KELOWNA, BC, Dec. 4, 2020 /CNW/ - Metalex Ventures
Ltd. (TSXV: MTX) (the "Company") announces has agreed to
acquire a promising diamond exploration project in South
Africa.
Metalex has reached an agreement to acquire an interest in the
3,373 hectare Viljoenshof prospecting license from Invest in
Property 126 (Pty) Ltd "IIP". The license area, within
30 kilometres of the famous Kimberley
Diamond Mines, is last known to have been explored by
DeBeers in the 1960's, with two kimberlite pipes, two kimberlite
dykes and two kimberlites of unknown type discovered. DeBeers
unsuccessfully applied for the exploration license over this area
again in 2014, as IIP applied shortly beforehand and was awarded
the license. The location of the project is shown in Figure
1.
Indicator minerals collected from the kimberlites suggests they
contain rare G10-10 garnets, which support the presence of
high-grade kimberlite.
The agreement with IIP entails a staged earn-in for
Metalex. Metalex will first fund 250,000 South African Rands
to convert the prospecting license to a mining lease to acquire a
20% interest. Metalex has already engaged ASR Consultants to
undertake this application.
The next stage involves Metalex funding an airborne geophysical
survey and testing known kimberlites and new
targets. Completion of this and a $10,000 USD payment to IIP earns Metalex a
further 15% interest (35% total).
The third stage is drilling of a minimum of 12 holes to test
kimberlites which show economic potential. Completion
of this work and a payment of $10,000
USD to IIP earns Metalex a further 16% (51% total).
In the fourth stage Metalex will fund a bulk sampling of a
kimberlite. This, along with payment of $100,000 to IIP, earns Metalex an additional 10%
interest (61% total).
Upon completion of a feasibility study on the project, Metalex
will earn a final 9% interest bringing its interest to 70%.
Upon the decision to proceed with mine construction a further
$100,000 payment will be made to
IIP.
The joint venture will be subject to a 10% net profits royalty
interest in favour of Verdi Farms Trust.
Figure 1. Project location
Metalex looks forward to advancing this sought after project,
located close to the first kimberlite mine in the world.
The technical information and results reported here have been
reviewed by Mr. Chad Ulansky
P.Geol., a Qualified Person under National Instrument
43-101, who is responsible for the technical content of this
release.
Neither 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.
SOURCE Metalex Ventures Ltd.