Goldeye Explorations Limited

TSX VENTURE : GGY


Goldeye Explorations Limited

April 26, 2013 16:05 ET

Goldeye Explorations Limited Provides Corporate Update

TORONTO, ONTARIO--(Marketwired - April 26, 2013) - Goldeye Explorations Limited (TSX VENTURE:GGY) ("Goldeye" or the "Company") announces that it has agreed with Dutch Flats Gold Inc. ("Dutch Flats") to terminate the agreement to acquire the Hot Springs Peak property in Nevada which was first announced on January 18, 2013. The termination of the agreement was mutually agreed based on current market conditions. Goldeye may revisit the acquisition of the Hot Springs Peak property at a future date.

In a press release dated March 5, 2013, the Company stated that the original agreement was subsequently amended to provide that Goldeye may distribute by way of a dividend or return of capital, 2,500,000 of the 5,000,000 shares of Temex Resources Corp. owned by Goldeye to its shareholders holding shares of Goldeye immediately prior to the closing of the Dutch Flats agreement, thereby excluding participation in such distribution by the Dutch Flats Shareholders. The Company announces that in view of the termination of the Dutch Flats agreement, and current market conditions, it has no current intention of distributing any Temex shares to its shareholders.

Blaine Webster, President and CEO of Goldeye said: "Recent market conditions have created a difficult environment for all junior exploration companies. Goldeye's plan is to conserve cash while increasing shareholder value through the joint-venture or sale of select properties. Simultaneously, Goldeye will focus on the Weebigee project (Sandy Lake), as management believes in the potential of this area to deliver a significant discovery."

Weebigee (Sandy Lake) is a potential high grade lode gold project in an area of northwestern Ontario that remains extremely underexplored. The property covers the most prospective portions of the Sandy Lake Greenstone belt with similarities to the geology of several mines (Red Lake, Madsen, and Starratt-Olsen) in the Red Lake District. High grade grab samples of up to 187 grams per tonne (g/t) gold (Au) have been collected in the Northwest Arm block. Base metal showings up to 4.5% zinc (Zn) and 3% copper (Cu) occur 5km to the south at Sandborn Bay along with grab samples of 352 g/t silver (Ag) and 1 g/t Au.

Goldeye is committed to a strong and mutually beneficial relationship with Sandy Lake First Nation (SLFN), the closest Aboriginal community to the project. Management has spent several years developing this relationship and continues to engage in on-going consultative dialogue with the community. The combination of extremely high mineral potential, along with the social and physical infrastructure in the area, including a nearby hydro dam, make Weebigee (Sandy Lake) an ideal project. This project holds the potential to bring significant value to both Goldeye shareholders and SLFN.

Exploration plan and exploration permit applications respecting the project were submitted to the Ministry of Northern Development and Mines in March. Goldeye's summer 2013 exploration program will include geological mapping, lake-bottom geochemistry and geophysical surveys. Upon receipt of an exploration permit, Goldeye will begin planning a drill program.

While management expects a challenging environment for junior explorers to continue, Goldeye is well positioned to see the upside and bring value to shareholders as market conditions improve.

On behalf of the Board of Directors

Blaine Webster, P.Geo., President and CEO

Blaine Webster, P. Geo., is the Qualified Person as defined under NI 43-101 who has reviewed and is responsible for the technical information presented in this news release.

ABOUT GOLDEYE

Goldeye is a Canadian gold-focused exploration company with properties in mineral rich, politically secure jurisdictions with long traditions of mining. In Canada, Goldeye holds a 24.5 % interest in the Todd Property in British Columbia, a 100 % interest in the Gold Rock, Sandy Lake and Leonard-Fawcett properties in Ontario and additional claims in Tyrrell Twp. In Chile, Goldeye owns 100 % of the Sonia-Puma property located 180 km north of Santiago.

FORWARD-LOOKING STATEMENTS

This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Such statements include the following: Weebigee (Sandy Lake) is a potential high grade lode gold project; this project holds the potential to bring significant value to both Goldeye shareholders and SLFN; and statements regarding Goldeye's proposed summer 2013 exploration program. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

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.

Contact Information

  • Goldeye Explorations Limited
    Blaine Webster, P.Geo.
    President and CEO
    416-315-9708
    bwebster@goldeye.ca

    Goldeye Explorations Limited
    Robin Luke Webster
    Investor Relations
    416-877-6389
    rwebster@goldeye.ca