www.millrockresources.com
Millrock Resources Inc. is a premier project generator to the mining industry. In the search for world-class gold and copper deposits in mineral rich Alaska and Arizona, Millrock identifies, packages and operates large-scale projects for joint venture, thereby exposing its shareholders to the benefits of mineral discovery without the usual financial risk and attendant shareholder dilution taken on by most exploration companies. Millrock currently has eleven active exploration projects, eight gold-copper properties in Alaska, and three porphyry copperprospects in Arizona. With funding primarily coming from its joint venture partners, Millrock plans to carry out exploration programs with a total value of more than US$14 million for 2011. Business partners of Millrock include some of the leading names in the mining industry: Kinross, Teck, Vale, Inmet and Altius, as well as junior explorers Ryan Gold, Brixton Metals and Crescent Resources.
Crescent to earn up to 100% interest in Millrock's Uncle Sam property in Alaska
Millrock Resources (MRO – TSX:V) said Wednesday it has signed an earn-in agreement with Crescent Resources (CRC - TSX:V) for Millrock’s Uncle Sam property, located 75 kilometers southeast of Fairbanks, Alaska in the Tintina Gold Belt.
A letter of intent signed between the parties gives Crescent the option to earn a 100% interest in the Uncle Sam claim group in return for US$2.5 million in exploration expenses, US$300,000 in cash payments and Crescent shares.
If the earn-in agreement proceeds to December 31, 2011, Millrock will be issued an amount of Crescent shares equivalent to an 18% stake in the company. Crescent will then issue additional common shares to Millrock according to the amount of measured and indicated resources found in the project's NI 43-101 compliant report.
The Uncle Sam gold project targets intrusion-related gold deposits hosted in a similar age of intrusive rocks to those at the Pogo Gold Mine in east-central Alaska, approximately 60 kilometers east of Uncle Sam. The Pogo Mine was discovered in the mid 1990s and hosts over five million ounces of gold.
The Uncle Sam property was previously explored in the 1990s by Kennecott, Geoinformatics (a predecessor to Kiska Metals) and Midas Gold. Geophysical surveys have identified two intrusive bodies with associated gold mineralization, Millrock said.
Several drill-ready targets already exist on the Uncle Sam claim block, and results of Millrock's further geochemical sampling tests are still pending. Millrock will be the operator of Uncle Sam until November 1, 2011, after which Crescent will assume the role.
Millrock currently has eleven active exploration projects, eight gold-copper properties in Alaska, and three porphyry copper prospects in Arizona. The company was up almost 3% on Wednesday, trading at $0.72 as of 3:38pm ET.
