Eureka Acquires Additional Claim Block in Klondike
Eureka Acquires Additional Claim Block in Klondike
VANCOUVER, Jan. 12, 2017 /CNW/ Eureka Resources Inc. ("Eureka" or the "Company") (TSXV: EUK) is pleased to
announce acquisition of 82 claims, or the "Claims") located in Klondike Gold Fields in the Yukon Territory. The TAK Property
consists of a contiguous block of 82 claims covering an approximate area of 1695 hectares within the Dawson Mining Division.
The property is located 5 km north of the Yukon River and approximately 20km North East of Goldcorp's Coffee project which is
120km south of Dawson City.
Eureka has entered into an agreement with a staking syndicate (the "Vendors") whereby Eureka will purchase a 100% interest
in the Claims by issuing 500,000 common shares. The Vendors have agreed to a voluntary pooling arrangement whereby the
common shares will be released as follows:
Term # of Shares
At Closing (subject to 4 month hold) 125,000 shares
6 months from closing 125,000 shares
12 months from closing 125,000 shares
18 months from closing 125,000 shares
Eureka will grant the Vendors a 2% NSR royalty for gold produced from the Properties, half of which may be purchased for one
million dollars.
Placer gold mining in the Klondike area has been active since the late 1890's Yukon Gold Rush. Bedrock exploration
commenced in the area in the late 1950's attempting to source placer gold, and became active in the 1970s, with the
development of the Casino porphyry deposit.
Mineralization in the district are gold, silver, copper and molybdenum porphyry deposits (Casino), mineralized breccia deposits
(Coffee), and lode and stockwork veins (Golden Saddle). All three styles of mineralization have been identified near the Ophir,
Sheba and Hav properties. Placer mining has produced gold from creeks draining the Project area, however, there is no
documented history of bedrock exploration.
"This acquisition adds to our Yukon holdings upon which we intend to commence exploration in the second calendar quarter of
2017," stated Mike Sweatman, President and CEO of Eureka.
The transaction is subject to TSXV approval.
ABOUT EUREKA
Gold projects include the FG property in the Cariboo area of central British Columbia having an indicated resource of 376,000
ounces of gold and an inferred resource of 634,900 ounces of gold and the Gold Creek gold property in the gold belt of the
Company's FG project. The FG project is an advanced stage gold project, currently under option to Canarc Resource Corp.
The Gold Creek property is a grassroots project located next to and with similar geology to Spanish Mountain.
Eureka has recently concluded an agreement to earn interest in the Luxor project in the famous and very active Dawson Range
Gold belt of western Yukon Territory.
Eureka owns a 50% interest in the Gemini lithium brine project located in the Lida Valley, approximately 40 km (26 miles) south
of the Clayton Valley, which contains North America's only producing lithium deposit. Drilling is anticipated to commence in
early 2017.
John R. Kerr, P.Eng., is the Company's designated Qualified Person for this news release within the meaning of NI 43
101 and has reviewed and approved the technical information described in this news release.
Cautionary Statement Regarding ForwardLooking Information
This news release includes certain "forwardlooking statements" under applicable Canadian securities legislation that are not
historical facts. Forwardlooking statements involve risks, uncertainties, and other factors that could cause actual results,
performance, prospects, and opportunities to differ materially from those expressed or implied by such forwardlooking
statements. Forwardlooking statements in this news release include, but are not limited to, statements with respect to the
Company's proposed financings, objectives, goals and future exploration plans at the Gemini Project and the FG Project, the
costs related to the Company's proposed exploration programs, and the business and operations of the Company. Forward
looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable, are
subject to known and unknown risks, uncertainties and other factors which may cause actual results and future events to differ
materially from those expressed or implied by such forwardlooking statements. Such factors include, but are not limited to:
general business, economic and social uncertainties; litigation, legislative, environmental and other judicial, regulatory, political
and competitive developments; delay or failure to receive board or regulatory approvals; those additional risks set out in the
Company's public documents filed on SEDAR at www.sedar.com; and other matters discussed in this news release. Although
the Company believes that the assumptions and factors used in preparing the forwardlooking statements are reasonable,
undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no
assurance can be given that such events will occur in the disclosed time frames or at all. Except where required by law, the
Company disclaims any intention or obligation to update or revise any forwardlooking statement, whether as a result of new
information, future events, or otherwise.
SOURCE Eureka Resources, Inc.
%SEDAR: 00005837E
For further information: Further information on Eureka can be found on the Company's website at
www.eurekaresourcesinc.com and at www.sedar.com, or by contacting Michael Sweatman, President and CEO, or Bob
Ferguson by email at [email protected] or by telephone at (604) 4492273.
CO: Eureka Resources, Inc.
CNW 03:01e 12JAN17