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Metals Creek Resources Corp (2)
Symbol MEK
Shares Issued 61,146,268
Close 2018-08-22 C$ 0.065
Market Cap C$ 3,974,507
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Metals Creek receives first option payment from Sokoman

2018-08-23 09:14 ET - News Release

Mr. Alexander Stares reports

METALS CREEK RESOURCES CORP. RECEIVES FIRST ANNIVERSARY OPTION PAYMENT FROM SOKOMAN IRON CORP ON CLARKS BROOK GOLD PROPERTY, CENTRAL NEWFOUNDLAND

Metals Creek Resources Corp. has received the first anniversary payment of $10,000 cash and 750,000 Sokoman Iron Corp. common shares for the Clarks Brook option in central Newfoundland.

To earn an initial 75-per-cent interest, Sokoman must make cash payments of $45,000 over three years, issue a total of three million Sokoman common shares over three years and incur work expenditures of $800,000 over three years. Sokoman will be the operator during the earn-in period. Once a 75-per-cent interest is earned by Sokoman, either a 75/25 joint venture will be formed, or Sokoman may elect to earn an additional 25-per-cent interest to bring its total property interest to 100 per cent. The terms to increase its interest from 75 per cent to 100 per cent include payments of $100,000 and the issuance of an additional two million Sokoman shares within 60 days of the third anniversary date. Metals Creek would retain a 2-per-cent NSR (net smelter return royalty).

The Clarks Brook prospect was staked by Metals Creek after a review of past work completed on the property and an initial prospecting/sampling program. The gold mineralization outlined at Clarks Brook was initially discovered by Altius Minerals Corp. in 2004. This discovery is described as angular float up to three metres in diameter and characterized as a silicified fine-grained sedimentary rock with significant disseminated pyrite/arsenopyrite. Historic assays ranged from 2.98 grams per tonne to 24.5 grams per tonne gold. In 2009, Altius Minerals also completed an induced polarization (IP) and ground magnetics geophysical survey that outlined several targets, but no drilling was carried out.

Subsequent fieldwork by the vendor (Metals Creek Resources) resulted in the discovery in bedrock of similar style mineralization and returned a grab sample assay of 19.24 g/t gold. In addition, 13 of the large angular blocks were sampled and yielded assays ranging from 0.24 g/t to 10.4 g/t gold (please see Metals Creek Resources press release dated July 26, 2016).

Since optioning the property in August, 2017, Sokoman has performed two phases of drilling. Sokoman reported that all holes in the phase 2 program intersected the targeted siltstone-hosted gold mineralization and also discovered a new second parallel zone, which returned the highest grades of the program. Diamond drill hole CB-18-5 intersected bleached and locally clay-altered conglomerate cut by a network of narrow pyritic quartz veinlets that returned 3.74 g/t gold over 3.1 metres, including 14.73 g/t gold over 0.6 metre. This is the first time that gold mineralization has been observed in conglomeratic units and the previous holes may not have reached this target. The conglomerate-hosted zone is interpreted to be approximately 100 metres east of, and across strike from, the discovery zone intersected in the 2017 drilling (please see Sokoman Iron news release dated April 5, 2018).

Wayne Reid, PGeo, is a qualified person as defined in National Instrument 43-101. Mr. Reid is responsible for the information forming the basis of this release.

About Metals Creek Resources Corp.

Metals Creek Resources is a junior exploration company incorporated under the laws of the Province of Ontario, is a reporting issuer in Alberta, British Columbia and Ontario, and has its common shares listed for trading on the exchange under the symbol MEK. Metals Creek Resources has earned a 50-per-cent interest in the Ogden gold property, including the former Naybob gold mine located six kilometres south of Timmins, Ont., and has an eight km strike length of the prolific Porcupine-Destor fault that stretches between Timmins, Ont., and Val d'Or, Que. Metals Creek Resources also has an option agreement with Quadro Resources on Metals Creek Resources' and Benton Resources' Staghorn gold project in Newfoundland, as well as two option agreements with Anaconda Mining Inc. on Metals Creek's Jacksons Arm and Tilt Cove properties (also in Newfoundland). Metals Creek Resources has also signed a letter of intent on its Clarks Brook property with Sokoman Iron Corp. and is engaged in the identification, acquisition, exploration and development of other mineral resource properties, and presently has mining interests in Ontario, Yukon, and Newfoundland and Labrador.

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