Eagle Plains/Rex Resources Execute Option Agreement on Kalum Gold Property, Golden Triangle Region, BC
Eagle Plains/Rex Resources Execute Option Agreement on Kalum
Gold Property, Golden Triangle Region, BC
Cranbrook, B.C., August 13th, 2020 : Eagle Plains Resources (TSX -V:EPL), (“EPL”) and Rex
Resources Corp. (a private B.C. company), (“Rex”) announce that the companies have entered into a
formal option agreement whereby Rex may earn an undivided 60% interest in Eagle Plains’ 100% owned
Kalum Property located approximately 35 k m northwest of Terrace, British Columbia in the Skeena
Mining Division . Under terms of the agreement, Rex will complete exploration expenditures of
$3,000,000, make cash payments of $500,000 and issue 1,000,000 common shares to EPL over a four
year period.
Property Geology
The 1,600 ha p roperty is flanked by a large intrusive stock that has intruded sedimentary rocks of the
Bowser Lake Group. A number of high-grade, vein-type gold and silver occurrences are associated with
the contact zone and magnetic signature of the intrusive stock.
Property History
Eagle Plains acquired the property in 2003 and completed significant exploration programs on the
property in 2003 and 2004. The programs included a VTEM airborne survey, extensive geochemical
programs, geologic mapping, and a 19-hole diamond drill program. The best drill results from this work
included drill-hole KRC04001, drilled at the Rico showing (discovered by Eagle Plains), which returned
35g/t Au over 2.5m from 101.8m to 104.3m; including a 0.5m interval that assayed 107g/t Au .
Historical sampling at the Chris occurrence reported a grab sample of 158 g/t Au and 5,536 g/t Ag.
Management cautions that r ock grab samples are selective samples by nature and as such are not
necessarily representative of the mineralization hosted across the property.
The property area has seen exploration activity by various operators over the years, with the latest work
carried out in 2012 by Clemson Resources, who drilled a single hole to test for high-grade mineralization
in an area outside of present claim boundaries
All work to date continues to support the interpreted potential for the Kalum Property to host both high
grade gold-silver deposits and lower-grade bulk-tonnage type gold mineralization.
Work is expected to commence during 2020 Q3 to further define targets for drill-testing during the
2021 season.
Charles C. Downie, P.Geo., a “qualified person” for the purposes of National Instrument 43-101 - Standards
of Disclosure for Mineral Projects and a director of Eagle Plains, has prepared, reviewed, and approved the
scientific and technical disclosure in the news release.
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 st eadily enhancing shareholder value by
advancing our diverse portfolio of projects toward discovery through collaborative partnerships 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, unencumbered 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 one of the top 3 jurisdictions in the
world in terms of I nvestment Attractiveness. Throughout the exploration 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 2011-2019 on Eagle Plains-related projects exceed $20M, most of which was funded
by third-party partners. This exploration work resulted in approximately 30,000 m of diamond-drilling and
extensive ground-based exploration work facil itating 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.