MONTREAL, QUEBEC -- (Marketwire) -- 06/10/10 -- Glen Eagle Resources Inc. (TSX VENTURE: GER) ("Glen Eagle" or the "Company") is pleased to announce the acquisition (100%) of a major part of the LaMotte lithium deposit from a private party. The deposit was previously owned by Raymor in the 90's. The property where the deposit is located covers 128 hectares and is easily accessible from the main highway 117, 45 km NW of Val d'Or.
Based on the 1995 GM report 53176 from the Ministere des Ressources Naturelles et de la Faune, the entire deposit contains a historical resource of 4.5 million tons of ore grading approximately 1.07% Li20 on surface and "is still open along strike to the west and at depth and the potential for parallel dykes exists to the north, since a few holes indicated more structures."
Two years of metallurgical work was also conducted on the project by the (Centre de Recherche Minerales du gouvernement du Quebec) and McGill University. Together, they successfully assessed and controlled the transformation process from the Spodumene concentrate to lithium metal.
The technical data presented in the aforementioned paragraphs concerning grade, volume and the metallurgy are considered historical in nature. The data is presented only as an indication of the potential of the property and can not be relied upon since a qualified person has not yet done sufficient field work to verify the historical estimate. A current resource estimate and a new prefeasibility study must be completed to determine if the proposed operation will be economically viable.
Glen Eagle is truly pleased to acquire an advanced lithium project which meets management's goal to look for acquisitions with limited risk, significant upside potential, and minimal dilution to its shareholders. This is precisely what was achieved with the current transaction.
The terms of the agreement with the Vendor are as follows:
1. A payment of $20,000 has already been made at the signing. Upon acceptance of the transaction by the regulatory body, the Company will issue 500,000 shares to the Vendor and make an additional payment of $30,000 dollars. 2. The issuance of 500,000 shares and the payment of $50,000 dollars on the first, second and third anniversary. 3. The issuance of 1,000,000 shares and $500,000 dollars and a 2% NSR at the completion of a positive feasibility study. 4. A $2,250,000 dollar exploration program distributed over 3 years.
Glen Eagle intends to initiate as soon as possible an exploration program of 500K$ on the LaMotte property. The program will consist of the compilation of all previous work in order to generate drill targets for the ensuing drill campaign that will follow immediately after.
The technical aspects of this press release were reviewed by Andre Ciesielski P.Geo.
ON BEHALF OF GLEN EAGLE RESOURCES INC
"Jean Labrecque" president
"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"
Contacts:
Glen Eagle Resources Inc.
Jean Labrecque
President
514-938-4888
514-938-0644 (FAX)
jl@gleneagleresources.com
www.gleneagleresources.com
