Gunpoint Regains 100% Controlling Interest in Talapoosa
Gunpoint Regains 100% Controlling Interest in Talapoosa
Vancouver, British Columbia--(Newsfile Corp. - April 3, 2018) -
Gunpoint Exploration Ltd. (TSXV: GUN) ("Gunpoint" or the
"Company") reports that Timberline Resources Corporation
(TSXV: TBR) (OTCQB: TLRS) ("Timberline") has not made the
US$2 million Talapoosa option payment due March 31, 2018 to Gunpoint (see news release dated October 20, 2016).
Accordingly, Timberline's option to acquire the Talapoosa gold project ("Talapoosa") has terminated and 100% ownership of
Talapoosa has reverted to Gunpoint. During the past three years, Gunpoint has received from Timberline US$1.3 million and 3
million common shares under the option agreement.
Talapoosa is located in Lyon County, Nevada. A technical report prepared for Timberline by WSP Canada Inc. ("WSP") dated
March 24, 2015, titled, "Technical Report and Resource Estimate on the Talapoosa Project, Nevada" ("Resource Report")
estimated a Measure and Indicated Resource of 28.4 million tonnes at an average grade of 1.11 g/t gold and 14.97 g/t silver for
a total of 1.01 million ounces gold and 13.65 million ounces silver.
In the Inferred Resource category, an additional 10.1 tonnes
are estimated with a grade of 0.72 g/t gold and 6.65 g/t silver for a total of 233,532 ounces gold and 2.17 million ounces silver.
In April 27, 2015, WSP completed a Preliminary Economic Assessment ("PEA") for Timberline with US$1,150/oz gold and
US$16/oz silver as the base case assumptions. The PEA envisioned Talapoosa as an open pit, heap leach gold operation and
demonstrated robust project economics with an after-tax NPV (5% discount rate) of US$136 million and a 39% IRR.
Initial
capital cost estimate was US$51 million based on
average annual production of 55,000 ounces of gold and 679,000 ounces of
silver over a 11 year mine life.
The Resource Report and the PEA have both been filed on SEDAR by Timberline. Gary Parkison, CPG, a qualified person, has
reviewed the Resource Report and the PEA on behalf of the Company. To the best of the Company's knowledge, information
and belief, there is no new material scientific or technical information that would make the disclosure of the mineral resources or
results of the PEA inaccurate or misleading.
About
Gunpoint Exploration Ltd
.
Gunpoint owns the Talapoosa gold project in Nevada. In Mexico, Gunpoint owns the La Cecilia gold project in Sonora State
which Riverside Resources Inc. can acquire a 100% interest by making $250,000 in cash payments and issuing 1.0 million
common shares. Gunpoint also owns a 100% interest in the La Gitana gold project in Oaxaca state and the El Escorpion gold-
silver project in Guatemala. The El Escorpion project is located 7 kilometres southwest and along trend of Tahoe Resources
Inc.'s Escobal mine. Tahoe's Escobal land package surrounds Gunpoint's El Escorpion project.
For more information on Gunpoint, please contact investor relations at (604) 731-1094.
GUNPOINT EXPLORATION LTD.
"P. Randy Reifel"
P. Randy Reifel
President
This news release contains forward-looking statements relating to the future plans and objectives of the Company,
estimates
of resources
and a preliminary economic assessment at the Talapoosa property
and other statements that are not historical
facts, all of which are
subject to various risks and uncertainties. The Company's actual results, programs and financial
position
and estimates
could differ materially
from those anticipated in such forward-looking statements as a result of
numerous factors, some of which may be beyond the
Company's control. These factors include: the
availability of funds; the
financial position of
the Company
; the timing and content of work programs; the results of exploration
activities and
development of mineral properties; the interpretation of drilling results and other geological data; the reliability of
calculation
of mineral resources; the reliability of calculation of precious metal recoveries; the receipt and security of mineral
property
titles; unanticipated costs and expenses; fluctuations in metal prices; currency fluctuations;
and general market and industry
conditions.
Forward-looking statements are based on the expectations and opinions of the Company's management on the date the
statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the
time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on 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.