Laramide Resources Ltd. (TSX-V: LAM) is pleased to announce that it has entered into an option agreement to acquire a 100% interest in 48 unpatented mining claims located in the Callieres Township, in the Province of Quebec. To earn a 100% interest, the Company must make cash payments of $275,000 and issue 360,000 common shares over a 5 year period. In addition, Laramide has agreed to incur minimum exploration expenditures of $100,000 for each year of the agreement. An early vesting provision provides that Laramide can earn a 50% interest within three years by spending $125,000 and issuing 190,000 shares. The first year commitment is $25,000 in cash (paid) and 60,000 shares.
The option agreement covers claims that had seen sporadic exploration work for uranium in the earlier booms of the 1950’s and 1960’s which identified a cluster of radiometric anomalies. Laramide has acquired additional claims in the area by staking and intends to carry out an exploration program this summer which will include airborne radiometrics and geophysics over the entire property position. A finder’s fee of 25,000 shares is payable to an arm’s length party in respect of this transaction and issue of these shares, and the shares pursuant to the agreement is subject to the approval of the TSX Venture Exchange .
In addition, Laramide has entered into an agreement with Exeter Equity Management Inc. and Medlee Limited with respect to an option agreement dated May 10, 1996. This agreement related to certain patented claims (ie surface and mineral rights) which make up a portion of Laramide’s Goliath Gold Project in north-western Ontario. Laramide completed the purchase of the claims in 1998 but a dispute arose regarding the payment of advance NSR royalties called for in the agreement and Medlee registered a certificate of pending litigation against the property. The parties have now entered into a settlement agreement whereby Laramide is purchasing and extinguishing the 2.5% NSR royalty, and any unpaid royalties thereon, in exchange for a cash payment of $50,000 and the issue of 100,000 Laramide common shares. The TSX Venture Exchange has conditionally approved the settlement agreement.
For further information contact:
Marc C. Henderson, President
Tel: (416) 599-7363
Or visit our web site at www.Laramide.com