TORONTO, ONTARIO--(Marketwire - May 8, 2012) - Cadillac Ventures Inc. (TSX VENTURE:CDC) ("Cadillac" or the "Company") is providing an update and additional background information regarding the proposed sale to Iberian Minerals Corp. ("Iberian") of the Company's 90% interest in the its Joint Venture with Minas de Aguas Tenidas, S.A. ("MATSA", a wholly owned subsidiary of Iberian) for Cdn$2,500,000 (the "Transaction") (see the Company's press release dated April 23, 2012).
The TSX Venture Exchange has conditionally accepted the Transaction, subject to (i) the Company obtaining minority shareholder approval of the Transaction (which the Company plans to satisfy by obtaining the written consent of shareholders holding over 50% of Cadillac's issues and outstanding shares), and (ii) the Company issuing this press release which provides additional information regarding the properties subject to the joint venture.
Cadillac and MATSA entered into the joint venture in December, 2008 in respect of 14 properties within the Iberian Pyrite belt of Southern Spain (the "Properties") (see the Company's press release dated December 17, 2008).
Mr. Brian H. Newton, P.Geo, of Billiken Management Services Inc. and a qualified person under NI 43-101 worked on and supervised the work on the Properties. In conjunction with local qualified geologists, Mr. Newton developed the exploration program for the Properties and reviewed all of the available historical data in both English and Spanish.
The Properties encompass approximately 232 square km. Certain areas of this land package were targeted by two exploration campaigns consisting of ground geophysics, mapping, diamond and reverse circulation drilling and an airborne survey. Prior to Cadillac's involvement no systematic modern exploration work was ever carried out on the properties. Historic work is evidenced by the remains of numerous open pit and underground operations dating back to the Romans.
In 2009, planning for Cadillac's first exploration program commenced with compilation of existing historical data files. Limited historic data was uncovered.
In mid-2009 a surface geophysical program was carried out on several licences in the vicinity of known surface outcroppings of mineralized zones and historic mine workings. The results of this work were used to guide the first drilling campaign which was started in November, 2009. The Chaparrita, Angelita and Majada properties were the focus of this campaign with a total of 3,059.5 m of drilling completed.
The second drilling campaign started in August, 2010 and was completed in mid-May, 2011. A total of 3,243.70 meters were drilled on the El Soldado, San Platon, Esperanza and again at Chaparrita. A reverse circulation drill program was carried out on the gossan located near the San Miguel mine and on the Esperanza property. A total 1,273 meters were drilled.
Drilling was concentrated around historic workings and in the vicinity of mined out open pits with a view to identifying extensions to mined out mineralized zones, testing the theory that material was left in situ from historic mining operations which was of a grade that historically could not be processed, however, given current technology and metals prices, would be of interest to Cadillac. Cadillac found that the historical records used to guide these exploration programs were not accurate renditions of the work carried out, or the amount and grade of material mined and left in site, as such their value in planning modern programs was found to be of limited use. In certain cases such as on the Chaparrita property two narrow Cu mineralized sections were identified but further drilling determined that these zones were not continuous and did not warrant further follow-up. In most cases expected mineralized zones were not intercepted.
Over the last three years, Cadillac has spent approximately Cdn$3.7 million exploring the Properties. The aim of these programs was a survey, carrying out initial work and exploration drilling in order to verify and refine a large group of exploration properties down to one or two key targets where a robust detailed exploration program could be carried out with a view to defining an economic resource.
In the opinion of both Cadillac and Mr. Newton, while the Iberian Pyrite Belt has merit as an exploration target, a robust program is required to progress this further. Cadillac's exploration programs have not identified a quantifiable mineral resource but rather demonstrated the grassroots exploration merit of the Iberian Pyrite Belt.
At present it is not possible to define a resource on any of the Properties.
Mr. Newton has reviewed and approved the technical information in this press release.
Completion of the transaction is subject to conditions, including execution of a definitive agreement among the parties, completion of due diligence and TSXV acceptance.
Cadillac is a development-focused copper company currently advancing its 100% owned Thierry Property, near Pickle Lake, Ontario. The Thierry Property consists of the past producing Thierry Mine and hosts two NI 43-101 compliant resources: Thierry Mine and K1-1.
Thierry Mine Deposit
The Thierry Mine is a past producing mine with a current resource estimate consisting of 8.8 million tonnes Measured and Indicated grading 1.66% Cu, 0.19% Ni, 4 g/t Ag, 0.05 g/t Au, 0.04 g/t Pt and 0.13 g/t Pd and 14.9 million tonnes Inferred grading 1.64% Cu, 0.16% Ni, 6.4 g/t Ag, 0.10 g/t Au, 0.07 g/t Pt, 0.21 g/t Pd using a cut-off NSR of C$41/tonne. The deposit remains open at depth and to the west.
The K1-1 is an open-pit, large tonnage, low grade deposit located approximately 3 km from the past producing Thierry Mine. The Inferred mineral resource estimate for K1-1 within a Whittle pit shell consists of the following: 53,614,000 tonnes grading 0.38% Cu, 0.10% Ni, 1.83 g/t Ag, 0.03 g/t Au, 0.05 g/t Pt, and 0.14 g/t Pd at an NSR cut-off of $11/tonne.
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.