Eagle Plains/Lakeland Complete Acquisition, Royalty Agreement in Patterson Lake, Saskatchewan Area
Cranbrook, B.C., 28 May, 2105: Eagle Plains Resources Ltd (TSX-V:EPL) and Lakeland Resources Inc. (TSX-V:LK) have completed an agreement whereby Lakeland will acquire a 100% interest in certain mineral claims in the South Patterson Lake area, located along the Patterson Lake Corridor within the southwest part of the Athabasca Basin, Saskatchewan, Canada. The additional claims comprise approximately 5,000 ha and are contiguous with Lakeland’s Carter Lake Property.
By property purchase agreement dated May 27th, Lakeland will acquire 28 mineral claims from Eagle Plains by paying $40,000 cash and issuing 800,000 common shares upon regulatory approval. These claims and certain adjacent Lakeland claims are subject to a 2% NSR payable to EPL. Lakeland may, at any time purchase 1% of the NSR for $1 million.
A map link to the subject property area may be found here
Property Geology and Mineralization
The claims acquired from Eagle Plains by Lakeland cover part of the Patterson Lake Corridor, which is host to at least four significant uranium discoveries since late 2012:
- Patterson Lake South (Alpha Minerals – Fission Energy);
- Patterson Lake South – R600W (Fission Uranium);
- Arrow (NexGen);
- Bow (NexGen); and
- Spitfire (Purepoint, Cameco, AREVA)
The most advanced discovery to date, the Patterson Lake South (PLS) deposit, is host to a reported resource estimate of 79.6m lbs Indicated U3O8 and 25.9m lbs Inferred U3O8. 7.3 km to the northeast, the Arrow Discovery of NexGen Energy Ltd. includes hole AR-14-30, which returned 10.3% U3O8 over 46 metres. A further 5.3 km to the northeast, the Spitfire Discovery by Cameco Corp, Areva Resources and Purepoint Uranium, with drill hole HK15-27 returning 2.23% U3O8 over 2.8 metres. The new Lakeland Carter Lake Property is located a further 17 km to the northeast along the Patterson Lake Conductive Corridor. Depths to the sub-Athabasca unconformity at Carter Lake are estimated at 500 metres or more, which is similar to some of the depths of uranium mineralization encountered at the Arrow Discovery where mineralization has been encountered between 300 and 800 metres below surface. Lakeland’s Carter Lake Property also encompasses parts of the relatively un-explored Carter Conductive Corridor. This area has had only five known historic drill holes, despite the positive exploration potential. Management cautions that past results or discoveries on proximate land are not necessarily indicative of the results that may be achieved on the Carter Lake property.
Update on Kokanee Creek Property
Eagle Plains has recently received notice from Providence Resources Corp. that it has terminated its option on the Kokanee Creek property located near Nelson, British Columbia and owned 100% by Eagle Plains.
About Eagle Plains Resources
Based in Cranbrook, B.C., Eagle Plains continues to conduct research, acquire and explore mineral projects throughout western Canada. Since 1992, EPL has been acquiring and developing early-stage projects utilizing an in-house team of geologists, technicians and specialists. Considered a prolific project generator with over 40 properties, EPL invites joint-venture participation to expedite development, reduce risk and enhance exposure to discovery.
Current third-party agreements if maintained to completion will have exposed EPL to over $28M in exploration expenditures, $3.2M cash and 10M shares in partner companies. Completed agreements have yielded over $27M in exploration spending, $1.8M cash to EPL and a total of 22M shares of partner companies.
Expenditures from 2011-2013 on Eagle Plains-related projects were approximately $15M, which was funded by Eagle Plains and for the most part, by third-party partners. This exploration work resulted in approximately 15,000m of diamond-drilling and extensive ground-based exploration work facilitating the advancement of more than 23 projects at various stages of development.
Technical aspects of this news release have been reviewed and approved by Neil McCallum, P.Geo., of Dahrouge Geological Consulting Ltd., a qualified person under NI 43-101.
On behalf of the Board of Directors
“Tim J. Termuende”
President and CEO
Cautionary Note Regarding Forward-Looking Statements
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. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.