VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 22, 2012) - Central Resources Corp. (CBC.V) ("Central" or the "Company") is pleased to announce that it has negotiated an amendment to the option agreement, previously announced by Central on June 9, 2010, for the Selwyn Creek properties, located within the Dawson Range, Yukon.
Revised Option Terms
Under the revised option terms, Central can earn 100% ownership of the Selwyn Creek properties, subject to a 3% Net Smelter Royalty ("NSR") in favour of Strategic Metals Ltd., by making staged payments to the owners of $150,000 (originally $300,000) cash and 4,000,000 (originally 3,000,000) common shares of the Company over two years. Central has the right to purchase 1% of the NSR at any time for a cash payment of $1,000,000. The foregoing is subject to acceptance by the TSX Venture Exchange.
About the Selwyn Creek Property
Central's Selwyn Creek Properties are located in the Dawson Range, south of the Yukon River, roughly 200 kilometres south-east of Dawson City, Yukon. The properties are comprised of 1,025 mineral claims (21,437 hectares) which are situated along an apparent south-east trending corridor which includes Kaminak Gold's Coffee discovery, Western Copper's Casino deposit, Tarsis Resources Prospector Mountain project and Northern Freegold's Nucleus and Revenue resources.
This area of the Yukon is known for its historical mining of placer gold deposits and more recent discoveries of epithermal style lode gold and porphyry related copper-gold-moly mineralization. Gold and copper prospects along this trend vary from early stage discoveries, through million ounce resources, and finally advanced stage mine development projects.
Central's Selwyn Creek Properties are generally underlain by meta-sedimentary and meta-volcanic rocks (schists and gniesses) of inferred Devonian to Mississippian age, which are intruded by numerous Mesozoic granitic plutons (granodiorites) associated with gold, copper and molybdenum mineralization.
In 2011, prospecting at the LLL property identified a breccia zone that lies on the western edge of a broad ridge. This zone appears to be oriented sub-parallel to a geological contact between quartzite and gneiss, in an area where a porphyry dyke cuts both units. Geologically favourable material typically ranges from weakly silicified fault breccia to strongly silicified hydrothermal crackle breccia. Visual mineralization includes arsenopyrite, minor stibnite and alteration minerals - scorodite, limonite and jarosite. This breccia zone has never been drilled or trenched. Limited sampling of mostly grass covered talus returned encouraging values including 0.697 g/t, 1.125 g/t and 14.15 g/t gold.
Soil sampling in 2011 expanded a zone of coincident, strongly anomalous gold and arsenic soil geochemistry which encompasses the breccia zone and covers an area 1,200 metres long and 1,000 metres wide. Values from 2011 sampling in this anomaly range from 20 to 502 ppb gold-in-soil and 100 to 810 ppm arsenic-in-soil. Antimony values within this zone were weak to strongly anomalous (5 to 23 ppm).
Three additional soil geochemical targets comprising clusters of moderately to strongly anomalous gold and arsenic values have been identified elsewhere on the property. Values within these anomalies range from 20 to 391 ppb gold and 100 to 301 ppm arsenic. No follow up prospecting has been done in the vicinity of these anomalies. The highest soil result on the property is an isolated gold value of 1,060 ppb.
Paul Reynolds, P. Geo., President of the Company and a qualified person as defined by NI 43-101, has reviewed and approved the technical disclosure made in this news release.
About Central Resources
Central Resources Corp. is a junior exploration company created to leverage the extensive knowledge and experience of a dedicated group of financial and resource industry professionals. The Company has acquired options on several highly prospective mineral properties in the Yukon and British Columbia and continues to pursue additional opportunities to build shareholder value.
This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors - including the availability of funds, the results of financing efforts, the results of exploration activities - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
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.