TORONTO, ONTARIO--(Marketwired - Nov. 22, 2016) - Rockcliff Copper Corporation ("Rockcliff "or the "Company") (TSX VENTURE:RCU) has agreed to purchase the Morgan Lake, Woosey Lake and Cook Lake properties (collectively called the Morgan property) in the Snow Lake mining camp from Copper Reef Mining Corporation ("Copper Reef")(CSE:CZC)(CSE:CZC.CN).The Morgan property hosts stratigraphic horizons similar to the prolific Chisel Lake Basin which contain a number of former zinc mines and is located within 3 kilometres from the now operating Lalor Mine owned by Hudbay Minerals. The Morgan property includes a high grade historic zinc-rich Volcanogenic Massive Sulphide deposit and a high grade gold-rich quartz vein system including a high grade historic zinc-rich Volcanogenic Massive Sulphide (VMS) deposit. The Morgan property forms part of Rockcliff's Snow Lake Project which hosts several high grade VMS deposits and a former historical gold mine. The Project is strategically located near Hudbay's mining operations in the Snow Lake mining camp within the prolific Flin Flon-Snow Lake greenstone belt in central Manitoba.
Rockcliff's President and CEO Ken Lapierre commented, "The Morgan property hosts high grade zinc and gold zones within trucking distance to operating milling operations centered in the Snow Lake mining camp. The Morgan property acquisition is in line with our strategy of acquiring the highest grade un-mined copper, zinc and gold properties available in the camp that have excellent growth potential. The Morgan property hosts favourable VMS and gold-bearing stratigraphy striking for many kilometres. We look forward to advancing our understanding of the Morgan property's potential through compilation of existing historical data followed by exploration programs in 2017."
The Morgan property hosts the historical gold rich Morgan zinc deposit documenting as having between a total of 272,000 tonnes grading 15.0% zinc and 3.42 g/t gold and 200,000 tonnes grading 8% zinc. Historical estimates of grade and tonnage given in this Press Release are viewed as reliable and relevant based on the information and methods used at the time. Historical estimates were identified in published Manitoba Government reports and in independent reports from resource companies. Caution must be taken when viewing historical resources as they were not prepared in compliance with resource definitions under NI 43-101 and must be considered only as historic resources. Neither Rockcliff nor its Qualified Persons have done sufficient work to classify the historic estimate as a current mineral resource under current mineral resource or mineral reserve terminology and are not treating the historic estimate as a current mineral resource. The historic resource of the Morgan deposit should not be relied upon. Additional work including surface geophysics, drilling and bore hole geophysics will need to be completed to determine if the historical resource can be upgraded to a current compliant resource.
Rockcliff will acquire a 100% interest in the Morgan property (Morgan Lake, Woosey Lake and Cook Lake properties), subject to a net smelter returns royalty (NSR), by paying Copper Reef $100,000 cash and 200,000 common shares on closing, a further $50,000 cash and 400,000 common shares within 6 months and a final 1.0 million common shares within 12 months. Copper Reef will retain a 2% NSR on the Morgan Lake property, which is subject to a 10% net profits interest royalty in favour of the original owner, a 2% NSR on the Woosey Lake property and a 1% NSR on the Cook Lake property, which is also subject to a 2% NSR in favour of a former joint venture party. A third party holds certain rights in respect of the Morgan Lake property and Cook Lake property including a back-in right to acquire a 60% interest in these properties if a mineral resource is identified with 225,000 tonnes of contained copper equivalent or a 20% back-in right if Rockcliff transfers these properties to a major company. If Rockcliff commences commercial production on the Morgan property, it will pay an advance royalty payment to Copper Reef of $1.0 million. Rockcliff at any time will have the right to purchase one-half of the Copper Reef NSRs for $1.0 million and will retain a Right of First Refusal on Copper Reef's remaining NSRs. The acquisition is subject to TSX Venture Exchange approval.
Ken Lapierre P.Geo., President and CEO of Rockcliff., a Qualified Person in accordance with Canadian regulatory requirements as set out in NI 43-101, has read and approved the scientific and technical information that forms the basis for the disclosure contained in this press release.
Please visit our website at www.rockcliffcoppercorp.com for additional information.
About Rockcliff Copper Corporation
Rockcliff is a Canadian resource exploration company focused on the discovery, advancement and consolidation of the highest grade unmined metal deposits in the prolific Flin Flon - Snow Lake (FF-SL) greenstone belt specifically centered on Snow Lake, MB. The Snow Lake Project, totalling in excess of 45,000 collective hectares is located in and around the Snow Lake mining camp and hosts the highest grade unmined copper deposits, the highest grade unmined zinc deposits and the highest grade former gold producer. The properties include two high grade VMS NI 43-101 Resources (the gold-rich Talbot copper deposit and the Rail copper deposit), three historic high grade zinc-rich VMS deposits (the Lon zinc deposit, the Bur zinc deposit and the Morgan deposit),and a Net Smelter Return Royalty (NSR) on the Tower property which includes the T-1 copper deposit. The Snow Lake Project also includes the highest grade former lode gold producer (Laguna) in the FF-SL greenstone belt. Rockcliff also owns a zinc-silver rich NI 43-101 Resource (the Shihan deposit) in Ontario and a royalty on two gold properties in Colombia, South America.
Rockcliff is well funded with approximately $3.0 million in its treasury and no debt.
Cautionary Note Regarding Forward-Looking Statements: This news release includes forward-looking statements that are subject to risks and uncertainties. Forward-looking statements involve known and unknown risks, uncertainties, and other factors that could cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements.
All statements within, other than statements of historical fact, are to be considered forward looking. Although Rockcliff believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements.
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.