Laurentian Goldfields Ltd. (TSX-V: LGF) ("Laurentian" or the "Company") is pleased to announce that it has secured a 100% interest in its Grenville Project in Quebec via the termination of its joint venture agreement (the "Joint Venture") with Australian Mineral Fields (Grenville) Pty Ltd. ("Ausminfields"). Since entering into the Joint Venture on August 9, 2007, the combined geological expertise of Laurentian and Ausminfields has resulted in the staking of approximately 120,000 hectares of mineral claims in the Grenville Geological Province.
The Grenville Project targets gold properties with geological similarities to AngloGold Ashanti Ltd.'s ("AngloGold") Tropicana deposit. The Tropicana deposit occurs in the Albany-Fraser Mobile Belt in Western Australia, which is a geological setting very similar in age to that of the Grenville Province. Laurentian has conducted just under $1 million of early stage exploration on the Grenville Project.
The Joint Venture is being terminated pursuant to an agreement made effective January 23, 2009 (the "Termination Agreement"). Under the terms of the Termination Agreement, Ausminfields shall no longer have any interest in the mineral claims that were subject to the Joint Venture and shall forthwith assign any interest it currently holds in such mineral claims to Laurentian. In consideration, Laurentian will issue 1,000,000 common shares of the Company to Ausminfields, subject to approval by the TSX Venture Exchange. The shares will be subject to escrow with one-third being released immediately, one-third being released on January 23, 2010 and one-third being released on January 23, 2011.
Under the terms of the Termination Agreement, Ausminfields agrees to provide Laurentian with copies of all documents, reports and data in the possession of Ausminfields relating to the subject properties under the Joint Venture. Ausminfields also agrees not to: engage in mineral exploration, stake, or otherwise acquire any interest in mineral claims within an Area of Exclusion covering the current claims, and as defined by the Termination Agreement, for a period of two years from the effective date of the Termination Agreement.
"The acquisition of a 100% interest in the Grenville Project is considered by us to be an important step in Laurentian's strategy to engage a major gold company partner to advance the Grenville Project," states Andrew Brown, President and CEO of Laurentian.
About Laurentian Goldfields Ltd.
Laurentian is a team of highly skilled exploration professionals focused on discovery and growth in under-explored regions of mining-friendly jurisdictions. The Company generates new projects by employing leading edge exploration concepts and techniques to quickly and cost-effectively screen vast tracts of land for geological and geochemical signatures known to be associated with world class gold deposits.
ON BEHALF OF THE BOARD OF DIRECTORS,
Andrew Brown, M.Sc., P.Geo.
President and CEO
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to future payments, expenditures and exploration, development and production activities. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the timing of future payments, expenditures and the timing and success of future exploration, development and production activities.
For further information, please contact:
Lara Cubitt, Manager Corporate Communications
Tel: (604) 646-1599
Fax: (604) 642-2411