| ||December 21, 2010|
Northern Tiger Resources Acquiring Sprogge Property, Yukon
| ||December 21, 2010: Northern Tiger Resources Inc. ("Northern Tiger" or the "Company") (TSX-V:NTR) is pleased to announce the signing of a non-binding letter of intent to acquire the Sprogge property from Alexco Resource Corp. (TSX:AXR, NYSE-AMEX:AXU) and Newmont Canada Corporation, a subsidiary of Newmont Mining Corporation (NYSE:NEM) (the "Vendors"). The Sprogge property is located in the southeast Yukon and is adjoined to the east boundary of Northern Tiger's 3Ace Property, where the Company recently announced a new gold drill-hole discovery, including an intercept grading 14.8 g/t gold over 10.9 metres (see news release dated November 4, 2010). |
"The Sprogge Property hosts an extensive gold-in-soil anomaly combined with a large number of high-grade rock samples," says Greg Hayes, President of Northern Tiger. "Similar to 3Ace, Sprogge is one of a handful of projects in this district that had very promising initial exploration results in the late 1990's, but have seen only limited subsequent follow-up. We are currently planning an aggressive 20ll exploration program to follow-up on our success at 3Ace and are very pleased to be acquiring another compelling exploration target in the immediate vicinity."
The most advanced target on the Sprogge Property is the Sugar Bowl Zone, defined by a highly anomalous gold and pathfinder element geochemical signature measuring 2,400 metres by 1,200 metres. A 1,200 metre by 600 metre core area averages more than 200 ppb gold in soils and returned a maximum gold-in-soil value of 10.3 g/t. Rock chip samples taken along a 2.5 kilometre ridge bisecting the Sugar Bowl Zone contain numerous multi-gram gold values up to a maximum of 34.8 g/t, and including 6.9 g/t gold over 12.0 metres and 9.6 g/t gold over 4.0 metres. Four holes (762 metres) drilled in 2000 encountered considerable hydrothermal alteration, but did not replicate the grades found in the surface exploration. The drilling program was hampered by poor weather, however, and was only able to test the lowest elevation targets along the northern boundary of the surface anomaly. Most of the Sugar Bowl Zone remains to be drill tested, and a number of other geochemical targets warranting follow-up have been identified on the property. The historical information is from 2000 Geological and Geochemical Assessment Report on the Sprogge Property dated April 23, 2001 and prepared by Doug Brownlee and Greg Johnson for NovaGold Resources Inc.
The non-binding letter of intent contemplates the completion of a Definitive Option Agreement whereby Northern Tiger will acquire an option to earn a 100% interest in the property from the Vendors. Under the terms of the proposed agreement, Northern Tiger will be required to make cash payments of $500,000 over a three year period and incur $1,000,000 in exploration expenditures over a four year period. The Vendors will retain a 2% net smelter return interest (NSR) on the property. Northern Tiger can purchase 1% of the NSR for $1,000,000. The Vendors will have a first right of offer on any proposed sale of the property for four years.
This News Release has been reviewed and approved by Dennis Ouellette, B.Sc., P.Geol., a Qualified Person as defined by NI 43-101.
Northern Tiger Resources Inc. is a Canadian-based resource exploration company focused on gold and copper exploration in the Yukon. Through its exploration alliance with Capstone Mining Corp.'s wholly owned subsidiary, Minto Explorations Ltd., Northern Tiger benefits from a wide range of experience, knowledge and capabilities from early exploration to mine production.
For further information please contact:
Greg Hayes, President and CEO
This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, statements regarding potential mineralization, exploration results, resource or reserve estimates, anticipated production or results, sales, revenues, costs, "best-efforts" financings or discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from the Company's expectations are in Company documents filed from time to time with the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com. Neither 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.
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