Manson Creek Resources Ltd.
TSX VENTURE : MCK

Manson Creek Resources Ltd.

November 05, 2009 08:00 ET

Manson Creek Resources Negotiates Acquisition of Virgin Arm Gold Project

CALGARY, ALBERTA--(Marketwire - Nov. 5, 2009) - Manson Creek Resources Ltd. ("Manson Creek") (TSX VENTURE:MCK) is pleased to announce the proposed acquisition of a recently discovered high-grade gold prospect located 65 kilometers from Gander, Newfoundland.

The road accessible, 1047-hectare, Virgin Arm property hosts gold showings over a strike length of three kilometers. Visible gold has been found at several showings along with exceptional assays up to 99.7 grams/tonne (g/t) to 127 g/t gold. Work on the property in 2002 outlined a 2 kilometer long gold in soils anomaly which remains uninvestigated. This early stage project offers tremendous exploration upside as little follow up has been done on the property and no trenching or drilling has been conducted.

Known gold mineralization occurs in felsic dykes and sills hosted within a volcano sedimentary package over a 3.0 kilometer strike length. The known mineralized zones typically exhibit strong silica and carbonate (with sericite) alteration accompanied by disseminated pyrite, arsenopyrite and rare base metals. Synvolcanic faults have acted as magma conduits for felsic dykes and sills, which have intruded into a reduced sedimentary sequence, that host much of the gold mineralization. The project geology as described bears numerous similarities to the Donlin Creek Gold deposit is Alaska which is one of the largest undeveloped gold deposits in the world.

Company personnel are currently conducting a field due diligence examination, following which Manson Creek may acquire a 100% interest in the Virgin Arm property over a four-year period through staged cash payments totaling $300,000 and the issuance of 500,000 common shares of the Company. The property vendor will retain a 2.5% NSR (Net Smelter Royalty), of which 60% (1.5% NSR) may be purchased at Manson Creek's election for $1,500,000.

This transaction is subject to the current due diligence inspection and all regulatory and exchange approvals. The aforementioned property information is from historic data and property assessment reports provided by the vendor.

The Qualified Person responsible for this news release was the President of the Company, Regan Chernish, P.Geol.

Regan Chernish, P. Geol., President and Director

All statements, other than statements of historical fact, in this news release are forward-looking statements that involve various risks and uncertainties, including, without limitation, statements regarding the potential extent of mineralization and reserves, exploration results and plans and objectives of Manson Creek Resources Ltd. These risks and uncertainties include, but are not restricted to, the amount of geological data available, the uncertain reliability of drilling results and geophysical and geological data and the interpretation thereof and the need for adequate financing for future exploration and development efforts. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. These and all subsequent written and oral forward-looking statements are based on the estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. The Company assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change.

The TSX Venture Exchange has neither approved nor disapproved of the contents of this press release.

Contact Information

  • Manson Creek Resources Ltd.
    Regan Chernish, P. Geol.
    President and Director
    (403) 233-0464
    www.manson.ca