VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 25, 2013) - CARIBOU KING RESOURCES LTD. ("Caribou" or the "Company") (TSX VENTURE:CKR)(FRANKFURT:CB8) is pleased to announce it has signed an agreement to acquire 100% of three Quebec graphite properties namely TAC, Lac Vert and Buckingham, all situated in southwestern Quebec in the Central Metasedimentary Belt of the Grenville Geologic Province. The properties are prospective for large flake, crystalline graphite and have a historic record of exploration and production for graphite mineralization.
The TAC and Lac Vert properties are 3 kilometers apart located in Mousseau Township. The Buckingham Property is situated in Buckingham Township 750 meters west of a former producer, the historic Walker Graphite Mine. All the properties have road access.
According to the Quebec government reports, graphite locally occurs on TAC "as flakes up to 1cm in diameter but typically varying from 0.5mm to 5mm in diameter. Graphite appears to be preferentially developed within the marble units; some crystals can be present locally in any of the metasedimentary lithologies."
Graphite occurrences on the 11.23 km2 TAC property were explored in 1989 and 1990. Three mineralized zones, A, B and C, were partially defined by geophysical surveys and diamond drilling. A multi-frequency/multi-coil separation Maxmin II geophysical ground survey identified a pattern of multiple conductors some of which were subsequently investigated to a maximum depth of 75 meters by 49 reconnaissance diamond drill holes. Of particular note is hole T90-44 which returned a weighted average grade of 9.86% Cgf over 46.75 meters. The following drill hole results were extracted from the Quebec government report entitled: Reconnaissance géologique et campagne de forage 1989-1990, Propriété TAC, Canton Mousseau by Ressources Graphicor (GM51068).
|Summary of significant drill results from the TAC Property
||Grade (% Cgf)
Lac Vert Property
The Lac Vert property, located 3 km from the TAC property, is underlain by the Central Metasedimentary Belt of the Grenville Geologic Province. This package of marble, impure quartzite, quartzofeldspathic gneiss, biotite gneiss, biotite schist and associated pyroxenite and/or amphibolite stocks generally dips gently to the south-southwest (8 to 20°). Graphite occurs in crystalline marble. Twelve selected grab samples taken by Ressources Graphicor returned concentrations ranging from 1.69% Cgf to 23.00% Cgf averaging 15.66% Cgf. Historic exploration consisted of limited prospecting and geological mapping followed by line-cutting, and a geophysical survey which identified a cluster of numerous east-west conductors interpreted at the time to represent a hinge or warp zone. An 11 hole, 584 meter program of diamond drilling produced results from 2.64% Cgf over 1 meter in hole V90-04 to 3.20% Cgf over 6.1 meters in hole V90-10. Best results came from hole V90-06 which intersected a calcareous unit with 5.79% Cgf over 12.25 meters, including a 3.35 m interval with 9.25% Cgf.
The Buckingham property is comprised of 8 claim blocks totaling 4.81 km² located in Buckingham, Quebec. It is situated approximately 750 meters west of the historic Walker Graphite Mine, a producer from 1876 to 1920. Graphite occurs in veins or is disseminated within diopsidite, marble and gneiss.
Commercial graphite concentrates are classified into four types: 1) crystalline flakes (85-90% C), 2) crystalline lumps (90-96% C), 3) amorphous powder (70-75% C) and 4) crystalline powder. Crystalline flakes are further subdivided into: a) large flake; +80 mesh (> 0.177mm), b) medium flake +100 mesh (> 0.149mm) to -80 mesh (< 0.177) and c) fine flake -100 mesh (< 0.149mm). Both crystalline flakes and lumps command a premium price in the commodity market. Flake graphite is used for higher value applications like batteries. Vein/lump graphite is most valuable because it requires the least processing. Natural graphite is used in foundry facings, steelmaking, refractories, crucibles and lubricants. Graphite is also in pencils, lithium-ion batteries fueling consumer electronics and electric vehicles, fuel cells and Pebble Bed nuclear reactors. Graphite is also purified to produce graphene, a tightly packed single layer of carbon atoms that can be used to make inexpensive solar panels, powerful transistors, and even a wafer-thin tablet that could be the next-generation iPad. Graphene, extremely light and strong, has been called "the world's next wonder material".
To earn a 100% interest in these three properties, the Company is to issue 4,000,000 shares upon approvals and incur $250,000 in work expenditures over the next year, with an additional 1,000,000 shares to be issued in one year and an additional $500,000 in work expenditures to be incurred in the following year. A 2% royalty is payable to the vendor, and the Company is entitled to purchase 1% back for $1,000,000. The vendor is arm's length to the Company.
A finder's fee will be payable in accordance with TSX Venture policies.
This transaction is subject to TSX Venture Exchange approval.
The technical content of this release was approved by Michel Boily, M.Sc. Ph.D. P.Geo. Dr. Boily is a qualified person as defined by National Instrument 43-101. The properties have not been the subject of a National Instrument 43-101 report. The historical data referred to herein were obtained from government files and other sources believed to be reliable but which cannot be verified.
ON BEHALF OF THE BOARD
Michael England, CEO, Caribou King Resources Ltd.
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.