Commander Options Gold Property in the Yukon
June 02 2011 - 6:48PM
Marketwired Canada
Commander Resources Ltd. (TSX VENTURE:CMD) ("Commander") has negotiated an
option agreement, for a package of claims located in the Little Highland River
Valley, Watson Lake mining district in the Yukon (the "Property"). Recently,
this region has seen a great deal of gold exploration activity following the
success of the 3Ace property, owned by Northern Tiger, which is situated
immediately south of Commander's new claims. 2010 reported drill results on the
3Ace property included intercepts of up to 14.8 g/t gold over 10.9 m, including
145 g/t over 1.05 m.
The package of 127 claims is owned by a prospector syndicate based out of
Whitehorse. In addition, Commander Resources has added another 150 claims to the
area, for a total package of 277 claims, covering approx. 5,800 ha over a 20 km
strike extent. The project area will be known as the Glenmorangie property.
"We have been assessing several opportunities to gain a position in the Yukon
gold region and this property package is very attractive due to its
accessibility and location in a known gold bearing trend," states Eric Norton,
President and CEO of Commander.
Under the terms of the option agreement, Commander has an option to earn a 100%
interest in the Property through the staged issue of 840,000 shares, staged cash
payments of $147,000 and a total exploration expenditure of $500,000 over four
years. The NSR terms are 2% plus an advance smelter return of $12,000 per year,
with an option to buy down to 1% NSR, each half per cent costing $1 million. The
first year's commitment calls for $125,000 of exploration, issuance of 300,000
shares and cash payments of $27,000. The agreement is subject to Board and TSX
Venture Exchange approval.
The area has been explored with funding from the Yukon Mining Incentive Program
(YMIP) for the past two seasons. Gold was first discovered on the adjacent
Culvert claims, now owned by Hinterland Minerals. The main showing is located
1.5 km from Commander's claims and along trend. Stream sediment, soil sampling
and rock chip sampling programs have been carried out with highlights of the
rock chip program shown in the following table:
Rock Chip Sampling
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Sample ID Au - ppb Sample ID Au - ppb
------------------------------------------------
RS10A 139 RS14 365
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RS15 107 RS18 205
------------------------------------------------
RS35 924 RS36 1,485
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RS43 748 RS44 442
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RS61A 430 RS61B 265
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RS61C 266 RS63 877
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Work on the Property is preliminary but research to date has shown a strong
correlation between gold and arsenic values.
The Property is located in the Selwyn Basin and consists of phyllites and shales
of the Hyland Group and Vampire formation. Intruding the metasediments are
younger cretaceous aged stocks and plutons, which are possible mineralizing
events. The Little Highland River Valley is dominated by a major structural
feature called the March fault and bounded to the north by the Dawson fault, and
to the south-west, by the Tintina fault. The Tintina fault and associated splays
have become synonymous with gold finds and the significance of this major
tectonic event is still being studied. Mineralized quartz veins have been found
on the Glenmorangie property and could either be associated with faulting events
or with an underlying Cretaceous aged intrusion, or both. The area has been
glaciated and therefore the valleys are filled with glacial debris. Good rock
exposure is found at higher altitude.
Commander is planning a summer exploration program of prospect mapping, stream
sediment sampling, soil grid sampling and trenching. The work program will be
designed with the intention of following up with a drill program next year. The
Property is easily accessible from the Nahanni Range Road and by ATV trails.
Commander is well financed for this season's work program, having recently
closed a flow through financing of over $2 million. For further information and
a detailed location map, please visit our website at www.commanderresources.com.
Steve Potts, VP of Exploration will be the Qualified Person under NI 43-101
responsible for the exploration activities on the property.
On behalf of the Board of Directors,
Eric Norton, President & CEO
Shares Issued: 99,442,548
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