Stuhini Announces Option of Jersey Valley Gold Property
Stuhini Announces Option of Jersey Valley
Gold Property
VANCOUVER, BC
,
Nov. 27, 2024
/CNW/ - Stuhini Exploration Ltd. ("
Stuhini
" or the
"
Company
") (TSXV: STU) (OTCQB: STXPF) is pleased to announce that it has entered into an
option agreement (the "
Agreement
") with Goodsprings Exploration LLC and others with an effective
date of
November 15, 2024
(the "
Effective Date
") whereby Stuhini can acquire a 100% interest in
the Jersey Valley Property ("
Jersey Valley
", "
Project
", or the "
Property
"), located in
Pershing
County, Nevada
(the "
Option
").
The Jersey Valley Property is a gold exploration project located in the well-known
Battle Mountain
area of
Nevada
. The Property comprises 143 unpatented lode claims, covering 2954.5 acres
(1195.7 hectares) and is located in a favourable structural and lithostratigraphic setting. Access to
the Property from
Battle Mountain
is approximately 70 kilometres ("km") by paved and gravel roads.
Figure 1. A map of the Project location southwest of Battle Mountain, Nevada. (CNW Group/Stuhini
Exploration Ltd.)
The lithostratigraphic units of the Project area include calcareous siltstones and sandstones of the
Havallah Formation, which have been strongly silicified. The Havallah is the primary host rock at the
nearby Buffalo Valley and
Lone Tree
gold mines. Outcrops of the Havallah on the Jersey Valley
Property include jasperoids, iron-oxide-stained fractured calcareous siltstones, and acid-leached
siltstone breccias - see photos in Figure 1. Rock samples have returned anomalous values of
pathfinder elements, such as arsenic – 2100 ppm, antimony – 266 ppm, mercury – 21 ppm, silver –
4 ppm and gold values up to 75 ppb. This anomalous geochemistry combined with the acid-leaching
of the calcareous units within the Havallah exposed on the Property are interpreted to be the result
of strong vapour-phase alteration associated with a lithocap.
Figure 2. A selection of the rocks found on the Property. A) Iron-oxide stained jasperoid, B)
Fractured calcareous siltstone C) Acid-leached siltstone breccia. (CNW Group/Stuhini Exploration
Ltd.)
There is evidence of very limited work by two companies on the Property in the 1990s. This work
included a small trenching program conducted by
Barrick Gold
. Sampling results from both work
programs are unknown. Uranerz Exploration and Mining Limited also drilled two west-directed drill
holes in the southern area of the Property and three holes in the northern area. Efforts have been
made to track down this historical data but were unsuccessful. At the time of the drilling, 300-foot-
deep holes were typical for exploration programs and may not have tested the potential for deeper
mineralization.
Stuhini President and CEO
Dave O'Brien
commented: "We are excited to obtain an option on the
Jersey Valley Property on reasonable and non-dilutive terms. The Property represents an
opportunity for us to explore in a jurisdiction known for being well endowed with precious metals and
hosting several large mines over the years."
During the 30-year term of the Agreement, Stuhini must make the following minimum payments (until
the commencement of commercial production on the Property) (the "
Minimum Payments
") to keep
the Option in good standing:
Minimum Payments
Payment Dates
On signing the Agreement
U.S.$7,500 plus reimbursement of Owner's
payment of the BLM mining claim maintenance
fees and Nevada mining claim fees for the Property
in the amount of U.S.$2,000.00
1st anniversary of Effective Date
U.S.$7,500
2nd anniversary of Effective Date
U.S.$10,000
3rd anniversary
U.S.$15,000
4th and each succeeding
anniversary of the Effective Date
until the Commencement of
Commercial Production of
Minerals from the Property, as
adjusted for inflation
commencing on the sixth
anniversary of the Effective Date
U.S.$25,000
There are no work commitments associated with the Option and the only committed obligation is the
US$7,500
cash payment on signing. The balance of the Minimum Payments are all at the
Company's election should it wish to maintain the Option after year 1.
Stuhini may exercise the Option at any time by making a cash payment of
US$300,000
(in addition
to any Minimum Payments already made). Upon exercise of the Option, Stuhini will grant a 2.0%
gross returns royalty (the "
Royalty
") on the Property, subject to Stuhini's right to purchase 50% of
the Royalty (representing 1.0% of the gross returns) for
US$2,000,000
within 30 days of
commencement of commercial production. Minimum Payments made after the exercise of the
Option shall be credited against the Royalty payments.
The technical disclosures contained in this news release have been approved by Ehsan Salmabadi,
P.Geo., and VP Exploration and Project Development for Stuhini, who is a "Qualified Person" for the
purposes of National Instrument 43
101
Standards of Disclosure for Mineral Projects
.
About Stuhini Exploration Ltd.
Stuhini is a mineral exploration company focused on exploration and development of precious and
base metals properties in western
Canada
and the southwest
United States
. The Company's
portfolio of exploration properties includes the flagship Ruby Creek Property, 14 km east of
Atlin,
BC
; the Que Project, 70 km north of Johnson's Crossing,
Yukon
; the South Thompson Nickel
Project, 35 km northwest of
Grand Rapids, Manitoba
; the Big Ledge Property, 57 km south of
Revelstoke, BC
; the Red Hills Project in northeast
Nevada
, the Jersey Valley Property in northwest
Nevada
and the Lindsay Project in southeast
Arizona
.
Forward-Looking Statements
This news release contains "forward–looking information" within the meaning of Canadian securities
laws, which may include, but are not limited to statements relating to the Jersey Valley Option
Agreement, the exercise of the Option, future exploration plans and the ability to fund these plans,
the prospective nature of the Property and the market outlook for gold and mineral exploration
projects. All statements in this release, other than statements of historical facts, that address events
or developments that the Company expects to occur, are forward-looking statements. Although the
Company believes the expectations expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of future performance and actual
results may differ materially from those in the forward-looking statements. Factors that could cause
the actual results to differ materially from those in forward-looking statements include regulatory
actions, fluctuations in metal and commodity prices, changes in US Canadian currency exchange
rates, market prices, failure to obtain permits, and continued availability of capital and financing, and
general economic, market or business conditions. In particular, there is no guarantee that exploration
work, as proposed, or otherwise, will be completed on the Property or that the Option will be
exercised. Such forward-looking information reflects the Company's views with respect to future
events and is subject to risks, uncertainties and assumptions, including those set out in the
Company's quarterly and annual management discussion and analysis. Investors are cautioned that
any such statements are not guarantees of future performance and actual results or developments
may differ materially from those projected in the forward-looking statements. There can be no
assurance that any forward-looking statements or information will prove to be accurate as actual
results, and future events could differ materially from those anticipated in such statements or
information. Accordingly, readers should not place undue reliance on forward-looking statements or
information. Except as required by applicable securities laws, the Company undertakes no obligation
to update these forward-looking statements in the event that management's beliefs, estimates or
opinions, or other factors, should change.
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.
SOURCE
Stuhini Exploration Ltd.
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For further information:
For further information please contact: David O'Brien, President & Chief
Executive Officer, Stuhini Exploration Ltd., Email: [email protected], Phone: (604) 835-4019,
Web: www.stuhini.com
CO: Stuhini Exploration Ltd.
CNW 22:50e 27-NOV-24