CONSTANTINE ACQUIRES TRAPPER LAKE GOLD PROPERTY IN NORTHERN BRITISH COLUMBIA
May 19, 2010
Constantine Metal Resources Ltd. (TSX Venture- CEM) ("Constantine" or the "Company") is pleased to announce that is has signed an agreement to acquire an undivided 100% interest in 9 contiguous mining claims (3,756 hectares) that make up the Trapper Lake property (the “Property”), located in the Atlin Mining Division in northern British Columbia. The Property lies 45 km north of the Golden Bear mine road, accessed from Dease Lake and 200 km south of the Yukon-BC border.
The Property covers a very large gold-in-soil anomaly that has yet to be drill tested. The gold anomaly has been established with more than 900 soil samples defining a greater than one kilometer long zone that averages 100 to 200 meters in width and remains open ended along strike (see figure posted to website release) . The gold anomaly is associated with mafic volcanic rocks assigned to the Triassic aged Stuhinni Group that are intruded by diorite and dacitic feldspar porphyry stocks. Extensive iron carbonate-silica alteration suggests that the soil anomaly is associated with a robust large scale hydrothermal system.
Garfield MacVeigh, president states “the Trapper Lake property represents an exceptional early stage gold exploration opportunity. It is rare to find a project with such a large and high tenor geochemical soil anomaly lacking any prior drilling. Recent major gold discoveries in the Yukon, made following up gold-in-soil anomalies, highlight the opportunity”.
In order to acquire a 100% interest in the project, Constantine must make cash payments totaling C$135,000 ($15,000 paid on signing the Agreement) and 155,000 shares or C$155,000 cash at Constantine’s election, over a 4 year period. The vendor will retain a 2.5% NSR royalty of which 1.0 % can be purchased by Constantine at any time for C$500,000 with a right of first refusal on the remaining 1.5% NSR royalty. The acquisition is subject to regulatory approval.
Historical work in the early 1980's by Chevron Minerals of Canada, outlined a large-scale, high-tenor gold-in-soil geochemical anomaly with initial reconnaissance soil sampling followed by 700 grid controlled soil samples that is now known as the Trapper Lake property (previously referred to as the Inlaw property by Chevron). Within the greater than one kilometer long anomaly, 13 individual soil samples yielded gold values greater than 1000 ppb gold (1.0 g/t), and two sites yielded >8000 ppb (8.0 g/t) gold. The anomaly also encompasses numerous supportive
+100 ppb Au values, and it also appears to be open to the west, near the valley bottom of Inlaw Creek. A 1984 Chevron follow-up program carried out prospecting and preliminary mapping with more than 30 grab samples and 11 channel samples. One grab sample assayed greater than 10,000 ppb gold and the 11 one meter channel samples averaged 1.9 g/t gold and 9 g/t silver with a range of 0.3 g/t gold to 6.2 g/t gold. Further work recommended by Chevron geologists was apparently not carried out.
A validation sampling program was carried out on the Property in July 2008 by Richfield Ventures Corp. Of a total of 221 soil samples, 69 returned values greater than 100 ppb gold, with 12 geochemistry samples yielding greater than 1.0 g/t, and a high of 3.75 g/t (3750 ppb). Silver values ranged up to 11.4 ppm, with zinc ranging up to several thousand ppm, lead up to 8668 ppm, and arsenic up to 3635 ppm. Constantine is currently evaluating exploration strategies and plans for the Trapper Lake property.
About the Company
Constantine has a 100% interest in two exceptional projects located in world class exploration environments where management has strong familiarity and expertise. These include the Palmer Project, where the Company has made a major new copper-zinc-silver-gold discovery in a very accessible part of southeast Alaska, and the Munro-Croesus Project, a past-producing mine property that yielded some of the highest grade gold ever mined in Ontario.
On Behalf of Constantine Metal Resources Ltd.
Darwin Green P.Geo, Vice President for Constantine Metal Resources Ltd. and a qualified person as defined by Canadian National Instrument 43-101, has reviewed and approved the technical information contained in this release. Data are derived from historic government assessment files and a November 2008 technical report that was prepared in compliance with Canadian Securities Administrators National Instrument 43-101 and Form 43-101F1. The technical report was prepared by Charles J. Greig P.Geo, the Property vendor, for Richfield Ventures Corp. who funded the 2008 validation sampling program.
Forward looking statements: This news release includes certain “forward-looking information within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively "forward looking statements").” Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as “seek”, “anticipate”, “believe”, “plan”, “estimate”, "forecast", “expect”, "potential", "project", "target", "schedule", budget" and “intend” and statements that an event or result “may”, “will”, “should”, “could” or “might” occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding potential mineralization, interpretation of prior exploration and potential exploration results, the timing and success of exploration activities generally, the timing and results of future resource estimates, and future plans and objectives of Constantine are forward-looking statements that involve various risks and uncertainties. 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. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Constantine’s expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements.
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.