|Hinterland Metals Inc.
TSX VENTURE : HMI
March 14, 2016 09:12 ET
VAL D’OR, QUEBEC–(Marketwired – March 14, 2016) – Hinterland Metals Inc. (TSX VENTURE:HMI) (“Hinterland”) is pleased to announce the sale of its 100% owned, 16-claim (558-hectare) Lockout property (the “Property”) to Beaufield Resources Inc. (TSX VENTURE:BFD) (“Beaufield”). The Property is located in the Barry-Urban area of Quebec, four kilometres east of the Windfall gold deposit currently being actively drilled and explored.
The property hosts the Panache gold zone discovered by Hinterland in 2007. Exploration to date has concentrated on this one kilometre long gold-bearing structure. Historical drilling highlights include intersections of up to 5.9 g/t Au over 3.0m within a wider zone of 1.9 g/t Au over 14.1m, with the best assay within this intersection being 15.8 g/t Au over 1.0m (see Hinterland news release dated June 16, 2010).
The Panache gold zone remains open along strike and down dip. It is projected to continue southwest onto Beaufield’s Urban property where winter drilling will be undertaken. A significant portion of the new claims remain to be explored.
Under the terms of the agreement, Beaufield has purchased a 100% interest in the Property by paying $50,000 cash and issuing 250,000 of its common shares to Hinterland. Hinterland will retain a 2.0% Net Smelter Returns royalty (the “Royalty”) on all mineral production from the Property. Beaufield will have the right to purchase one half (i.e., 1.0%) of the royalty interest for $1 million cash and will have a right of first refusal on the remaining 1.0%. The agreement is subject to approval by regulatory authorities in compliance with applicable securities legislation.
Mark Fekete, P.Geo is the designated “qualified person” as defined in Section 1.2 in and for the purposes of National Instrument 43-101 that reviewed and approved the technical content of this release.
Neither the 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 release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described in the Company’s periodic reports including the annual report or in the filings made by the Company from time to time with securities regulators. The Company undertakes no obligation to publicly release the result of any revision of these forward-looking statements to reflect events or circumstances after the date they are made or to reflect the occurrence of an unanticipated event.
Shares Issued 32,924,614