Tajiri Enters into LOI to Acquire Two Prospective Gold Projects in Guyana, South America
Tajiri Enters into LOI to Acquire Two
Prospective Gold Projects in Guyana, South
America
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U.S./
VANCOUVER, BC
,
June 24, 2020
/CNW/ - Tajiri Resources Corp. (TSXV: TAJ) ("Tajiri" or the
"Corporation") announces that it has entered into a non-binding Letter of Intent to acquire two
prospective gold projects in
Guyana
,
South America
- the Gargantuan Project, located in the Mahdia
region, and the Epeius Project located in close proximity to the one million tonne per annum Karouni
Mine of Troy Resources Limited (ASX: TRY).
The Gargantuan Project
covers a 4 to 6.5 kilometres strike of the source area ("the Gargantuan
Source") that has given rise to the largest coherent concentration of artisanal gold workings in the
Guiana Shield.
The Gargantuan Source has a total interpreted strike of 9-12km, and the Project area of 2,390
hectares, encompasses 40-50% of this interpreted strike length.
Within the Guiana Shield, the artisanal workings associated with the Gargantuan Project are an
order of magnitude larger than workings related to most other known > 1 Moz gold deposits and are
only equalled in area by those of the Giant
1
~45 Moz
2
Las Cristinas+Brisas gold deposit.
The Gargantuan Source is well defined by the upstream/uphill limits of alluvial, colluvial and lateritic
gold workings and appears contiguous over 9 kilometres strike with every creek flowing from it or
over it and almost every slope downhill from it having been worked at some point since the 1880s.
Along strike from the Project's boundaries, recent work by Goldsource Mines Inc. (TSXV: GSX) has
identified a north-south striking chargeability and resistivity anomaly co-incident with the Gargantuan
Source.
Furthermore, early stage diamond drilling of the Gargantuan Source, by Goldsource has returned
numerous, mostly shallow, high tenor gold intersections over a strike length of approximately 2
kilometres with results including
69m
@ 6.5g/t
from surface,
80m
@ 2.0g/t
from surface,
57m
@
2.6g/t
from surface,
50m
@ 2.9g/t
from surface,
10.5m
@ 9.9g/t
from
81m
,
4m
@ 25.2g/t
from
258m
.
The Gargantuan Source hosts several artisanal workings that have exploited weathered in-situ
primary mineralisation which provide immediate targets for early drill campaigns.
__________________________
1
Using the Definitions of Lazicka, P., 1999
Quantitative relationships among giant deposits of metals
: Economic Geology and the Bulletin of the Society of Economic Geologists, v.
94 p 455-473
2
Reported as Combined Reserves and Measured, Indicated & Inferred Resources @ 0.4g/t Au cutoff excluding all credits from Cu + Ag sourced from: a) Pincock Allen Holt,
October 30, 2006,
Technical report, Brisas Project, Venezuela, Feasibility Update
, prepared for Gold Reserve Inc. & b) Mine Development Associates, November 7, 2007,
Technical Report Update on the Las Cristinas Project, Bolivar State, Venezuela
prepared for Crystallex International Corporation.
Given the above facts: that the Gargantuan Source is defined over a strike length of 9 kilometres,
that it has given rise to artisanal gold workings equal in area to those arising from a 45 Moz gold
deposit located in the same weathering and geological environment, that a 2 kilometre strike length
portion of the Gargantuan Source has returned good gold intersections, and that the Project covers
40-50% of the interpreted extent of Gargantuan Source; Tajiri believes that acquisition of the
Gargantuan Project would provide the Company with an excellent exploration opportunity.
Epeius Gold Project
is located 6 kilometres north of the Karouni Gold Mine operated by ASX listed
Troy Resources Limited (ASX:TRY) and
600m
from Troy's new Ohio Creek discovery. The Epeius
Project is also contiguous with Tajiri's wholly owned Kaburi Property where drilling in 2013 returned
23m
@ 2.7g/t and
8m
@ 6.5g/t.
The Epeius Project covers a ~ 17 kilometre strike of the greenstone belt (referred to as the "Tallman
Corridor" by Troy) which hosts Troy's recently discovered Ohio Creek Deposit with a maiden
inferred resource estimate of 2.2 Mt @ 1.9g/t and where trial mining is about to commence.
The Tallman Corridor is associated with extensive alluvial artisanal workings and anomalous stream
sediment geochemistry along the entire 17 kilometres of strike encompassed by the Epeius Project.
The Epeius Project also contains several targets for immediate drilling which consist of immediate
on-strike extensions from: primary artisanal workings, soil geochemical anomalies and several
shallow economic drill intercepts generated by Troy at the boundary of the Project including:
Ten metres along strike from
3m
@ 11.2g/t from
91m
and
6m
@ 4.1g/t from
25m
at Ohio
Creek South (Figure 8)
Forty metres along strike from
16m
@ 1.1 g/t from
31m
at Goldstar (Figure 9)
660m
from
11m
@ 5.1g/t from
73m
at Ohio Creek (Figure 8)
200m
from one of the largest artisanal pits developed on primary mineralisation in the district.
(Figure 10)
Additional Project Information
The Gargantuan Project
is comprised of 34 mining claim licences and 13 mining permits which total
5,900 acres (2,390 hectares):
Additional arms-length payments that remain to be made to third party vendors of the Gargantuan
Project total
USD 380,0000
and are as follows:
A payment upon transfer of
US$ 200,000
for 12 mining claims (expected within the next 4
months)
A payment of
US$ 30,000
upon transfer for 2 mining permits (expected within 3-4 months)
A payment of
US$ 55,000
upon transfer of 2 mining permits (expected within 3-4 months)
A payment of
US$ 95,000
upon the transfer of 10 mining claims (expected within the next 9
months)
Apart from the payment of statutory transfer fees for these properties of approximately
US$ 1,000
per licence/ permit there are no other encumbrances, liens or outstanding interests over the
properties that comprise the Gargantuan Project.
The Epeius project
comprises 13 granted mining permits totalling 13,344 acres (5,400 Ha) and 8
applications for prospecting permits totalling 9,637 acres (3,900 Ha).
Further technical details of the Projects will be furnished in subsequent announcements.
Acquisition background
In February, 2019 after Goldsource Mines (TSXV: GSX) and Troy Resources (ASX:TRY)
announced high tenor drill intersections at the Salbora (including
69m
@ 6.5g/t) and Ohio Creek
Prospects (including
16m
@ 10.1g/t from
2m
;
10m
@ 16.7g/t from
90m
; and
9m
@ 40.5g/t from
89m
), Executive Chairman of Tajiri Mr.
Dominic O'Sullivan
determined that two potentially significant
economic gold discoveries had been made in
Guyana
and that highly prospective on-strike
extensions to these discoveries were available for acquisition.
Because market financing was not available to Tajiri at that time for the acquisition of gold
exploration projects, such that Tajiri was not then able to take advantage of the opportunity, Mr.
O'Sullivan arranged to acquire the properties that comprise the Gargantuan and Epeius Projects
privately. To date approximately
US$708,000
has been spent by Mr. O'Sullivan and others on
acquiring the Projects in arms-length transactions from third party vendors, and two of these vendors
are now shareholders of the private companies vending the properties to Tajiri. Mr. O'Sullivan's
controlled indirect interest (through holding companies and trusts) in the two Projects is 48.85%.
Mr. O'Sullivan, is currently a director, officer and a "control person" of the Corporation for the
purposes of applicable securities legislation.
In addition, Mr.
Robert Power
a director and shareholder of the Company, has a beneficial 4.0%
interest in the two Projects.
Terms of the Acquisition and Consideration
The Terms and conditions of the Letter of Intent to acquire the Epeius and Gargantuan Projects are:
Payment of
US$5,000
to secure a 3 month period for completion of due diligence, preparation
of independent technical reports, and obtaining shareholder and TSXV approvals and financing;
which period may be extended by a further 3 months by the payment of
US$5,000
.
Upon receipt of TSXV and shareholders' approval to the transaction, the Company will acquire
all interests in the two Projects in consideration of issuing 20 million common shares to the
vendors, paying
US$150,000
, and reimbursing the Vendors for payments made to third party
vendors (as noted above) between the date of the signing of the LOI and the closing of the
transaction.
Shares will be escrowed for 12 months, with 25% of the shares being released after 12 months
and an additional 25% every 3 months thereafter.
The Vendors will retain a 2% NSR on any production from all tenements.
The Vendors will be entitled to receive additional shares equal in value to 0.02% of the value of
all resources (measured, indicated and inferred) and 1% of the value all reserves (proven and
probable) delineated on the Properties. Such additional shares will become issuable upon (i) a
maiden resource/reserve statement being published by the Corporation for the properties, and
(ii) upon completion of a bankable feasibility study. The value of any additional bonus shares
will be capped at 15% of the issued and outstanding shares of the Corporation at the time of
issuance. Bonus shares will be escrowed with 25% becoming free trading after 6 months and
an additional 25% becoming free trading every 3 months thereafter.
The proposed acquisition will be a "related party transaction" under TSXV policy 5.9 and pursuant to
MI 61-101. As such, the transaction will require the Company to obtain disinterested shareholders'
approval.
The closing of the Acquisition is subject to several conditions including, but not limited to the
following:
(i) entering into a definitive agreement with the Vendors;
(ii) approval of the majority of disinterested shareholders; and
(iii) approval of the TSX Venture Exchange (the "TSXV").
Graham Kevil CEO and President of Tajiri stated: "Combined with the Tajiri's advanced Reo gold
exploration Project located in Burkina, the acquisition of the Gargantuan and Epeius Projects will
push Tajiri to the front ranks of the global junior exploration pack. We have maintained the Company
through the past 8 years of challenging times and have emerged with three excellent Flagship
Projects that provide unparalleled exploration potential. Tajiri is now poised on the cusp of
generating significant investment returns for all stakeholders."
SOURCE
Tajiri Resources Corp.
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For further information:
Tajiri Resources Corp., Graham Keevil, President, CEO, 604-642-0115 or
Toll Free 866-345-0115, 604-642-0116 (FAX), [email protected]
CO: Tajiri Resources Corp.
CNW 14:47e 24-JUN-20