17:43:51 EDT Thu 28 Mar 2024
Enter Symbol
or Name
USA
CA



Copper Lake Resources Ltd
Symbol CPL
Shares Issued 102,848,912
Close 2017-09-20 C$ 0.035
Market Cap C$ 3,599,712
Recent Sedar Documents

Copper Lake debentureholders convert $98,630 into units

2017-09-28 12:55 ET - News Release

Mr. Terrence MacDonald reports

COPPER LAKE PROVIDES CORPORATE UPDATE

Copper Lake Resources Ltd. has provided an update on the company's recent activities and coming plans.

Corporate strategy

Following the appointment of the new board of directors and management in March, 2016, the company's objectives were set as follows:

  • Compile a complete database of drill results and geology for the company's core Marshall Lake property;
  • Consolidate the ownership of the Marshall Lake property;
  • Position the company to take advantage of its copper/zinc/nickel/cobalt assets when the metals market begins to recover;
  • Strengthen the financial position of the company.

Marshall Lake drill hole database and geology

During 2016, Copper Lake commenced database compilation of all historical exploration work on the Marshall Lake project area, which included in excess of 200 drill holes, surface sampling, and geophysical VTEM (versatile time-domain electromagnetic), IP (induced polarization) and magnetic surveys.

The compilation and interpretation resulted in the identification of 33 VTEM anomalies, of which 24 were plate modelled. These 24 were then prioritized, resulting in the company focusing on six key VTEM anomalies within the core Marshall Lake area. Three of these six modelled plate anomalies have significant adjacent historical massive sulphide drill intercepts and are considered prime targets for drilling.

A number of the other anomalies are also identified as potential drilling targets. One of those anomalies is VTEM-004, which is approximately 400 metres to the north of some of the best disseminated mineralized drill results on the property:

  • GAZN-10-10, which intersected 78.0 metres of 0.42 per cent copper, 2.05 grams per tonne silver and 0.09 gram per tonne gold, including 5.0 metres of 1.89 per cent copper, 12.04 grams per tonne silver and 0.70 gram per tonne gold;
  • GAZN-10-11, which intersected 32.6 metres of 1.04 per cent copper, 5.13 grams per tonne silver and 0.15 gram per tonne gold, including 1.0 metre of 9.32 per cent copper, 49.8 grams per tonne silver and 1.12 grams per tonne gold;
  • GAZN-10-15, which intersected 23.0 metres of 1.34 per cent copper, 6.75 grams per tonne silver and 0.29 gram per tonne gold, including 5.0 metres of 4.08 per cent copper, 20.6 grams per tonne silver and 1.12 grams per tonne gold;
  • RMZ-10-15, which intersected 23.0 metres of 1.34 per cent copper, 6.70 grams per tonne silver and 0.28 gram per tonne gold;
  • RMZ-13-40, which intersected 43.0 metres of 1.38 per cent copper, 5.40 grams per tonne silver and 0.04 gram per tonne gold;
  • RMZ-13-41, which intersected 70.0 metres of 0.56 per cent copper, 2.70 grams per tonne silver and 0.03 gram per tonne gold.

The drill holes listed within the vicinity of VTEM-004 in the Gazooma North area are stringer-style copper mineralization. With the new geological understanding and identification of massive sulphide bodies from historical drilling and the recent plate modelling, the occurrence of these large, well-mineralized copper stringer zones will now be the focus of geological modelling within the context of the known VMS systems and associated copper stringer zones.

Consolidate ownership of Marshall Lake property

The company completed the acquisition of the 31.25-per-cent interest in the Marshall Lake property held by Marshall Lake Mining Ltd., a privately held United Kingdom-based company. This acquisition increased Copper Lake's interest in the property to 68.75 per cent and can be increased to 75 per cent by incurring an additional $618,000 by July 15, 2018.

Strengthen the financial position of the company

The company raised $812,000 during 2016 and applied for and received funding under the Junior Exploration Assistance Program. Directors and management have not charged any fees to the company since being appointed in March, 2016. With the increase in base metal prices over the last six months, copper is close to a three-year high, zinc is at a five-year high and nickel is close to its two-year high. These are positive signs that the market is improving and the company is looking to take advantage of its advanced-stage properties.

Conversion of convertible debentures

The company is pleased to announce holders of convertible debentures issued in September, 2016, have elected to convert debentures in the amount of $98,630 into units at a conversion rate of 5.5 cents per unit, effective Sept. 26, 2017. Each unit will comprise one common share and one common share purchase warrant. Each common share purchase warrant entitles the holder to purchase one additional common share at a price of 5.5 cents for a period of four years from the date of conversion. As a result of the conversion, a total of 1,793,273 common shares and 1,793,293 common share purchase warrants will be issued. Directors of the corporation held debentures in the amount of $40,380 that were converted to units.

Interest accrued on the debentures to Sept. 26, 2017, in the amount of $11,836 will be paid in shares, subject to approval by the TSX Venture Exchange.

Junior Exploration Assistance Program grant

The company has received funding on its previously approved grant under the Junior Exploration Assistance Program in the amount of $72,642.

The Junior Exploration Assistance Program is managed by the Ontario Prospectors Association and funded by the Northern Ontario Heritage Fund Corp. (NOHFC). Through this and other programs, NOHFC has helped numerous mining and non-mining projects grow in the North.

The Junior Exploration Assistance Program grant was directed toward exploration at the company's Marshall Lake copper/zinc/gold property in 2016. The results of that program were incorporated into the Marshall Lake program which is discussed as follows.

Norton Lake update

The recent announcement by the Ontario government concerning funding for the Ring of Fire serves to increase the company's confidence in the Norton Lake property, which is in the southern Ring of Fire. The proposed all-season access road to the mineral-rich region will follow a north-south alignment from around Pickle Lake, which will bring the road very close to the company's Norton Lake property. Environmental assessments are expected to begin by January, 2018, and construction of the road is planned to begin in 2019, pending all necessary approvals. This will significantly add to the value of the Norton Lake property, which has a National Instrument 43-101 resource estimate of 2,258,654 tonnes (measured and indicated) at 0.67 per cent nickel, 0.61 per cent copper, 0.03 per cent cobalt and 0.46 gram per tonne palladium. The mineral resource was calculated using a 0.3-per-cent-nickel cut-off.

The Norton Lake nickel-copper-cobalt deposit has been traced by diamond drilling over a strike length ranging from 225 metres to 300 metres, and locally to about a depth of 400 metres, with true widths ranging between five metres and 10 metres. On the basis of geophysical surveys and exploration drilling, the deposit is open to the southwest and northeast and to depth. Additionally, other geophysical targets occur along an 11-kilometre strike length.

About Copper Lake Resources Ltd.

Copper Lake Resources is a publicly traded Canadian company currently focused on advancing two significant properties located in Ontario, Canada:

  1. The Marshall Lake VMS (volcanogenic massive sulphide) copper, zinc, silver and gold property is an advanced-exploration-stage property located 120 kilometres north of Geraldton, Ont., by good all-weather gravel road from the Trans-Canada Highway and just 22 kilometres north of the main Canadian National rail line.
  2. The Norton Lake nickel, copper and platinum group metal property (69.79 per cent) is located in the southern Ring of Fire area, approximately 100 kilometres north of the Marshall Lake property.

The company also recently entered into a mineral property option agreement to acquire up to 100 per cent of four separate properties in Ontario made up of seven claims in the Kenora and Patricia mining divisions in Northwestern Ontario, which are known as the Queen Alexandria gold property, the Mine Lake gold property, the Grand Chibougamau gold property and the Centrefire-Redhat gold-copper property.

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