Goldeye Explorations Limited

Goldeye Explorations Limited

October 13, 2006 14:26 ET

Goldeye Completes Private Placement and Options Claims in Tyrrell Twp. Project

TORONTO, ONTARIO--(CCNMatthews - Oct. 13, 2006) - Goldeye Explorations Limited (Goldeye) (TSX VENTURE:GGY) is pleased to announce that it has completed a brokered private placement announced on September 27, 2006, for proceeds of $210,000. The private placement was completed pursuant to the "Accredited Investor" exemption in accordance with NI 45-106. 1,400,000 flow-through units of Goldeye were issued at a price of $0.15 per unit. Each unit consists of one flow-through common share and one-half of a transferable common share purchase warrant. Each whole common share purchase warrant (a "Warrant" or collectively the "Warrants") entitles the holder to purchase an additional non-flow-through common share for two years at $0.25 per share for a two year period. Goldeye paid an 8% commission and issued 140,000 warrants (10%) in connection with the transaction. These warrants will have the same attributes as the Warrants.

All proceeds will be used for mineral exploration on Goldeye's Canadian mineral properties qualifying as Canadian Exploration Expense (CEE) under the Income Tax Act (Canada) enabling the subscriber to obtain applicable tax credits and deductions.

In other news, the Company wishes to announce that additional claims have been optioned to augment its land position in the Tyrrell project area, subject to approval by the TSX Venture Exchange. The Athena Claim Option involves eight unpatented mining claims consisting of a total of 10 claim units, covering approximately 157 hectares. The Gold Pit Claim Option encompasses two unpatented mining claims covering 32 hectares. A 100% interest can be acquired in both of the claim groups for a combination of cash payments and shares, subject to a 2% net smelter return royalty retained by the underlying vendors. These option deals bring Goldeye's holdings in the Tyrrell area to 207 claim units covering 3,312 hectares. A 40% interest is held in an additional 134 claim units covering 2,144 hectares representing a Joint Venture with Temex Resources Corp. The Tyrrell project is situated 90 kilometres south of Timmins, Ontario.

The Athena Claim Option adjoins Goldeye's current holding on the north, and is located immediately east of the Minto (Duncan Lake) deposit, which is described as a steeply eastward plunging pyrite-quartz-ankerite cemented breccia pipe. Historical work has reported intersections grading up to 10.08 g/t Au over 64.0 m from drilling into this pipe. A program of line cutting and induced polarization surveying is being conducted to determine if the Minto zone extends to depth onto the Athena Claim block.

The Gold Pit Claim Option is contiguous to the north with Goldeye's existing land holdings. Visible gold occurs in stacked, flat pyritic quartz veins hosted in an altered, pyrite-bearing feldspar porphyry intrusion.

Goldeye is a Canadian mineral exploration company acquiring, exploring and advancing properties in Canada and Chile. The Company has recently drilled a gold-copper property in British Columbia with results pending, and is currently planning a drill program to take place in Tyrrell and Fawcett Townships in NE Ontario. Gerald Harron, P. Eng. is the qualified person responsible for the technical information contained in this release.

Shares issued: 38,345,674

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Goldeye Explorations Limited
    B. Webster
    C.E.O. and President
    (905) 731-9367
    (905) 731-9312 (FAX)