Linear Metals Corporation

Linear Metals Corporation

March 31, 2011 11:42 ET

Linear Metals Agrees to Option Agreement on Seymour Lake Project

HALIFAX, NOVA SCOTIA--(Marketwire - March 31, 2011) - Linear Metals Corporation (TSX:LRM) is pleased to announce that it has agreed to terms with Canadian Copper Core Inc. ("CCC") pursuant to which CCC will have the right to earn a 70% interest in Linear's Seymour Lake property.

The terms of the agreement provide CCC with the option to earn a 70% interest in the project by making a series of cash payments aggregating $500,000, issuing CCC shares valued at $1,750,000 and incurring qualifying exploration expenditures of $3.0 million, all over a period of three years. Linear retains the right, following CCC's 70% earn-in, to require CCC to deliver a bankable feasibility study on the Seymour Lake project in order to earn an additional 10% interest. Linear will also retain a 1% NSR covering the project.

Brian MacEachen, President and CEO of Linear Metals, commented, "The principals of Canadian Copper Core have recognized the Seymour Lake property as one of the most promising properties in Canada for lithium, tantalum and other rare earth metals. CCC's exploration program will follow up on the success of Linear's previous drill programs and the structure of our agreement will provide for the continued advancement of the Seymour Lake Project with Linear retaining significant direct and indirect participation in the project's success."

CCC is a private company that plans to list its shares for trading on a Canadian Exchange.

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

Contact Information

  • Linear Metals Corporation
    Brian MacEachen
    President and Chief Executive Officer
    (902) 482-1240