Rainmaker Mining Corp. Announces Acquisition of Peace River Frac Sand Property, Alberta
05 Février 2014 - 2:45PM
Marketwired
Rainmaker Mining Corp. Announces Acquisition of Peace River Frac
Sand Property, Alberta
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb 5, 2014) -
Rainmaker Mining Corp. ("Rainmaker") (TSX-VENTURE:RMG) is pleased
to announce that it has entered into a Letter of Intent (LOI) with
the 50/50 partnership of Zimtu Capital Corp. and 877384 Alberta
Ltd. to acquire four metallic and industrial minerals permits in
north western Alberta, totaling approximately 24,363 hectares. The
permits have potential to host deposits of silica sand suitable for
hydraulic fracturing, and are immediately adjacent to a current
producer.
The terms of the acquisition are:
- $10,000 on signing the LOI;
- Issuance of 750,000 common shares on TSX-V acceptance of the
agreement;
- $10,000 on completion of a successful exploration program on or
before September 15, 2014;
- Issuance of 750,000 common shares on completion of a successful
exploration program on or before September 15, 2014;
- The Vendors retains a 2% royalty on production, 1% of which can
be purchased for $1,000,000.
The transaction is subject to acceptance by the TSX Venture
Exchange.
Chris M. Healey, Vice President - Operations for Rainmaker
commented, "The acquisition of these four claims, adjacent to a
current producer of frac sands, is a highly significant addition to
our growing portfolio of properties. The claims are well located
relative to several markets, and have excellent access to rail,
giving Rainmaker a significant competitive advantage in this
rapidly expanding market."
Peace River project:
The property is located north of the community of Peace River,
adjacent to the Peace River Frac Sand Quarry, which is owned and
operated by Canadian Silica Industries. It extends for
approximately 40 km along the Peace River, straddling both the East
and West banks where the target unit is exposed. Within the region,
the Lower Cretaceous Paddy Member of the Peace River Formation is
currently mined for frac sand. The Paddy Member is a friable sand
unit representing a shoreline facies deposited in a fluvial
environment, with a thickness up to 16.5 m (7.7 m average). The
sand grains are almost entirely colorless quartz and beds are
dominantly uncemented, which is ideal as a frac sand proppant in
hydraulic fracturing.
The Peace River Frac Sand Quarry reportedly has a total annual
capacity of 500,000 tonnes of silica sand. Rainmaker is encouraged
by this acquisition given its proximity to infrastructure such as
rail and roads, and location near the community of Peace River.
Additionally, it is located in close proximity to the Horn River,
Montney, and Cardium basins, and is central to the Frac Sand market
within northwestern Alberta.
High priority exploration targets have been identified along the
river banks from historic reports and maps. Rainmaker plans to
commence exploration on the property with an extensive channel
sampling program, as soon as snow conditions permit. Using sample
results in conjunction with historic data and public information
such as well logs, reports, drill core and cuttings, a follow-up
auger program is anticipated to take place within the first half of
2014 to delineate locations with the best combination of quality,
distribution, thickness, tonnage and accessibility.
The technical information in this news release has been prepared
and reviewed on behalf of the Company by Patrick Kluczny, P.Geol.,
of Dahrouge Geological Consulting Ltd., a Qualified Person pursuant
to National Instrument 43-101.
On Behalf of the Board of Directors,
Rainmaker Mining Corp.
Bev Funston, Director
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.
Rainmaker Mining CorpBev FunstonDirector(604) 921-1810(604)
921-1898
Rainmaker Resources Ltd. (TSXV:RMG)
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