Eagle Plains Increases Holdings at Chico Gold Project, Saskatchewan
Eagle Plains Increases Holdings at Chico Gold Project, Saskatchewan
Cranbrook, B.C., November 6th, 2017: Eagle Plains Resources Ltd. (TSX-V: “EPL”) has increased
the land position at its 100% -owned, 4,716 ha Chico Gold Project located 125km east of La Ronge,
Saskatchewan and 40km south of SSR Mining’s (formerly Silver Standard Resources ) Seabee Gold
Operation. Aben Resources Ltd. (TSX-V: “ABN”) holds the exclusive right to earn an undivided 80%
interest in the property by compl eting $3.5M in exploration expenditures, issuing 2.5M shares and
making $150,000 in cash payments to Eagle Plains.
Eagle Plains has recently acquired 6 additional mineral dispositions for a total area of 1,799 ha located
adjacent to the original holdings through a combination of staking and the completion of a purchase
agreement with V. Mitchell (an unrelated third -party vendor ) whereby Mr. Mitchell will receive a
combination of $10,000 cash and 100,000 common shares of Eagle Plain at a deemed price of $.1 5 per
share. These specific dispositions will be subject to a 1% NSR which includes a buy-down provision. All
additional tenures are expected to be included in the current option agreement with Aben and therefore
subject to the terms and conditions of that agreement.
As announced on October 23 rd, 2017, Eagle Plains intends to spin -out specific gold exploration
properties in the Seabee/Santoy area to a new publicly-listed entity named Taiga Gold Corp. through a
plan of arrangement expected to be completed i n early 2018. The Chico property is expected to be
included in this package.
Chico Property Highlights and Exploration Activity
Chico property highlights include the presence of a 1.5 km-long mineralized structural corridor which is
confirmed by geophysical surveys, geological mapping and soil geochemical surveys. Sporadic historical
drilling has been completed in the area and has returned high-grade gold intercepts.
Eagle Plains in 2016 contracted TerraLogic Exploration of Cranbrook, B.C. to complete systematic
fieldwork on the property including a 661 line-km airborne magnetometer geophysical survey, mapping,
trenching and soil geochemical surveys . Rock sample s collected along this structural corridor ranged
from trace quantities to 20.2 g/t Au. Soil sample results include numerous highly-anomalous samples
ranging to 4.5 g/t gold. During 2017, Eagle Plains and Aben conducted a detailed Induced Polarization
(“I.P.”) geophysical survey designed to define high -grade gold targets for future drilling activity. This
work resulted in numerous high-priority drill targets being identified.
The overall objective of the 2016 and 2017 programs was to identify mineralization , alteration and
structural features similar to those at the nearby Seabee and Santoy deposits. The Seabee Gold Operation
has been in continuous production since 1991 and has produced 1 .2M ounces of gold from the Seabee
and the Santoy deposits. Ore geology at the Seabee Gold Operation consists of high -grade vein
mineralization associated with shear zones that transect mafic meta -volcanic and intrusive rocks, as well
as granitic rocks emplaced during the regional deformation events impacting the Pine Lake greens tone
belt during the Proterozoic. The Seabee Gold Operation and the Chico Project occur within the Pine
Lake greenstone belt. Mineralization at the Seabee Gold Operation occurs at the Seabee and Santoy
mines, which are located approximately 14kms apart. T he former is affiliated with the more westerly -
oriented Laonil Lake shear zone , while the latter is hosted on a regional north -trending shear zone
associated with the Tabbernor Fault, which has been traced over much of the property. Field and
underground o bservations at the Seabee Gold Operation suggest that shear structures nucleated at
contacts between granodiorite and meta -volcanic lithologies, with high -grade zones forming at minor
flexures.
The Tabbernor Fault is a 1500 km-long regional structure which has been traced from as far north as the
Rabbit Lake uranium mine in northern Saskatchewan to as far south as the Black Hills of South Dakota,
the latter of which hosts the 40M oz Homestake gold deposit . The shared proximity to the Tabbernor
structure and similarities in terms of age and tectonic history to the Homestake and Seabee /Santoy
deposits was the main driving force behind both Eagle Plains’ and Aben’s interest in the Chico property.
Management cautions that past results or discoveries on proximate land are not necessarily indicative of
the results that may be achieved on the subject properties.
Technical aspects of this news release have been reviewed by Jarrod Brown, P.Geo.
About Eagle Plains Resources
Based in Cranbrook, B.C., Eagle Plains continues to conduct research, acquire and explore mineral
projects throughout western Canada. The Company is committed to steadily enhancing shareholder value
by advancing our diverse portfolio of projects toward discovery through collaborative partnersh ips and
development of a highly experienced technical team. Managements’ current focus is to preserve its
treasury while advancing its most promising exploration projects. In addition, Eagle Plains continues to
seek out and secure high -quality, unencumbere d projects through research, staking and strategic
acquisitions. Since 2012, Eagle Plains has added to its portfolio a number of new projects exceeding
130,000 ha targeting mainly gold, uranium and base-metals in Saskatchewan, a highly-prospective mining
jurisdiction which was recently recognized by the Fraser Institute as the second best place in the world in
terms of Investment Attractiveness. Throughout the exp loration process, our mission is to help maintain
prosperous communities by exploring for and discovering resource opportunities while building lasting
relationships through honest and respectful business practices.
Expenditures from 2011 -2017 on Eagle Plains-related projects were approximately $16.5M, which was
funded by Eagle Plains and for the most part, by third -party partners. This exploration work resulted in
approximately 15,000 m of diamond-drilling and extensive ground-based exploration work facilitating the
advancement of numerous projects at various stages of development.
On behalf of the Board of Directors
“Tim J. Termuende”
President and CEO
For further information on EPL, please contact Mike Labach at
1 866 HUNT ORE (486 8673)
Email: [email protected] or visit our website at http://www.eagleplains.com
Cautionary Note Regarding Forward-Looking Statements
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. This news release may contain forward-looking statements including but
not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles,
potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent
risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.