Manicouagan to Acquire an Aluminous Clay / Rare Earth Prospect in the Gaspe Region of Quebec
MANICOUAGAN MINERALS INC.
Suite 501, 133 Richmond Street West Toronto, Ontario M5H 2L3 (416) 542 – 3980
News Release
MANICOUAGAN TO ACQUIRE AN ALUMINOUS CLAY / RARE EARTH PROSPECT IN THE GASPE REGION OF QUEBEC
TORONTO, February 7, 2012 - Manicouagan Minerals Inc. (TSXV – MAM) is pleased to announce that it has signed an Option Agreement to acquire a 100% interest in 114 mining claims prospective for Aluminous Clay and Rare Earths in the Gaspé Region of Quebec. The eastern block of 102 claims is adjacent to Orbite Aluminae Inc.’s (“Orbite”) Grande-Vallée property and on strike with its Marin deposit. The remaining claims are on strike to the west of Orbite’s property.
These new claims will form the Company’s Cloridorme property. The claims cover approximately 17 kms of the favourable argillite formation that hosts the Marin deposit. The boundary of the eastern Cloridorme block is approximately 1 km from Orbite’s Marin deposit. Orbite filed a Preliminary Economic Assessment on its Metallurgical Grade Alumina Project in early January.
Terms of the agreement are:
- An initial payment of $50,000 and 1.5 million shares;
- $50,000 and 1.5 million shares by October 30, 2012;
- $400,000 on or before October 30, 2013. Manicouagan has the option to pay up to $300,000 of this amount in common shares. The price per share will be based on the volume weighted average trading price for the 10 trading days immediately preceding October 30, 2013;
- Complete $200,000 of exploration on the property prior to October 30, 2012.
Upon completion of the option to earn a 100% interest in the claims, Manicouagan will grant the optionor a royalty, equivalent to a 2% net smelter return (“NSR”). Manicouagan has the right to purchase 100% of the NSR at any time for $1 million.
Manicouagan’s Interim CEO, Brian Carter, stated: "Manicouagan is very excited about this new opportunity. Orbite Aluminae has been very successful in developing a very large resource which it believes will be a significant new economic source of alumina for the aluminum industry. Manicouagan intends to carryout an extensive exploration program over the next few months on this new property. This gives Manicouagan a third area of focus in addition to its four gold properties in the Pickle Lake greenstone belt in Ontario and its Brabant Lake zinc property in Saskatchewan on which Votorantim Metals Canada has commenced a 20 hole drill program.”
The Option Agreement and the issuance of shares there-under are subject to the approval of the TSX Venture Exchange. Any shares issued pursuant to the agreement will be subject to a 4 month hold period from the date of issuance.
About Manicouagan
Manicouagan Minerals Inc. is a Canadian based exploration company focused on advancing its gold projects in the Pickle Lake Gold Belt, Ontario. Manicouagan also has a pipeline of commodity projects including the Brabant Lake Zinc deposit in Saskatchewan, and the Mouchalagane Nickel/Copper/PGE and HPM/Forgues Nickel/Copper/Cobalt projects in Québec.
Manicouagan is hosting Booth 3016 at the upcoming PDAC in Toronto from March 4 to March 7.
Additional information about Manicouagan and its exploration projects can be found at www.manicouaganminerals.com.
Une traduction française de ce communiqué de presse est disponible à www.manicouaganminerals.com
For further information contact:
W. Brian Carter, Interim Chief Executive Officer [email protected] (647) 234-1583
Forward Looking Statements
All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of the Company, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are exploration risks detailed herein and from time to time in the filings made by the Company with securities regulators.
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.