CRANBROOK, BC / ACCESSWIRE / December 10, 2024 / Eagle Plains Resources (TSXV:EPL) ("Eagle Plains", or "EPL" or the "Company") is pleased to announce thatit has it has entered into a mineral property purchase and sale agreement (the "Purchase Agreement"), dated effective December 06, 2024, with Weaver Energy Corp. ( "Weaver"), a private company registered in Ontario, pursuant to which Weaver will acquire Eagle Plains' 100% owned Slocan Graphite Project.
Summary of Purchase Agreement
The aggregate purchase price payable by Weaver to Eagle Plains consists of (a) $150,000 cash and (b) the granting of a net production royalty of 0.5% (the "NPR Royalty") to Eagle Plains on the Slocan Graphite claims. The claims also have an underlying 2% NPR Royalty in favour of Eagle Royalties Ltd.
About the Slocan Graphite Project
The Slocan Graphite Project is located 28 km north of Castlegar, BC and consists of 14 mineral claims covering 2888 ha. The Project benefits from excellent infrastructure including a high-voltage transmission line within 1.2 km of the property boundaries, an extensive network of forestry roads on and around the property, and an existing graphite processing plant and facilities located 1.5 km west of the property, which was recently purchased by Weaver Energy. This facility is one of only two natural flake graphite production facilities in North America.
The Slocan Graphite tenure covers the majority of the known graphite mineralization that defines the Tedesco Graphite Showing (MF 082FNW285). The showing is currently defined based on a cluster of more than 20 graphitic bearing grab samples, spatially associated with an arcuate 3 km x 1 km strongly conductive airborne EM anomaly. Grab samples by a previous operator (Anglo Swiss) returned total organic carbon contents up to 4.43 % carbon. Verification sampling by Terralogic Exploration personnel in 2017 and 2019 returned total carbon values ranging from trace to 3.36% total carbon.
Graphite mineralization is hosted primarily in carbonate and calc-silicate lithologies within the Passmore Dome of the Valhalla Metamorphic Complex, a geologic setting consistent with a crystalline flake graphite deposit model. Previous operators have estimated the mineralized horizon to be up to 50m thick, however they cite that it is difficult to determine due to a lack of surface exposure. The horizon has never been tested by diamond drilling.
The high-quality, large flake character of the graphite mineralization found to date, spatial extent of conductivity from a 2010 airborne electromagnetic ("EM") survey, minimal historic exploration activity, excellent proximity to infrastructure and the favorable economic outlook for graphite as a strategic commodity make Slocan Graphite a compelling project for continued exploration.
The Property has a Multi-Year Area Based (MYAB) in place application for the Property issued by the BC Ministry of Energy, Mines and Low Carbon Innovation that includes provisions for geophysical work, mechanical trenching and diamond drilling.
Management cautions that historical results were collected and reported by past operators and have not been verified nor confirmed by a Qualified Person but form a basis for ongoing work at the Slocan Graphite property. While the company considers the above historical information to be relevant to investors as it may indicate the presence of mineralization, the reader is cautioned that a Qualified Person has not done sufficient work to evaluate the potential of the property to contain an economic deposit and that there is no certainty that the property contains a graphite deposit.
Qualified Person
Charles C. Downie, P.Geo., a "qualified person" for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects, and a Director of Eagle Plains Resources Ltd., has prepared, reviewed, and approved the scientific and technical disclosure in this news release.
About Eagle Plains Resources
Based in Cranbrook, B.C., Eagle Plains is a well-funded, prolific project generator that continues to conduct research, acquire and explore mineral projects throughout western Canada, with a focus on critical metals integral to an increasingly electrified, decarbonized economy.
The Company was formed in 1992 and is the ninth-oldest listed issuer on the TSX-V (and one of only three that has not seen a roll-back or restructuring of its shares). Eagle Plains has continued to deliver shareholder value over the years and through numerous spin outs has transferred over $100,000,000 in value directly to its shareholders, with Copper Canyon Resources and Taiga Gold Corp. being notable examples. Eagle Plains latest spinout; Eagle Royalties Ltd. (CSE:"ER") was listed on May 24, 2023, and holds a diverse portfolio of royalty assets throughout western Canada.
On October 2, 2024, Eagle Plains announced the formation of a separate division within the Company that will give Eagle Plains' shareholders direct exposure to strategic opportunities in Canadian green energy transition. As a wholly-owned subsidiary of Eagle Plains, Osprey Power Inc. ("OP") will focus on identifying and advancing innovative and diverse clean energy project portfolios in target markets throughout Canada, with an initial focus on Western Canada.
Eagle Plains' core business is acquiring grassroots critical- and precious-metal exploration properties. The Company is committed to steadily enhancing shareholder value by advancing our diverse portfolio of projects toward discovery through collaborative partnerships and development of a highly experienced technical team.
Expenditures from 2010-2023 on Eagle Plains-related projects exceed $38M, the majority of which was funded by third-party partners. This exploration work resulted in approximately 50,000m of diamond-drilling and extensive ground-based exploration work facilitating the advancement of numerous projects at various stages of development.
Throughout the exploration process, our mission is to help maintain prosperous communities by exploring for and discovering resource opportunities while building lasting relationships through honest and respectful business practices.
On behalf of the Board of Directors of Eagle Plains
"C.C. (Chuck) Downie, P.Geo"
President and CEO
For further information on EPL, please contact Mike Labach at 1 866 HUNT ORE (486 8673)
Email: mgl@eagleplains.com or visit our website at https://www.eagleplains.com
Cautionary Note Regarding Forward-Looking Statements
Neither the 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. 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: Eagle Plains Resources Ltd.
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