TomaGold to acquire a 70% interest in Murgor’s Fancamp and Embry properties and consolidates its claim holdings around Monster Lake
Montreal, Québec, October 24, 2013 – TomaGold Corporation (TSXV:LOT) (“TomaGold” or the “Company”) is pleased to announce that it has entered into an option and jointventure agreement to acquire a 70% interest in each of the Fancamp and Embry properties from Murgor Resources Inc. (“Murgor”), following the fulfillment of the conditions shown in the following chart, over a three-year period:
| Fancamp | Embry | |
| Exploration xpenses – First anniversary – Second anniversary – Third anniversary |
$250,000 $250,000 $250,000 |
$100,000 $100,000 $100,000 |
| TomaGold Common Share Issuance – Closing of the transaction – First anniversary – Second anniversary – Third anniversary |
500,000 300,000 250,000 200,000 |
200,000 100,000 100,000 100,000 |
| Cash payments – Closing of the transaction – First anniversary – Second anniversary – Third anniversary |
$50,000 $40,000 $40,000 $80,000 |
$15,000 $15,000 $15,000 $25,000 |
The Company must issue an additional 250,000 common shares of the Company (the “Common Shares”) for each tranche of 250,000 proven ounces of gold in a 43-101 resource estimate, up to a maximum of 1,000,000 Common Shares for both properties collectively.
The Fancamp property consists of 43 claims covering 1,710 hectares, and the Embry property consists of 52 claims covering 2,895 hectares. The Fancamp property is adjacent to the eastern edge of the Monster Lake, Cookie Monster and Little Monster properties in the Fancamp deformation corridor, and the Embry property lies 8 km northeast of the Monster Lake property, in the same gold corridor. The Fancamp property also hosts the Murgor A, B and C zones.
David Grondin, President and Chief Executive Officer of TomaGold, said that: “This transaction brings our total number of claims in the Monster Lake area to 275 claims for a total area of 13,094 hectares, of which 10,199 hectares are contiguous. The Fancamp property has two exploration ramps, and was subject to trenching and drilling work that led to the discovery by Murgor of five gold zones with very interesting grades and widths. On the Embry property, preliminary exploration work has showed some gold potential.”
Results of historical exploration work on Fancamp
- Results of drilling in the mid-1980s:
Zone A:8.22 g/t Au over 6.10 m
5.14 g/t Au over 3.36 m
4.60 g/t Au over 3.05 mZone B:9.3 g/t Au over 8.2 m
- In August 2009, Murgor carried out a trenching program to better understand the structure of the mineralization on Fancamp. The following three additional zones were identified:
| West trench | East trench | South trench |
| 10.40 g/t Au over 4.30 m 5.21 g/t Au over 5.60 m 18.03 g/t Au over 1.60 m 5.75 g/t Au over 0.90 m |
6.69 g/t Au over 1.40 m 13.05 g/t Au over 0.80 m |
18.90 g/t Au over 1.00 m 7.67 g/t Au over 1.00 m 5.71 g/t Au over 0.98 m |
TomaGold key properties – Monster Lake area
This transaction is subject to regulatory approval, and the common shares to be issued will be subject to a hold period of four months and one day.
The technical content of this press release has been reviewed and approved by André Jean, P. Eng., a qualified person under National Instrument 43-101.
About TomaGold Corporation
TomaGold Corporation is a Canadian-based mining exploration company whose primary mission is the acquisition, exploration and development of gold projects in Canada and abroad.
Contact:
TomaGold Corporation
David Grondin
President and Chief Executive Officer
(514) 206-7727
www.tomagoldcorp.com