TORONTO, March 4, 2019 /CNW/ - Orefinders Resources Inc.
("Orefinders" or the "Company") (TSX.V: ORX) is pleased to
announce that it has entered into a share exchange agreement (the
"Agreement") to acquire 40% of the outstanding Pacific Precious
("Pacific"), in return for issuing 10,000,000 shares (the
"Orefinders Shares"). Pacific is a privately owned Canadian company
which owns a 100% interest in the Kuta Ridge Gold Project (the
"Project") located in Papua New
Guinea. The Project has no royalties.
"This is a unique opportunity and one that we are fortunate to
complete as there was plenty of competition for Kuta Ridge.
Orefinders is taking a significant position in this company which
owns 100% of what our team sees as one of the most geologically
prospective projects we've come across. It provides Orefinders
shareholders another opportunity to participate in the potential
discovery of a substantial gold deposit in an area proven to host
assets of exceptional size and grade. Our team has completed due
diligence on site which confirmed our interest after receiving
samples showing up to 238 grams per tonne gold from mineralized
veins showing directly on surface." said Stephen Stewart, CEO. He continued, "In addition
to Orefinders investment via a share exchange, our team will assist
Pacific Precious with both its private financing and its technical
developments in order to get the project to the drill stage as soon
as possible. I encourage our shareholders to view the Pacific
Precious presentation and photo tour."
Click here to download the Pacific Precious' Kuta Ridge
Project Presentation
Click here to access the Photo Tour of Kuta Ridge
Project
About Kuta Ridge Gold Project
The Kuta Ridge Project is within an intermediate to high
sulfidation epithermal system which has a long history of surface
artisanal mining within a gold enriched corridor. Recent
exploration results confirm high grade gold mineralization at
surface, with grab samples assaying:
- 238.0 gpt gold
- 43.5 gpt gold
- 41.0 gpt gold
- 31.6 gpt gold
- 29.9 gpt gold
- 25.5 gpt gold
The project has intensive outcropping and veining on surface
which gives us a view of the type of mineralization present. The
Kuta Ridge project is located approximately 4 km south of Mount
Hagen, the third largest city in Papua
New Guinea. The property spans 8,900 hectares and is easily
accessible via road with infrastructure in place, including power.
No helicopters are required to access the property for
exploration.
Kuta Ridge is currently subjected to small scale artisanal
mining, while larger scale alluvial mining took place between
1932-1949. Although the official reported production was only
3,000 ounces of gold, the size of the excavations, which cover over
70 hectares and included an aqueduct to bring water from an
adjacent drainage as well as an artificial reservoir, clearly
suggest a much larger historical production than officially
reported.
Charles Beaudry, M.Sc., P.Geo.,
géo, and V.P. Exploration and Director for Orefinders, commented,
"I have been involved in PNG since the early 2000's, initially on
the world-class Frieda River Project for Noranda-Falconbridge
and afterwards seeking opportunities for investment with our two
experienced PNG geologists. The Kuta Ridge Property,
originally under license to a third party, came open in 2016 and
because of serendipity and preparation we were able to submit a
priority application and we were eventually awarded the exploration
license after meeting with the local communities. This
property is host to very high grade gold and is superbly well
located near infrastructure."
About Pacific Precious
Pacific Precious, a privately-owned Canadian corporation which
owns 100% of the Kuta Ridge Project, has four shareholders, the
largest of which is Charles Beaudry
who is also a director and VPX of Orefinders. Mr. Beaudry declared
his interest to Orefinders board and abstained from voting to
approve the entering into of the Agreement. Two of the other major
shareholders of Pacific are local, experienced geologists based in
Papua New Guinea, who are
responsible for originating this Project. Pacific is currently
raising seed financing of up to $400,000 at five
cents per share for further development of Kuta Ridge as
well as for the costs associated with any future going public
process. Pacific Precious is the trade name of Kuta Ridge
Exploration Inc.
About the Share Exchange Agreement
Orefinders has entered into a definitive agreement with all of
the shareholders of Pacific whereby it will directly swap with the
shareholders a total of 10,000,000 Orefinders shares for
10,0000,000 currently outstanding shares in Pacific which has a
total of 25,000,000 shares outstanding. This gives Orefinders a 40%
ownership position in Pacific. Additionally, Orefinders will assist
and advise Pacific on any subsequent financings and going public
transactions which may include the possibility of participating in
a Plan of Arrangement or a merger with a listed shell company. The
agreement is subject to the customary conditions including the
approval of the TSX Venture Exchange and the acceptance for listing
of the Orefinders Shares.
About Orefinders Resources Inc.
Orefinders is a Gold exploration and development company focused
on the Abitibi Greenstone Belt. The Company is listed on the TSX
Venture Exchange under the symbol ORX.
QP Statement
Orefinders and Pacific Precious use rigorous quality control for
its analytical work including the insertion of standards and where
practical, blanks, in all batches of samples submitted to the
laboratory and review of control sample results immediately upon
receipt of results.
The technical information contained in this news release has
been reviewed and approved by Charles
Beaudry, P.Geo, Director and Vice President Exploration for
Orefinders, who is a Qualified Person as defined in "National
Instrument 43-101, Standards of Disclosure for Mineral
Projects."
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. Certain information in this press release may contain
forward-looking statements. This information is based on current
expectations that are subject to significant risks and
uncertainties that are difficult to predict. Actual results might
differ materially from results suggested in any forward-looking
statements. Orefinders' assumes no obligation to update the
forward-looking statements, or to update the reasons why actual
results could differ from those reflected in the forward
looking-statements unless and until required by securities laws
applicable to Orefinders. Additional information identifying risks
and uncertainties is contained in filings by Orefinders with
Canadian securities regulators, which filings are available under
Orefinders' profile at www.sedar.com
SOURCE Orefinders Resources Inc.