Trueclaim Exploration Inc.

June 29, 2009 10:41 ET

Trueclaim Exploration Inc. Announces Plans for 2009 Exploration and Drill Program for Scadding Gold Property and Non-Brokered Private Placement to Raise Up to $1.28 Million

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 29, 2009) - Trueclaim Exploration Inc. ("Trueclaim" or the "Company") (TSX VENTURE TRM) -

Mr. Eric Plexman reports;

Trueclaim Exploration Inc. ("Trueclaim" or the "Company") is preparing for its 2009 exploration and drill program on the Company's 100% optioned Scadding Gold property (the "Property").

The Property reportedly produced approximately 914 kg of gold from 127,000 tonnes of ore grading 7.2 g/t Au (grams per tonne gold) during the period from 1984 to 1990. This data is historical in nature. The Company has not yet verified this historical information with its own exploration work, in particular the existence and grade of remaining mineralization. Investors are cautioned that recent independent verification of the data has not been performed. In 1980, P. C. McLean calculated a mineral resource for the Property of 165,400 ounces of gold contained within 539,049 tonnes averaging 0.307 ounces of gold per tonne. This is a historical estimate and is not compliant with current National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") requirements. This resource estimate is historical and was prepared before the introduction of NI 43-101 and may not be relied upon until it has been confirmed using methods and standards that comply with those required by NI 43-101. The potential for the exploration target to replicate the historical resource is conceptual and is based on historical reports. Investors are cautioned that a qualified person has not completed sufficient exploration, test work or examination of past work to define a resource on the Property that is currently compliant with NI 43-101.

Since the initial discovery in 1973, five zones of gold mineralization have been identified on the Property. These zones are the North, Central (Intermediate), South, East-West and the New Zone. All zones lie within an area of approximately 36 acres measuring approximately 600 metres north-south by 600 metres east-west. The North, East-West and South Zones have been mined by shallow open cuts or pits while the Central (Intermediate) Zone was exploited underground from about 15 metres below surface to about 110 metres below surface. The New Zone which lies west of the East-West Zone was identified by previous diamond drilling and warrants further exploration.

Surface diamond drilling as well as underground development has indicated that the zones of economic grade gold mineralization are shoot-like bodies that generally have a limited strike length and a significant downdip/plunge extent. It would appear that the down plunge potential of all five identified zones have not been adequately evaluated to date since most drill holes have been less than 100 metres in length. It is considered that the potential for the discovery of additional mineralization lies down plunge below currently known mineralized zones, particularly in the New Zone, and within areas, several of which have been identified, underlain by the Serpent feldspathic quartzite outside of the area where the five zones of known mineralization are located. It is estimated that 600 of the 907 hectares of the Property are underlain by the Serpent Formation.

The proposed 2009 drilling and exploration program is intended to define and increase the known resource on the Property as well as seek other mineralization discoveries within the targeted areas.

The Property is located approximately 50 kilometres northeast of Sudbury, Ontario and consists of seven contiguous mining leases containing a total of 56 mining claims. It has an existing underground ramp and tailings pond. There is a maintained all-weather road as well as a power line which crosses the Property allowing accessibility for year-round exploration.

In order to finance the above-described work program and for general working capital purposes, the Company is arranging a non-brokered private placement to raise up to $1,280,000 through the issuance of 8,000,000 flow-through units (each a "Flow-Through Unit") issued at a purchase price of $0.07 per Flow-Through Unit and 12,000,000 non-flow-through units (each a "Unit") issued at a purchase price of $0.06 per Unit. Each Flow-Through Unit will consist of one common share in the capital of the Company to be issued as a flow-through share under the provisions of the Income Tax Act (Canada) and one common share purchase warrant (each a "Warrant"). Each Warrant will have a term of 24 months (the "Expiry Date") and will entitle the holder to purchase one common share of the Company at an exercise price of $0.10 per share at any time on or before 12 months from the date of issuance and thereafter at an exercise price of $0.15 per share at any time until the Expiry Date. Each Unit will consist of one common share in the capital of the Company and one Warrant. The final allocation between Flow-Through Units and Unit may differ from the foregoing, but the total combined number of Flow-Through Units and Units to be issued will not be more than 20,000,000.

The Company may pay a finder's fee to arm's length parties on funds raised under the private placement, in cash and/or securities of the Company in accordance with the policies of the TSX Venture Exchange.

The private placement and the payment of any finders fees are subject to the acceptance of the TSX Venture Exchange.

We seek Safe Harbor.



Eric Plexman, President

Technical information in this news release has been reviewed by L.D.S. Winter, P. Geo. and prepared in accordance with Canadian regulatory requirements as set out in National Instrument 43-101. Company Management, which takes full responsibility for content, prepared this news release. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe the Company's future exploration and financing plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in these statements. Such risks include expectations that may be raised by discussing potential mine types and by comparing the Company's projects to other projects. Also, in order to proceed with the Company's exploration and acquisition plans, additional funding is necessary and, depending on market conditions, this funding may not be forthcoming on a schedule or on terms that facilitate the Company's plans.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined on the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Trueclaim Exploration Inc.
    Eric Plexman
    1-888-686-1405 (FAX)