VANCOUVER, BC--(Marketwired - July 06, 2016) - Kiska Metals Corporation ("Kiska" or the "Company") (TSX VENTURE: KSK) is pleased to announce that it has entered into a definitive agreement whereby Aben Resources Ltd. ("Aben") has been granted the option to earn a 100% interest in the Company's RDN Property as part of a significant land consolidation in the heart of BC's Golden Triangle.
"The amalgamation of Kiska's RDN Property, which is host to multiple precious metal VMS and epithermal showings over a >20 km strike extent of prospective rocks in the prolific Golden Triangle, with several similar projects over a 40 km trend, creates a new and exciting district-scale (23,000 hectares), high-grade gold exploration project (the "Forrest Kerr Project")," states Dr. Mike Roberts, V.P. Exploration for Kiska, "This new project will be driven by a technical team with decades of boots-on-the-ground experience in the Golden Triangle, led by a highly-regarded management team and a Board with a track-record of success. This is a great opportunity for Kiska to maintain upside exposure to the RDN project through a royalty interest, and a larger district play through its shareholding in Aben."
The Forrest Kerr Project is host to multiple VMS and epithermal prospects over a 40 km strike extent of Hazelton and Stuhini Group stratigraphy, including rocks of the Betty Creek and Salmon River Formation, both correlative to the host rocks of Pretium's Brucejack deposit and Barrick's Eskay Creek deposit, respectively. In addition, the Project straddles the north-south striking Forrest Kerr Fault, a regional-scale fault system that is interpreted to be a significant control on precious metal mineralization in the belt. The Forrest Kerr Project also has excellent access to infrastructure; the northern portion of the property is traversed by the Galore Creek access road within 25 km of Highway 37, and the southern part of the property is accessed through recently constructed roads associated with the McLymont and Forrest Kerr hydro-electric projects.
One of several significant prospects includes the Wedge Zone (RDN Property), defined by a 2600 by 800 metre gold-silver-arsenic-lead-antimony soil anomaly that overlies volcanic rocks and mudstones interpreted to represent a shallow marine setting. Multiple high-grade gold surface showings within this soil anomaly are comprised of stockwork quartz-sulphide veins associated with intense sericite alteration. Shallow drilling of these showings in the early 1990's returned high grade gold intercepts, such as 101.0 g/t Au over 1.95 metres and 137.8 g/t Au over 0.85 metres (RG91-21; true width unknown), yet many of these intercepts, interpreted to be possible feeders zones to a precious metal VMS system, have yet to be followed-up.
Option Agreement Terms:
Aben has been granted the exclusive right and option to earn a 100% interest in the RDN Property by making the following share issuances and incurring expenditures on the RDN Property in accordance with the following schedule:
- Share Payments to Kiska:
- 1,500,000 Common Shares within 5 business days of the Effective Date;
- 1,500,000 Common Shares on or before the first anniversary of the Effective Date; and
- 1,000,000 Common Shares on or before the second anniversary of the Effective Date;
- Expenditures -- Incurring expenditures on the mineral claims comprising the Forrest Kerr Project of a minimum of $3,000,000, of which no less than $1,000,000 of such expenditure is to be spent on the RDN Property, on or before June 30, 2020
- Kiska will retain a non-buyable 1.33% net smelter return royalty on the RDN Property
- Kiska will nominate one representative to Aben's Board of Directors
"Kiska continues to solidify its position as a leading project and royalty generator in the Americas, with cash and marketable securities in excess of $6 million, multiple active exploration agreements with major mining companies, drill-ready projects available for option, and a growing royalty portfolio," stated Grant Ewing, CEO of Kiska. Kiska's value proposition to investors is matched or exceeded by very few in junior exploration when one considers the Company's working capital, assets, and technical ability. Kiska will continue to grow by optioning its current projects and generating and acquiring others.
The technical content of this document was reviewed and approved by Michael Roberts, Ph.D., P.Geo., Vice President of Exploration for Kiska Metals Corporation, a Qualified Person as defined by National Instrument 43-101.
About Kiska Metals Corporation - Discovery Starts Here
Kiska specializes in developing early-stage mineral exploration projects with the goal of discovering economic mineral deposits. The Company's focus and expertise is precious and base metal deposits in the Americas. Kiska employs the "Project and Royalty Generator" business model to finance exploration, leverage exploration dollars and data, and preserve shareholder equity. Kiska partners its projects with mining and exploration companies who share its vision and commitment with respect to environmentally and socially responsible mineral exploration and development. Kiska believes that the next generation of economic mineral deposits will be discovered by solid boots-on-the-ground fieldwork coupled with innovative exploration technologies -- this approach increases the odds of discovery and is Kiska's competitive advantage over its peers.
Kiska holds a high quality portfolio of gold and copper projects throughout North America; three of its projects are held under option agreements with major mining companies. Kiska has several other gold and copper projects available for option-joint venture, large technical databases, and an extensive royalty portfolio. The Company has cash and marketable securities in excess of $6 million, and a market capitalization of ~$10 million (116.3 million shares outstanding).
On behalf of Kiska Metals Corporation
Grant Ewing, President & CEO
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.
CAUTIONARY STATEMENT: No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". Other than statements of historical fact, all statements included in this release, including, without limitation, statements regarding future plans and objectives of Kiska Metals Corporation, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Kiska's expectations are the risks detailed herein and from time to time in the filings made by Kiska Metals Corporation with securities regulators. Those filings can be found on the Internet at http://www.sedar.com.