GTA Diversifies Its Exploration Program With the Acquisition of the Burnt Pond Zn-Cu Project in Central Newfoundland
May 27, 2015 (Source: Marketwired) — GTA Resources and Mining Inc. (TSX VENTURE:GTA) has acquired a 100% interest in the Burnt Pond Zn-Cu Property in central Newfoundland. The property consists of six separate claim licences (103 units), located in the Tally Pond volcanic belt which hosts Teck Resources Ltd’s Duck Pond Mine and a number of other Cu-Zn-Ag-Au massive sulphide deposits.
The core claims were staked by GTA in March, 2015. Two other licences (47 claim units) were recently purchased from an arm’s length vendor. The closing on the latter two licences is subject to regulatory approval. Burnt Pond allows GTA to diversify into a zinc-copper project, in a producing belt with excellent infrastructure and a mining friendly jurisdiction.
The Duck Pond Mine is classified as a VMS (volcanogenic massive sulphide) deposit and achieved commercial production in 2007 with an initial resource of 6 million tonnes grading approximately 3% Cu, 6% Zn, 60 g/t Ag and 0.9 g/t Au. The GTA claims are underlain by the same geological package of altered felsic volcanic rocks as are common to the Duck Pond Mine. The area has extensive geophysical and geochemical coverage and historic drilling by third parties was quite limited. A number of untested EM (electro-magnetic) targets, coincident with anomalous base metals (Zn, Cu, Pb, Au and Ag) in both rock and soils remain to be evaluated. Anomalous base metal values associated with the VMS style alteration, includes the Wim Showing (1.9% Zn, 1.5% Pb) and drill intersections of 1.0%Zn/2.9m.
Commented Wayne Reid, President and CEO of GTA “The Burnt Pond project represents an opportunity to piggy-back on 20 years of previous field work in a mine environment and to test targets and ideas defined during this time. The property is only 8 kms from the Duck Pond mine/mill complex and this type of deposit generally occurs in clusters along the volcanic trend. The existing targets can be easily advanced to a drill stage with the use of more modern technology. The zinc market appears ready for a strong rebound in both demand and pricing and this represents a low cost entry into this market, with no option commitments or future royalties.”
The initial exploration program will consist of grid geophysics (gravity and EM) along the favourable geology with follow-up drilling anticipated for late 2015.
Subject to regulatory approval, GTA will complete the acquisition of the 47 unit Burnt Pond claims by paying the sum of $3,055 and by issuing 1,200,000 common shares at a deemed issue price of $0.05 per share
Robert Duess, P. Geo, VP Exploration for GTA and a qualified person as defined in National
Instrument 43-101, is responsible for this release, and supervised the preparation of the information forming the basis for this release. Where third party information is referred to, GTA has not assisted in the preparation or compilation of such information and cannot attest to the reliability of such information.
GTA is a well-funded publicly traded mineral exploration company. It is led by an experienced and successful management team and is focused on exploring for gold and graphite in Canada. GTA is a tightly held company having 32,106,855 shares outstanding of which insiders control approximately 21%. The Company’s shares trade on the TSX Venture Exchange under the symbol “GTA.” The Company currently has three projects located in northern Ontario: the 51% owned Northshore Project, near Schreiber; the 100% owned Auden Project near Hearst; and, the Ivanhoe Project near Folyet, in which it has an option to acquire a 100% interest. GTA also has the Burnt Pond Project in central Newfoundland, proximal to the producing Duck Pond Cu-Zn Mine.
On behalf of the board of directors
GTA Resources and Mining Inc.
Wayne Reid, President and CEO
For more information, please visit the corporate website at www.gtaresources.com.
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 press release.
This press release contains forward-looking statements and forward-looking information (collectively, “forward looking statements”) within the meaning of applicable Canadian and United States securities laws. All statements, other than statements of historical fact, included herein, including statements regarding the anticipated content, commencement, duration and cost of exploration programs, anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, the timing of the receipt of assay results, and business and financing plans and trends, are forward-looking statements. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions or are those which, by their nature, refer to future events. Although the Company believes that such statements are reasonable, there can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future performance, and that actual results may differ materially from those in forward-looking statements. Important factors that could cause actual events and results to differ materially from the Company’s expectations include those related to weather, equipment and staff availability; performance of third parties; risks related to the exploration stage of the Company’s projects; market fluctuations in prices for securities of exploration stage companies and in commodity prices; and uncertainties about the availability of additional financing; risks related to the Company’s ability to identify one or more economic deposits on the properties, and variations in the nature, quality and quantity of any mineral deposits that may be located on the properties; risks related to the Company’s ability to obtain any necessary permits, consents or authorizations required for its activities on the properties; and risks related to the Company’s ability to produce minerals from the properties successfully or profitably. Trading in the securities of the Company should be considered highly speculative. All of the Company’s public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the latest technical reports filed with respect to the Company’s mineral properties.
This press release is not, and is not to be construed in any way as, an offer to buy or sell securities in the United States.
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