Vancouver, British Columbia--(Newsfile Corp. - June 1, 2020) - Origen Resources Inc. (CSE: ORGN) (the "Company" or "Origen") is pleased to announce that it has signed a Definitive Agreement whereby it has acquired a 100% interest in the 26,771 hectare (ha) LGM property and an option to acquire a 100% interest in the 3,971 ha Wishbone property located in British Columbia's renowned Golden Triangle from Orogenic Regional Exploration Ltd. (the "Vendor" or "Orogenic").
The LGM project hosts three highly prospective exploration zones comprising the Red, Grizzly and Lucifer zones, and borders Evergold Corp.'s Snoball project1. In the Red Zone area the newly exposed gossanous exploration targets lie within Hazelton Group rocks along the Northmore Fault and bear geological and structural similarities to mineralization on the adjacent Snoball property immediately to the northwest. The Grizzly prospect is a Cu-Au porphyry target defined by a 1200 m x 500 m Cu-Au soil anomaly and the Lucifer target consists of a 300 m x 300 m gold-in-soil anomaly discovered by Noranda in 1991 and has only experienced minimal field exploration to date.
The Wishbone project, located 12km to the west of LGM, hosts numerous high-grade precious metal showings and has only seen sporadic exploration work since the 1980's.
"We are very pleased to have completed the acquisition of such a prospective and large land package in the highly competitive Golden Triangle. Opportunities like this are not available very often and Origen is excited to get to work unlocking the potential of these projects," states Gary Schellenberg, CEO.
2020 Exploration plans
The Company's geologist are continuing to compile the extensive amount data from the newly acquired assets with the goal of planning and implementing an aggressive exploration program for this year. As a result of this process, a large amount of new data has been uncovered that is leading to new robust exploration targets being identified. The Company is in the process of verifying this newly uncovered data and will provide an update shortly.
(1)Referenced nearby historic resources, deposits and mines provide geologic context for the Project, but are not necessarily indicative that the Project hosts similar potential, size or grades of mineralization.
J. Harrop, P. Geo., a Qualified Person as defined by NI 43-101, has reviewed and approved the contents of this news release and has verified the data disclosed herein.
Terms of the Acquisition
The Company has acquired a 100% undivided right, title and interest in and to the 42 mineral tenures that constitutes the LGM project, and the right to assume the option agreement dated May 19, 2019 between the Vendor and Lorne Warren to acquire an undivided 100% right, title and interest in and to the 10 mineral tenures that constitute the Wishbone project. In exchange, Origen has advanced by way of a loan to the Vendor, $25,000 (the "Loan") repayable in 90-120 days and will make a one-time issuance of 5,000,000 shares of Origen within 10 days of the date of execution of the Definitive Agreement. Upon receipt of the payment by the Vendor, an undivided 100% interest in and to the LGM project will vest to Origen and the Wishbone Option will be assumed by Origen subject to underlying Net Smelter Royalties (NSR's) payable to previous property owners of the LGM.
Change of Directors
The Company is pleased to announce it has appointed Mike Collins to its Board of Directors. Mr. Collins has an exceptional skill set in project development and analysis which is supported by a wide industry network. Through his work as a geologist and running a mining engineering office in Vancouver, he has developed an understanding of numerous mineral camps and deposit types around the world. His experience steps beyond mineral deposits with a breadth of expertise in the feasibility process and the pitfalls of project construction and optimization. With over 14 years as an officer and director of public companies, Michael understands the intricacies of building corporate structure, marketing and value accretion. Michael graduated with a BSc. Honours from Dalhousie University in 1996 and is an accredited P.Geo. with EGBC.
In order to facilitate the addition of Mr. Collins to the Board, the Company has accepted the resignation of William Wishart as a Director. The Company wishes to thank Mr. Wishart for his years of service to the former parent Company Explorex Resources Inc. and for his assistance in launching Origen as a newly listed company.
As part of the recent Raffles Financial Group Limited/Origen transaction, Mr. Wishart's management contract was assumed by Origen. The Company has entered into a termination agreement in respect of this management contract and settled all future contractual obligations by issuing 275,000 shares of the Company and paying $25,000.
Incentive Stock Option Grant
Origen wishes to announce that it has granted 1.8 million incentive stock options exercisable into common shares of the Company to its Directors, employees and consultants of the Company. These options have been set in accordance with the Company's stock option plan and are exercisable at a price of $0.15 for a 5 year period.
About Origen
Origen is an exploration company engaged in generating, acquiring and advancing base and precious metal properties. The Company currently holds a property portfolio of four 100% owned precious and base metal projects in southern British Columbia and recently acquired a 100% interest in the 26,771 ha LGM project and an option to acquire a 100% interest in the 3,971 ha Wishbone property in the mineral rich Golden Triangle of British Columbia.
On behalf of Origen,
Blake Morgan
President
For further information, please contact Blake Morgan, President at 236-878-4938 or Gary Schellenberg, CEO at 604-681-0221.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this press release.
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