COQUITLAM, BC, Oct. 30, 2020 /CNW/ - Canada Silver Cobalt
Works Inc. (TSXV: CCW) (OTCQB: CCWOF) (Frankfurt: 4T9B) (the "Company" or "Canada
Silver Cobalt") is pleased to announce that it has entered into an
option agreement with MagNor Resources (MagNor) dated October 26 , 2020 (the "Agreement") whereby
Canada Silver Cobalt may earn an undivided 100% Interest, subject
to a 2% NSR, in the MagNor's B2 property in Quebec, Canada. The property has 12
claims totaling 670 hectares (6.7km2). The Agreement is
subject to TSX Venture Exchange ("Exchange") acceptance.
Highlights of Property
The NNW-SSE mineralized zone is traceable along strike over 1
kilometer and is open in all directions.
A stripped zone exposed a length of 35m of massive sulphides 8-10m wide.
- A total of 6 grab samples were sent to ALS Laboratory in
Val-d'Or for analysis of a package
of multi-elements. Assay results returned massive Ni-Cu-Co
mineralization (see Figure):
-
- 1.05 % Ni, 0.13 % Cu, 0.10 % Co
- 0.96 % Ni, 0.10 % Cu, 0.09 % Co
- 0.69 % Ni, 0.62 % Cu, 0.19 % Co
- for the epithermal veinlets associated with quartz
injections:
-
- 9.28 % Cu, 18.2 g/t Ag, 0.34 g/t Au
- 2.97 % Cu, 5.7 g/t Ag, 0.29 g/t Au, 0.10 % Ni
- Anomalous values in Ti (1.1 %), P (0.45 %) and Mn (0.12 %) in
mylonitic ferro-gabbro with 0.14% Cu associated with mineralization
in pyrrhotite, pyrite and chalcopyrite stringers (5-10 %)
The B2 Ni Cu property contains new showings for Ni-Cu-Co that
were discovered in August 2019 by
Alain Berclaz & Frederic Bergeron. It is located in NTS 22E11 of
the Saguenay Lac-St-Jean region of Quebec. The property is easily accessed by
well-maintained logging roads and forest trails from the KM92 of
the Passes Road (R250 & R251).
"With the increasing demand of lithium ion batteries for
electric vehicles (EV), optioning this property fits well within
the company's battery metal development program" said Frank J. Basa, P.Eng CEO. "With high-grade
near-surface mineralization, the company has mobilized a geological
team to the site to plan an exploration program."
Mineralization on the property is of three types
- Magmatic Ni-Cu-Co associated with anorthosite consisting of
massive sulphides up to 5m wide,
composed of 65-90% coarse-grained pyrrhotite (-pentlandite),
pyrite, chalcopyrite and 10-30% host rock fragments.
- Magmatic Fe(-Ti-P-V) associated with anorthosite, leuco-gabbro,
gabbronorite, norite and pyroxenite consisting of up to
5m-thick layers, lenses and veins of
massive oxides (mainly magnetite).
- Epithermal Cu-Ag-Au associated with late pegmatitic quartz
veins and monzogranite consisting of up to 1m-thick, semi-massive, brecciated stockwork,
veinlets, and stringers of pyrite, chalcopyrite and bornite.
Terms of the Agreement
Pursuant to the terms of the Agreement, the Company may exercise
the option with MagNor as follows:
- On Closing, making a payment of $62,500(1);
- 24 months from Closing, making a payment of $62,500(1);
- 36 months from Closing, making a payment of $62,500(1); and
- 36 months from Closing, incurring an aggregate of $100,000 in Exploration Expenditures on the Ni Cu
property;
(1)
|
Payment can be made
in cash or through the issuance of Canada Silver Cobalt shares at a
price per common share equal to the volume weighted average trading
price of the Company's shares on the Exchange for the ten (10)
trading days immediately preceding the Closing Date, at the option
of the Company.
|
All securities issued in connection with this transaction will
be subject to a four month and a day hold period in accordance with
applicable securities laws.
Qualified Person
The technical information in this news release has been reviewed
by Claude Duplessis, P.Eng.,
GoldMinds Geoservices Inc. member of Québec Order of Engineers and
a qualified person in accordance with National Instrument 43-101
standards.
About Canada Silver Cobalt Works
Inc. www.canadasilvercobaltworks.com
Canada Silver Cobalt Works released the first-ever resource in
the Gowganda Camp and greater Cobalt Camp in May 2020. A total of 7.56 million ounces
of silver in Inferred resources, comprising very high-grade silver
(8,582 grams per tonne un-cut or 250.2 oz/ton) in
27,400 tonnes of material from two sections (1A and 1B) of the Robinson Zone beginning at a vertical
depth of approximately 400 meters was calculated. The discovery
remains open in all directions (1A and 1B are approximately 800 meters from the
east-trending Capitol Mine workings) (mineral resources that are
not mineral reserves do not have demonstrated economic viability)
(refer to Canada Silver Cobalt Works Press Release May 28, 2020). Canada Silver Cobalt's flagship
Castle mine and 78 sq. km Castle Property feature strong
exploration upside for silver, cobalt, nickel, gold and copper in
the prolific past-producing Gowganda high-grade Silver District of
Northern Ontario. With underground
access at Castle, a pilot plant to produce cobalt-rich gravity
concentrates on site, a processing facility (TTL Laboratories) in
the town of Cobalt, and a proprietary hydrometallurgical process
known as Re-2OX for the creation of technical-grade cobalt-sulphate
as well as nickel-manganese-cobalt (NMC) formulations, Canada
Silver Cobalt is strategically positioned to become a Canadian
leader in the silver-cobalt space.
"Frank J. Basa" Frank J. Basa, P.
Eng.
Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Service
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.
SOURCE Canada Silver Cobalt Works Inc.