March 12, 2013
Orefinders Assembles “South Break” Land Package in Kirkland Lake-Larder Lake Gold District
Orefinders Resources Inc. (TSX.V: ORX) has entered into agreements to acquire several properties along a major structure which will be called the” South Break Project” in the Kirkland Lake- Larder Lake gold district. This land package includes patent claims optioned from the “Yost” estate which have not been optioned or explored since the late 1940’s. The last historical drilling program on the Yost patents occurred in 1949 and consisted of two short diamond drill holes which targeted the “South Break” structure. Gold values up to 2.08 ounces per ton gold over 8 feet were reported at a shallow depth of 50 feet in mineralized syenite, a favorable host rock associated with many of the largest gold deposits in the Kirkland Lake gold district. The historical drill results from the Yost are considered non-compliant with regard to instrument NI-43-101, and therefore should not be relied upon. Orefinders intends to follow-up with a systematic exploration program on this assembled new land package which covers 4 kilometers of the South Break structure.
A second option was obtained from Misema Holdings Ltd. with regard to four leased mining claims located along the eastern extension of the Yost patent claims, providing four kilometers of strike along the South Break. The property is flanked by the Trans-Canada highway, with all season secondary roads and major power lines on the property. Mining and exploration service companies are based in the nearby towns of Kirkland Lake and Larder Lake, maximizing exploration budget expenditures directly into the ground. The South Break project is surrounded by Osisko land holdings in this mature gold camp.
In keeping with Orefinders’ exploration approach, attractive deal structures are in place for Orefinders to fast track to 100% ownership over relatively short periods of time on both properties. In order to earn in 100% ownership on the Yost patent claims, Orefinders is required to make cash payments totalling $275,000 along with a total work commitment of $900,000 over three years. There is a 2% NSR which is capped and can be purchased for $2,000,000. Advance royalty payments commencing in year four will be deducted from the NSR.
In order to earn in 100% ownership of the Misema Holdings leased mining claims, Orefinders is required to issue a total of 80,000 shares and make total cash payments of $80,000 along with a total work commitment of $200,000 over four years. There is a 2% NSR payable to the vendors, of which one half of the NSR (1%) can be purchased for $1,000,000.
The technical information contained in this news release has been reviewed and approved by Kevin Piepgrass, P.Geo, Vice-President Exploration for Orefinders, who is a Qualified Person as defined in “National Instrument 43-101, Standards of Disclosure for Mineral Projects.”
On behalf of the Board of Directors
William Yeomans, P. Geo
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 may differ materially from results suggested in any forward-looking statements. Orefinders assumes no obligations 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 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.
For further information, please contact
William Yeomans, P. Geo.
Orefinders Resources Inc.
VP Corporate Development
Orefinders Resources Inc.