Mr. Scott Jobin-Bevans reports
WHITE METAL OPTIONS OKOHONGO COPPER-SILVER PROJECT, NAMIBIA
White Metal Resources Corp. has optioned its interest in the Okohongo copper-silver property in northwestern Namibia to Himba Metals Pty., a privately held company incorporated pursuant to the laws of Namibia, by way of a letter of intent dated March 10, 2022, among the company, Himba and P&C Ventures Inc. Pursuant to the LOI, Himba or its assigns has the option to acquire the company's 95-per-cent interest in Aloe Two Hundred and Thirty-Eight Pty. Ltd., a company incorporated in Namibia and which holds the exploration licence associated with Okohongo. In accordance with the terms of the LOI, to exercise the option, Himba or its assigns is required to:
- Pay to the company $50,000 (U.S.) as a non-refundable deposit upon execution of the LOI;
- Pay to the company $50,000 (U.S.) upon completion of a 45-day due diligence period in favour of Himba;
- Pay to the company $400,000 (U.S.) on or before May 31, 2022;
- Cause a public company, which Himba intends on assigning its interest in the option to (pubco), to issue to the company $1-million (U.S.) worth of shares of pubco by May 31, 2022, subject to the company consenting to an extension to that date if required by Himba or pubco, such consent not to be unreasonably withheld but subject to the company's right to require that exploration work be commenced on Okohongo. In the event that the pubco shares are not issued by Aug. 31, 2022, P&C has agreed, pursuant to a limited guarantee, to pay to the company $1-million (U.S.) in cash within 15 days of the outside date in lieu of the pubco shares. If, within three months of the outside date, pubco is in a position to issue the pubco shares, the company will have the option of exchanging the $1-million (U.S.) in cash for $1-million (U.S.) of shares of pubco;
- Pay to the company $500,000 (U.S.) by Nov. 30, 2022;
- Grant to the company a 1-per-cent net smelter return royalty (NSR) over Himba's or its assigns' interest in the Okohongo with the right of Himba or its assigns to purchase 0.25 per cent of the NSR for $1-million (U.S.);
- Pay to the company $1-million (U.S.) and cause pubco to issue $1-million (U.S.) of shares if a National Instrument 43-101-compliant mineral resource estimate is outlined on Okohongo exceeding 50 million tonnes of copper at greater than or equal to 1 per cent copper equivalent.
About the Okohongo project and deposit
The Okohongo copper-silver deposit is known to cover an area that is 720 metres (north-south) in strike length, 740 m wide (east-west) and continues at least 400 metres down dip (east dip). Situated within the Kaoko belt and hosted by metasedimentary strata, the Cu-Ag deposit is considered analogous with the stratiform sediment-hosted Central African copperbelt deposits of Zambia and the Democratic Republic of the Congo. Using a cut-off grade of 0.30 per cent Cu and assuming 10 per cent geological loss, the inferred mineral resources (MRE) are reported as approximately 7.7 million tonnes grading 1.55 per cent Cu and 26.77 g/t Ag with a calculated copper equivalent (CuEq) of 1.82 per cent Cu. The effective date of the mineral resource estimate is Aug. 11, 2021.
The MRE was prepared by Caracle Creek International Consulting Minres Pty. Ltd., South Africa, in accordance with current (2014) CIM Definition Standards on Mineral Resources and Reserves.
The Okohongo project shows excellent potential to expand the copper-silver resources along strike toward the north and south, where multiple copper-silver surface occurrences are known. Future exploration will follow up on these target areas.
Technical information in this news release has been reviewed and approved by Dr. Scott Jobin-Bevans (PGeo), vice-president, exploration, and a director of White Metal, who is a qualified person under the definitions established by NI 43-101.
About White Metal Resources Corp.
White Metal Resources is a junior exploration company exploring in Canada and southern Africa. The company's two key properties are the flagship Tower Mountain gold project in Thunder Bay, Ont., Canada, and the Okohongo copper-silver project in Namibia, Africa.
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