VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 18, 2016) - Cap-Ex Iron Ore Ltd. (TSX VENTURE:CEV) ("Cap-Ex" or the "Company") reports it has entered into an option agreement (the "Option Agreement") to acquire a 100% right, title and interest to a total of 30 unpatented mining claims (the "Palmetto Project"). The Palmetto Project is located in Esmeralda County, Nevada, within the southern portion of the Walker Lane gold trend.
The Project is being vended by four optionors (the "Vendors"). The option (the "Option") to acquire the Palmetto Project from the Vendors may be exercised by the Company:
- paying to each of the four Vendors $12,500 on the date of this Agreement as a non-refundable deposit (for a total payment of $50,000);
- paying to each of the four Vendors $25,000 on or before the date that is sixty (60) days from the date of this Agreement (for a total payment of $100,000);
- paying to each of the four Vendors $37,500 on the date that is ten (10) days after the first anniversary date of this Agreement (being a total payment of $150,000);
- paying to each of the four Vendors $37,500 on the date that is ten (10) days after the second anniversary date of this Agreement (being a total payment of $150,000); and
- paying to each of the four Vendors $250,000 on the date that is ten (10) days after the third anniversary date of this Agreement (being a total payment of $1,000,000).
(the payments in (i) to (v) above being, collectively, the "Option Exercise Price").
All payments in the Option Exercise Price are US dollars.
Upon payment of the full Option Exercise Price, the Company will have acquired the Palmetto Project free and clear of any royalties.
The Option Agreement contains other customary terms including the right of the Company to act as Operator on the Palmetto Project prior to exercise and a right of first refusal granted to the Company by the Vendors on additional unpatented mineral claims that the Vendors acquire within one (1) US mile of the Palmetto Project.
The technical information in this news release has been prepared in accordance with Canadian regulatory requirements as set out in National Instrument 43-101, and reviewed by Adrian Smith, Director, and a Qualified Person as that term is defined in NI 43-101.
ABOUT CAP-EX IRON ORE LTD.
Cap-Ex Iron Ore Ltd. is a Canadian listed company, focused on creating shareholder value through discoveries and strategic development of mineral properties in Canada and the United States.
CAP-EX IRON ORE LTD.
Andrew Bowering, Chairman
NEITHER THE 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.
This news release may contain certain "Forward-Looking Statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When or if used in this news release, the words "anticipate", "believe", "estimate", "expect", "target, "plan", "forecast", "may", "schedule" and similar words or expressions identify forward-looking statements or information. These forward-looking statements or information may relate to future prices of commodities, accuracy of mineral or resource exploration activity, reserves or resources, regulatory or government requirements or approvals, the reliability of third party information, continued access to mineral properties or infrastructure, currency risks including the exchange rate of US$ for CDN$, changes in exploration costs and government royalties or taxes in Canada, the United States or other jurisdictions and other factors or information. Such statements represent the Company's current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affections such statements and information other than as required by applicable laws, rules and regulations.