VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 22, 2012) - Commander Resources Ltd. (TSX VENTURE:CMD) ("Commander") reports that it has received notice from AngloGold Ashanti ("Anglo") that they do not intend to put forward a 2012 exploration program on Baffin Island and will be withdrawing from the Farm-in and Joint Venture agreement. Under the agreement, Anglo had the option of earning an initial 51% in the Baffin Island property by spending $20 million. Anglo did not complete the expenditures required to vest their initial interest and therefore retains no participating interest. Commander will now retain 100% interest in the property.
Anglo has considerably advanced Commander's district-scale gold project, which covers a 140 km long mineralized greenstone belt. Highlights from the exploration programs conducted during Anglo's period of involvement can be summarized as follows:
-- In 2009, Anglo provided Commander with the cash required to buy-out one
of the original option agreements underlying a portion of the property,
thus eliminating all remaining earn-in expenditures that were part of
that agreement. Also that year, the Kanosak gold zone was advanced to
the drill stage and the strike length doubled to 3 km.
-- In 2010 a drill program at Malrok (first discovered in 2004) confirmed
the continuity and structural thickening of the known zones. The Kanosak
gold zone was tested for the first time over a 2.5 km strike length. The
drilling confirmed the presence of gold over the entire strike length
and revealed a previously unknown interval of prospective arsenopyrite
bearing metasediments. A strong Induced Polarization chargeability
anomaly was defined and prospecting revealed new areas of gold
-- In 2011, a 3D IP survey on the Kanosak gold prospect revealed strong
anomalies with a source commencing at approximately 150 metres depth
directly below high grade surface showings. The anomaly is interpreted
to be the primary feeder source of the gold showings. The anomaly
increases in intensity with depth, with maximum penetration to 300
metres. These extremely strong IP anomalies are likely arsenopyrite
sulphides, which are the primary associate of gold at Baffin. The
Kanosak target is over 3,000 metres long and remains open.
Eric Norton, President & CEO of Commander states: "It has been beneficial having Anglo as a funding partner on the Baffin project for the past three years. We are pleased now to have 100% of the property returned to us with significant value added from Anglo's work, including new gold discoveries and a better understanding of the potential of the region. Corporately, Commander expects an exciting year ahead with aggressive exploration planned by our new partner on the Storm copper project, pending drill results from our recently completed drilling on the Stump Lake property and appreciation of our significant equity stake in Maritime Resources as they advance the Newfoundland gold properties."
The strong IP anomalies identified at the Kanosak gold zone in 2011 are the most significant that have been identified on the Baffin gold property to date. At the project site, a fully permitted camp is operational, situated adjacent to a 1,200 metre DEW line airstrip. Permits are also in place for drilling and water use. Commander has commenced efforts to further add value to the Baffin Island property through either a new JV deal or other business arrangement.
COMMANDER trades on the TSX Venture Exchange under the symbol "CMD". For additional information, please visit the Company's website at http://www.commanderresources.com.
On behalf of the Board of Directors,
Eric Norton, President & CEOThe TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
Nasdaq quotes delayed at least 15 minutes, all others at least 20 minutes.
Markets are closed on certain holidays. Stock Market Holiday List
By accessing this page, you agree to the following
Press Release Service provided by PRConnect.
Stock quotes supplied by Telekurs USA
Postage Rates Bots go here