Balmoral Completes Acquisition Of 100% Ownership Of Entirety Of Grasset Ultramafic Complex
Vancouver, July 31, 2014) Balmoral Resources Ltd. (“Balmoral” or the “Company”) (TSX: BAR; OTCQX: BALMF) reported today that it has completed three property acquisition agreements which secure 100% ownership of the remaining 2.3 kilometres of projected strike extent of the Grasset Ultramafic Complex (“GUC”) not previously held by the Company. The GUC hosts the Company’s high-grade Grasset Nickel-Copper-PGE discovery 13.5 kilometres to the south of the properties acquired. As a result of today’s acquisitions, Balmoral controls a 100% interest in a 23 kilometre long northwest-trending belt underlain by strongly magnetic rocks marking the Grasset Ultramafic Complex and potential extensions. In addition to nickel-copper-PGE mineralization the belt has confirmed potential for both gold and zinc-copper (VMS) discoveries.
“With our drill program progressing well on the Grasset Nickel-Copper-PGE discovery it was important to tie up the remaining mining claims along the projection of the GUC and secure the entirety of the exploration upside in this exciting discovery for our shareholders,” said Darin Wagner, President and CEO of Balmoral Resources. “We thank the vendors for working with us on these transactions and agreeing to become shareholders of Balmoral”
A number of historically defined, and dominantly untested, airborne EM conductors are documented on the newly acquired (Jeremie (ABE), Jeremie 5 and Jeremie 8) properties. All three properties will be included in the Company’s planned low-level, high resolution airborne EM survey of the entire Grasset trend which is expected to begin within the next two weeks. There is no recorded drill testing of the projection of the GUC on any of the newly acquired properties.
Jeremie (ABE) Property
Balmoral has agreed to acquire a 100% interest in the Jeremie (ABE) Property from ABE Resources Inc. (“ABE”) in exchange for the issuance of 60,000 common shares of the Company and granting to ABE of a 1% NSR royalty on the 17 claims which comprise the Property. Balmoral will have the right, at any time, to purchase from ABE 50% of the NSR for $500,000 and shall have a right of first refusal on the sale or transfer of ABE’s royalty interest.
In addition, Balmoral will purchase an existing 2% NSR interest in the Jeremie (ABE) Property from two underlying vendors for a total of 30,000 common shares (15,000 to each of two vendors).
Jeremie 5 Property
Balmoral has agreed to acquire a 100% interest in the Jeremie 5 Property from Mr. Glenn Griesbach (“Griesbach”) in exchange for the issuance of 20,000 common shares of the Company and granting to Griesbach of a 1% NSR royalty on the 5 claims which comprise the Property. Balmoral will have the right, at any time, to purchase from Griesbach, 50% of the NSR for $1,000,000 and shall have a right of first refusal on the sale or transfer of Griesbach’s royalty interest.
Given the proximity of the two properties, the Jeremie (ABE) and Jeremie 5 Properties will henceforth form the Company’s Jeremie South Property (see Figure 1).
Jeremie 8 Property
Balmoral has further agreed to acquire a 100% interest in the Jeremie 8 Property from Ms. Junita Tedy Asihto (“Tedy Asihto”) in exchange for issuance of 7,000 common shares of the Company and granting to Tedy Asihto of a 1% NSR royalty on the 8 claims which comprise the Property. Balmoral will have the right, at any time, to purchase from Tedy Asihto 50% of the NSR for $1,000,000 and shall have a right of first refusal on the sale or transfer of Tedy Asihto’s royalty interest. The Jeremie 8 Agreement remains subject to final registration of the 8 claims comprising the Property.
The shares to be issued under the three agreements will be subject to a four month hold period under applicable securities laws in Canada.
About Balmoral Resources Ltd. – www.balmoralresources.com
Balmoral is a Vancouver-based precious metal exploration and development company focused on delineation of both high-grade gold and nickel-copper-PGE discoveries on its wholly owned Detour Gold Trend Project located in Quebec, Canada. With a philosophy of creating value through the drill bit and with a focus on proven productive precious metal belts, Balmoral is following an established formula with a goal of maximizing shareholder value through the discovery and definition of high-grade gold and base metal assets.
On behalf of the board of directors of
BALMORAL RESOURCES LTD.
President and CEO
For further information contact:
John Toporowski, Manager, Corporate Development
Tel: (604) 638-5815 / Toll Free: (877) 838-3664