Galileo Announces Acquisition of 10.25km2 of Mining Claims in Fremont County, Wyoming; The Wolf Project
Galileo Announces Acquisition of 10.25km2 of Mining Claims in Fremont County,
Wyoming; The Wolf Project
Vancouver, British Columbia – September 30, 2020 – Galileo Exploration Ltd. ("Galileo, or the
Company") (TSX VENTURE: GXL ) is pleased to announce that it has , through its wholly -
owned subsidiary , entered into a mining lease assignment agreement (the " Assignment
Agreement") relating to properties in the Overland Mining District and Lewiston Mining
District within Fremont County, Wyoming (the " Leases"). The Company has also staked an
additional 2,391 acres around the Leases and on other target areas of interest resulting in a land
package of approximately 10.25 square kilometers (2,534 acres).
Within the Leases are historical mines, the Wolf (Ruby Claims) and Helen G (Mill, Helen G and
Star Lode Claims) . Due diligence sampling consisting of selective grab samples of the historic
dump of the Wolf Mine returned values ranging from detection limit to 19.873 grams per tonne
("g/t") gold. Rock chip sampling from exposed outcrop near the Wolf Shaft returned values from
detection limit up to 2.634 g/t gold. The Wolf Mine, at the northeast end of the Lewiston trend, is
a historic past producer of high- grade gold values in quartz veins and stockworks within sheared
metagreywacke of the Miners Delight formation. It should be noted that the potential quantity
and grade of these exploration targets is conceptual in nature, that there has been insufficient
exploration to define a mineral resource and that it is uncertain if further exploration will result
in the target being delineated as a mineral resource as per the NI 43-101 reporting standards.
Galileo management states, " The Company is pleased that it has identified an exciting
opportunity to consolidate underexplored gold trends in the South Pass Greenstone Belt targeting
orogenic gold mineralization comprised of high-grade shoots within mineralised shear zones. By
combining the new patented claim leases with newly staked adjacent unpatented claims, t he
Company is well positioned to begin a regional exploration program and plans to continue efforts
to expand its highly prospective land position in the area."
The South Pass Greenstone belt is broken into two main areas, the Atlantic City-South Pass trend
on the northwest and the Lewiston t rend in the southeast. Prospectors first discovered gold in
1842 on the Lewiston t rend and later in 1867 on the Atlantic C ity-South Pass trend. Mining of
high-grade ore occurred throughout the late 1800' s and early 1900's and focused mainly on the
northwest side of the basin and yielded estimated production in excess of 300,000 ounces
between the 1880 's-1940's. 1 Since the 1940' s, only limited exploration work has occurred
throughout the Belt with selective claim consolidation and exploration by Anaconda Minerals in
the late 1970s and in the late 1990s by Newmont. However there is no indication of systematic
exploration programs being undertaken and only limited known drilling has taken place on the
Atlantic City-South Pass trend and no known drilling has taken place on the Lewiston trend.
The target Miners Delight Formation is a broad poly -deformed regional syncline hosting
metagreywacke and related sediments, underlain by mafic to ultramafic volcanic units as
exposed on the basin margins all bracketed by Archean aged granitoids. The basin is known for
its abundance of coarse placer gold and historically productive underground lode gold mines.
Mineralisation is interpreted to be saddle reef style controlled by faulting and shearing within the
folded metasedi mentary units both in sheared limbs and along fold hinges. This style of gold
deposit is well known in Canada and globally across different geologic ages in the past
producing Discovery Mine in the Yellow knife Belt, the more recent developments in the
Meguma Terrane, Nova Scotia and the Bendigo-Ballarat area of Australia.
Particulars of the Assignment Agreement
Pursuant to the Assignment Agreement, the Company has assumed the rights and obligations of
the original lessee (the "Assignor") with respect to the following properties:
• Mill, Helen G. (a/k/a Allen G.) and Star Lode -mining claims, designated by the Surveyor
General as Lot 68, embracing a portion of Section 5, Township 28 North, Range 98 West,
1 Hausel, W.D., 1986, Minerals and rocks of Wyoming: Geological Survey of Wyoming [Wyoming State
Geological Survey]
6th Principal Meridian, Overland Mining District; Mineral Certificate #26, containing
43.30 acres; and
• Ruby, Ruby #1, Ruby #2, Ruby #3, Ruby #4, Lode -mining claims designated by the
Surveyor General as Survey #505, embracing a portion of Sections 22 and 27, Township
29 North, Range 98 West, of the 6 th Principal Meridian, in the Lewiston Mining District,
U.S. Patent Lander 08160, consisting of 103.009 acres,
(collectively, the "Claims").
Pursuant to the terms of the Assignment Agreement, the Company has obtained the right to,
among other things, sample, drill and evaluate the Claims for a period of five years.
As consideration for the entering into of the Assignment Agreement, the Company paid
US$30,000 (the "Initial Payment ") to the Assignor upon execution of the Assignment
Agreement and has agreed to pay the Assignor US$40,000 annually (collectively with the Initial
Payment, the "Annual Payments ") until the termination, expiration or reassignment of the
underlying leases with respect to the Claims. In addition, the Company has granted the Assignor
a 2% net smelter returns production royalty from the production and sale of minerals from the
Claims (the "Royalty"), with the Annual Payments being credited against any payments owing
pursuant to the Royalty. The Company has the right to purchase the Royalty from the Assignor,
at any time during the initial five -year term of the Assignment Agreement, for US$2,000,000
less any prior Annual Payments . The Company and the Assignor may mutually agree to extend
the term of the Assignment for an additional five-year term upon expiry of the initial term.
The Company has also obtained a right of first offer from the original lessor of the Claims should
the lessor wish to sell, grant, assign, convey, encumber, sublease, license, pledge or otherwise
commit or otherwise dispose of or transfer all or any portion of its interest in the Claims, the
subject property thereof, the original lease agreement, or the production royalty payments under
such original lease agreement.
For further information please contact:
John Kanderka, Chief Executive Officer
Galileo Exploration, Ltd.
410-325 Howe Street
Vancouver, BC V6C 1Z7
Tel: (403) 861-6329
Disclaimer for Forward-Looking Information
Certain information set forth in this news release may contain forward- looking statements that
involve substantial known and unknown risks and uncertainties, certain of which are beyond the
control of Galileo . Forward-looking statements are frequently characterized by words such as
"plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may",
"will", "potential", "proposed" and other similar words, or statements that certain events or
conditions "may" or "will" occur. Forward-looking statements in this press release include the
Company's exploration plans and plans to expand its land position in the area. 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 forward-looking statements. Such factors include, but are not limited to: capital
and operating costs varying significantly from management estimates; the preliminary nature of
metallurgical test results; delays in obtaining or failures to obtain required governmental,
environmental or other project approvals; uncertainties relating to the availability and costs of
financing needed in the future; inflation; fluctuations in commodity prices; delays in the
development of projec ts; and the other risks involved in the mineral exploration and
development industry generally. Although Galileo believes that the assumptions and factors
used in preparing the forward- looking 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, Galileo disclaims any intention or obligation to update or revise any
forward-looking statement, whether as a result of new information, future events, or otherwise.
Neither 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.