Xmet Acquires Metals Creek's Graphite Target 7KM West of Zenyatta's Albany Project, Significantly Increases Land Position
May 22 2014 - 4:00PM
Marketwired
Xmet Acquires Metals Creek's Graphite Target 7KM West of Zenyatta's
Albany Project, Significantly Increases Land Position
TORONTO, ONTARIO--(Marketwired - May 22, 2014) - Xmet Inc.
("Xmet" or the "Company") (TSX-VENTURE:XME) is pleased to announce
that it has signed a definitive option agreement (the "Agreement")
with Metals Creek Resources Corp. to acquire up to a sixty percent
interest the Feagan Lake Project which immediately abuts the west
side of Zenyatta's Albany project. The acquisition will expand
Xmet's existing land package on its Blackflake project by 7,000
acres to over 36,000 acres. The agreement is subject to approval of
the TSX Venture Exchange (the "Exchange").
The acquisition, to be designated 'Blackflake West', promises to
be a significant acquisition because of a positive 'All Channel'
VTEM conductive response, associated with a mag low, obtained over
the target in a VTEM airborne survey commissioned by Metals Creek
and conducted by Aeroquest in March, 2014, which has now been
evaluated by Xmet's technical team.
About Blackflake
West
Blackflake West's VTEM survey discovered several new exploration
targets exhibiting similar features to that of Zenyatta's
hydrothermal graphite discovery. The target with the "All Channel"
response, that is also associated with a mag low, is of particular
note as this correlates highly with the presence of a graphite
resource. This All Channel response is located seven kilometres due
west of Zenyatta's hydrothermal graphite occurrence.
The attached image depicts a map of Xmet's land position on the
Blackflake and Blackflake West Projects:
http://media3.marketwire.com/docs/xme522.pdf
"Blackflake West nicely complements our existing Blackflake land
package and we now straddle Zenyatta on both its eastern and
western boundaries. In the near term we are looking forward to
completing further geophysics and ultimately drilling the
'All-Channel' response target that was identified on the VTEM
survey commissioned by Metals Creek," said Alexander Stewart,
Xmet's Chairman and CEO.
Bill Yeomans, P. Geo, states, "The Metals Creek VTEM target is
well located 7 km due west of the Zenyatta Albany graphite diatreme
in an area where the limestone cover is anticipated to be very thin
or absent. Follow-up detailed ground electromagnetic geophysical
surveys over this high priority Metals Creek VTEM anomaly will
assist in planning the location of drill holes."
In order to earn a fifty percent interest in the claims from the
Optionor, Metals Creek Resources Corp., Xmet has agreed (a) to make
a cash payment of $5,000 and issue 1,000,000 common shares to the
Optionor, forthwith after receiving the approval of the Exchange;
(b) carry out $60,000 in work obligations, make a cash payment of
$15,000 and issue a further 1,000,000 shares to the Optionor within
five months of Exchange approval; (c) carry out $150,000 in work
obligations within twelve months of Exchange approval; (d) carry
out $250,000 in work obligations and issue 500,000 shares to the
Optionor within two years of Exchange approval; and (e) carry out
$425,000 in work obligations and issue 500,000 shares to the
Optionor within three years of Exchange approval. Xmet may then
increase its interest from fifty percent to sixty percent within 90
days after earning its fifty percent interest by making a cash
payment of $100,000, issuing 1,500,000 shares to the Optionor and
conducting $1,000,000 in work obligations over the next year. Xmet
may at any time accelerate its obligations to earn its interest
earlier. Once Xmet's interest is earned, the project will continue
as a joint venture with the Optionor.
About Xmet's Blackflake
Project
Xmet's Blackflake Project now comprises over 29,000 acres of
100% owned claims and 7,000 acres of optioned claims approximately
60km to the northwest of Hearst, Ontario and is adjacent to the
east and west of Zenyatta's Albany Project. Xmet has conducted
multiple airborne electromagnetic surveys, VTEM and TDEM, and
ground geophysics which discovered multiple electromagnetic
conductors making the targets highly prospective for further
exploration. Xmet has developed an excellent working relationship
with the Constance Lake First Nation, with whom the company signed
an ongoing Exploration Agreement.
The technical information contained in this news release has
been approved by William Yeomans, a director of Xmet, who is a
qualified person as defined in "National Instrument 43-101,
Standards of Disclosure for Mineral projects".
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.
Certain information in this press release may contain
forward-looking statements. This information is based on current
expectations that are subject to significant risks and
uncertainties that are difficult to predict. Actual results might
differ materially from results suggested in any forward-looking
statements. Xmet assumes no obligation to update the
forward-looking statements, or to update the reasons why actual
results could differ from those reflected in the forward
looking-statements unless and until required by securities laws
applicable to Xmet. Additional information identifying risks and
uncertainties is contained in filings by Xmet with Canadian
securities regulators, which filings are available under Xmet's
profile at www.sedar.com.
Xmet Inc.Alexander StewartChief Executive Officer(416)
644-6588astewart@xmet.caXmet Inc.Stephen StewartPresident(416)
644-6588sstewart@xmet.ca