreement is accepted for filing by the TSX Venture
Exchange (the "Exchange");
• issuing to District 500,000 fully paid and non-assessable common shares of Global
within fifteen business days following the Approval Date;
• on or before the fifteen (15) month anniversary of the Approval Date, paying to District
the sum of $125,000 and making Exploration Expenditures of not less than $150,000;
• issuing to District 1,200,000 fully paid and non-assessable common shares of Global on
or before the fifteen month anniversary of the Approval Date;
• on or before the second anniversary of the Approval Date, paying to District the sum of
$150,000 and making additional Exploration Expenditures of not less than $250,000 (for
cumulative Exploration Expenditures of $400,000); and
• issuing to District an additional 1,600,000 fully paid and non-assessable common shares
of the Purchaser on or before the second anniversary of the Approval
Date,
Global can exercise the Option as to a further twenty -five (25%) percent interest in the Property
(for a total interest of one-hundred (100%) percent) by: (a) paying to District the sum of $500,000
on or before the third anniversary of the Approval Date; and (b) issuing to District 2,000,000 fully
paid and non-assessable common shares of Global on or before the third anniversary of the
Approval Date (the payment and share issuance in Sections 1.3(a) and (b) being, collectively, the
"25% Exercise Price").
2310 - 1177 West Hastings Street │Vancouver, BC │V6E 2K3
TSX-V: GLV
About the Stony Lake East Project
The Stoney Lake Project is located within the Cape Ray/Valentine Lake structural trend in
Central Newfoundland - Canada’s newest emerging orogenic gold district. The Stony Lake
project covers 27 kilometers of this favourable trend between Sokoman’s Moosehead discovery
to the northeast and the Twilight zone to the southwest. In 2019 District carried out an extensive
field program focused on prospecting, mapping and sampling in the identified target areas and
a property-wide airborne magnetometer and radiometric survey to map bedrock lithologies,
structural features and areas of structurally controlled potassic alteration. The ground field work
covered the northern portion of the property and either expanded kno wn zones of gold
mineralization or identified new areas of highly anomalous to low grade gold mineralization.
The mineralization in each zone remains open along strike.
Significant Results:
• Eight areas of highly anomalous to low grade gold mineralization have been
identified.
• The gold mineralization is hosted in quartz feldspar porphyry, pyrite, and
arsenopyrite bearing reduced sandstone, quartz stockwork, and quartz veins.
• The gold mineralization exhibits arsenic-antimony-molybdenum geochemical
associations with a high gold to silver ratio.
• The gold mineralization is characterized by sericite, silica, ankerite, carbonate, and
chlorite alteration typically as pervasive alteration and envelopes around quartz
stockwork and quartz veins.
• Pyrite and arsenopyrite (1-3% total sulphide) are common to the gold
mineralization in all samples containing greater than 50 parts per billion
(“ppb”) gold.
Interpretation of the results of the 2019 field program suggest that two separate styles of
gold mineralization may occur on the property:
• Widespread low grade (0.5 to 4.0 g/t Au) mineralized quartz- felspar-porphyry,
pyritic sandstone, quartz veins and quartz stockwork as seen exposed in the
Silurian-age Botwood Group sediments; and
• A high- grade gold environment (similar to the adjacent Sokoman Minerals
Moosehead discovery) in the basement rocks below the Botwood sediments.
2310 - 1177 West Hastings Street │Vancouver, BC │V6E 2K3
TSX-V: GLV
The 2019 airborne survey and subsequent interpretation clearly show that the structural trend of
the Sokoman discovery crosse s onto the Stony Lake East property, angling across the northern
part of the property. This appears to be a primary basement structure, with multiple splays off
it. This defines a high priority exploration target in the basement below the Botwood Group.
In addition, the interpretations indicate that the main concentration of zones of gold
mineralization discovered in the Botwood sediments in 2019 is along a NNE structural trend in
the Botwood. Although this is a different trend to that discussed above, the exploration model is
the same, i.e. a major structure with gold bearing fluids emanating from a basement structure
depositing low grade gold mineralization in the Botwood sediments.
Update on Desert Eagle Project
Global Vanadium plans to complete a targeted sampling program focusing on the uranium rich
units on the Desert Eagle Property . Once these target areas have been better defined, Global
Vanadium will identify the highest priority areas an for RC drilling program to delineate the
uranium mineralization known to occur on the Desert Eagle Project.
The Desert Eagle Project is located in Garfield County, Utah, United States. It is comprised of 97
Lode claims for a total of 2,004 Acres. The Desert Eagle Project is host to historic Vanadium and
Uranium production beginning in the early 1900’s and continued erratically and intermittently
until recently . The project is located in the Trachyte district situated to the east of the Henry
Mountains, 95 miles south of Green River, Utah. Until recently practically all production from the
Henry Mountains area came from the Trachyte district.
The Desert Eagle Project can be reached from Green River, Utah via State Highways 24 and 95,
and then by secondary country roads approximately 5km from the highway, or from Blanding,
Utah via State Highway 95. Vanadium and Uranium Ore on the Desert Eagle Project is confined
to the Salt Wash member of the Jurassic Morrison formation. Historic development occurs across
the entire project area with 31 historic mine adits and 21 prospect and prospect pits.
Chris M. Healey, P.Geo., a Qualified Person pursuant to National Instrument 43- 101, Standards
for Disclosure for Mineral Projects, and has reviewed and approved the scientific and technical
information disclosed in this news release.
Global Vanadium Corp.
“Kosta Tsoutsis”
CEO, Director
For further information, please contact:
2310 - 1177 West Hastings Street │Vancouver, BC │V6E 2K3
TSX-V: GLV
Kosta Tsoutsis
Chief Executive Officer and Director
Global Vanadium Corp.
email: [email protected]
Telephone: 604 808-9134
Brian Morrison
Chief Financial Officer and Director
Global Vanadium Corp.
email: [email protected]
telephone: 604 312-6910
The Company is listed on the NEX board of the TSX Venture Exchange.
Neither the 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.
Disclaimer for Forward-Looking Information
Certain statements in this release are forward -looking statements, which reflect the expectat ions of
management regarding Global’s intention to continue to identify potential transactions and make certain
corporate changes and applications. Forward-looking statements consist of statements that are not purely
historical, including any statements regarding beliefs, plans, expectations or intentions regarding the
future. Such statements are subject to risks and uncertainties that may cause act ual results, performance
or developments to differ materially from those contained in the statements. No assurance can be given that
any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits
Global will obtain from them. These forward -looking statements reflect managements’ current views and
are based on certain expectations, estimates and assumptions w hich may prove to be incorrect. A number
of risks and uncertainties could cause actual results to differ materially from those expressed or implied by
the forward-looking statements, including Global’s inability to identify transactions having satisfactory
terms or at all and the results of exploration or review of properties that Global does acquire. These forward-
looking statements are made as of the date of this news release and Global assumes no obligation to update
these forward-looking statements, or to update the reasons why actual results differed from those projected
in the forward-looking statements, except in accordance with applicable securities laws.