SOURCE: Secova Metals Corp.

Secova Metals Corp.

February 02, 2016 14:20 ET

Secova Breaking Ground at Duvay

VANCOUVER, BC--(Marketwired - February 02, 2016) -  Secova Metals Corp. ("Secova" or the "Company") (TSX VENTURE: SEK) is pleased to provide an update on the Company's current activities and future plans.

Duvay Exploration

Secova has commenced its winter exploration program on the advanced-stage Duvay gold project in Amos, Quebec. The program is scheduled to include over 3,250 meters (10,660 feet) of drilling. A three-dimensional (3D) IP survey and compilation of historic data into a 3D model is underway. Results are expected to contribute to a comprehensive model of the Duvay gold structure. The Duvay project is located in the Abitibi gold belt, one of Quebec's premier mining jurisdictions.

Winter drilling is proposed to include 10 holes along the current 1.5 kilometer (0.9 mile) strike at Duvay. These holes of between 200 and 400 meters (656 and 1,312 feet) each would test the system at depth for the first time to determine if gold-bearing structures continue for the entire strike length and at depth.

"We are very excited to have started our exploration program at Duvay and look forward to drilling, which is crucial to test the expanse of the property for its gold deposit potential," said Brad Kitchen, Chief Executive Officer of Secova. "In a market where many exploration companies are not doing any work to advance their projects, we feel extremely fortunate to have the support of our shareholders to fund our exploration program. We believe Secova has a huge advantage over other gold exploration companies as we advance the gold exploration at Duvay while others sit idle. When the market for mineral resources improves, we believe Secova will be in the driver's seat to benefit from the market change."

Most of the historic work at Duvay has been focused near the surface, including 339 drill holes to an approximate depth of 100 meters (328 feet), and in an area that is only 250 square meters (2,690 square feet). Historical gold results from the 1940s through the 1980s reportedly include drill intersections of up to 402 grams per tonne (g/t) over 0.36 meters (1.18 feet), 76.8 g/t over 0.46 meters (1.51 feet) and 34.6 g/t over 0.46 meters (1.51 feet), as well as more recent drilling by Tres-Or including up to 83.194 g/t over 1.0 meter (3.28 feet). These selected results show the presence of gold. A short exploration mine shaft and drifts (1944) reportedly intersected a highly variable gold grade. These findings are similar to typical gold mineralization in the Abitibi gold belt.

As part of its methodical approach to exploring the Duvay project, Secova is currently conducting a 3D IP survey (OreVision 3D) and compiling all available historic data into a 3D model using the latest computer software. Once complete, this model is expected to help fast-track the project by identifying the best drill targets on the property on a much larger scale than before. Drilling is anticipated to begin between March and late April depending on weather conditions.

The winter exploration program at Duvay is based on a preliminary assessment report prepared by PJ Lafleur Geo-conséil Inc. ("PJLGCI"). PJLGCI reviewed all available historic information with the objective of proposing an exploration program that would assist in creating a comprehensive model of the Duvay gold structure. 

Additional information about Secova, as well as media interviews featuring and opinion-editorial pieces by CEO Brad Kitchen, may be accessed via the Company's web site at www.secovametals.com.

Share Structure and Financing

Over the past year, Secova successfully raised almost $1.2 million with the majority of proceeds from five investors. Currently, management and insiders hold a 58.4% stake in the company, a Canadian mining fund holds 19.9%, Frontier Merchant Capital Group holds 7.8% and over 2,000 shareholders hold the remaining 13.9% float (the vast majority of these shareholders are with one brokerage firm and have a cost basis of over $1.50 per share). 

In late December 2015, Secova closed the first tranche of a proposed a non-brokered private placement pursuant to which the Company will issue up to 10,000,000 flow-through shares at a purchase price of $0.075 per flow-through share and up to 4,000,000 common shares at a purchase price of $0.05 per common share for total gross proceeds of $950,000. Please refer to the Company's news release of November 5, 2015 for more details.

Other Corporate News

Secova has successfully completed an exploration program on its Jessie Lake Project. The Company spent over $120,000 in exploration expenses to meet its obligations under the option agreement to acquire the property. The results of the exploration program show a high likelihood of the potential for an iron, copper and zinc deposit. The Company is scheduling to evaluate this asset before the April 21, 2016 date by which it must commit to a second year of exploration work, a payment of $25,000 and the issuance of 200,000 shares.

Pierre-Jean Lafleur, ingénieur géologue, a qualified person registered in Quebec as defined by NI 43-101, has reviewed the technical information in this press release.

About Secova Metals Corp.

Secova Metals Corp. is a Canadian gold exploration company focused on building a strong asset base through exploration of undervalued gold projects in Canada. Secova has entered into an agreement to acquire up to 90% of the advanced-stage Duvay gold project in Amos, Quebec, located in the Abitibi gold belt, one of Quebec's premier mining jurisdictions. The Company has plans to advance the development of Duvay as well as seek other avenues of growth through acquisition and mergers. Secova Metals trades on the TSX Venture under the symbol SEK. Learn more about Secova at www.secovametals.com.

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.

This press release contains "forward-looking information" that is based on the Company's current expectations, estimates, forecasts and projections. This forward-looking information includes, among other things, statements with respect to the Company's exploration and development plans. The words "will", "anticipated", "plans" or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information.

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