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| | Tue Jan 12, 2010
Firestone Ventures Acquires Antelope Zinc-Lead-Silver Oxide Property, Nevada
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| | Jan. 12, 2010 - Firestone Ventures Inc. ("Firestone" or the "Company") (FV:TSX-V; F5V:FSE) is pleased to announce that it has signed formal agreements with two underlying vendors to earn a 100% interest in the 58.5 hectare Antelope zinc-lead-silver oxide project located 75 km southwest of Eureka, Nevada, U.S.A.
"The road-accessible Antelope project presents Firestone with a promising zinc oxide project in one of the most mining-friendly jurisdictions in the world. This is an early stage exploration project, but with our in-house expertise in zinc oxide exploration we can efficiently evaluate the zinc tonnage potential of Antelope," says Lori Walton, President of Firestone Ventures Inc. "Although our focus will remain in Guatemala we are excited about the possibility of adding to our Company's zinc tonnage through identification of base metal resources on an international scale."
Zinc mineralization hosted in lower Ordovician Hanson Creek Formation was discovered on the Antelope property in the 1980's followed by reverse circulation drilling between 1985 and 1990. Since then, intermittent geologic mapping and geochemical sampling was carried out by various parties. Zinc mineralization (smithsonite with minor sphalerite and galena) is exposed in a 15 metre long trench trending east-west and in a series of prospect pits over a 1.2 kilometre window of outcropping Paleozoic limestone.
During a due diligence visit by Firestone in August, 2009, five continuous chip samples were collected from smithsonite exposed at the bottom of the 15 metre long trench. The five chip samples (each sample taken over 3 metres) contained from 22.3% to 32% zinc and from 1.51% to 3% lead over 15 metres. The orientation of the smithsonite exposed in the trench is unknown. The highest silver value was 2.6 grams/tonne.
Eight additional rock chip samples were collected on the property. Six of the eight chip samples ranging from 1.0 metre to 3.0 metres returned zinc values of over 5.5% up to a maximum value of 20.7%. Seven of the eight chip samples returned lead values over 1,000 ppm (0.10%) up to a maximum value of 2.4% lead. Silver values were generally low (less than 1.4 grams/tonne).
Zinc mineralization at Antelope is a replacement of carbonate rocks, similar to the Company's Torlon Hill zinc-lead-silver deposit in Guatemala. Firestone is compiling and re-interpreting historic data sets and plans to design a surface exploration program that will define potential drill targets.
Terms of the Agreement
Under the terms of the Lease Option Agreement with the first underlying vendor to earn 100% interest in six of the lode mineral claims comprising the Antelope property, Firestone must make cash payments to the vendor totalling USD$83,340 over five years according to the following schedule (all amounts in U.S Dollars); $5,840 on signing, $7,500 by Year One Anniversary, $10,000 by Year Two Anniversary, $15,000 by Year Three Anniversary, $20,000 by Year Four Anniversary and $25,000 by the end of Year Five, and in subsequent years as an advance royalty. In addition, Firestone must incur $10,000 in exploration expenditures during Year One, $15,000 during Year Two and $25,000 in Year Three and subsequent Years. A 2% Net Smelter Returns Royalty is reserved for the owner, of which half may be purchased anytime by Firestone for USD $1.5 million. If Firestone purchases the owner's first 1% NSR, Firestone then has the option to purchase the remaining 1% NSR for $1.5 million.
In addition, Firestone has entered into a Lease Option Agreement with a second vendor to earn a 100% interest in one overlapping lode mineral claim covering the main mineralized zone. Under the terms of the Agreement, Firestone must issue to the underlying vendor cash payments totalling $82,500 over five years according to the following schedule; $5,000 on signing, $7,500 by Year One Anniversary, $10,000 by Year Two Anniversary, $15,000 by Year Three Anniversary, $20,000 by Year Four Anniversary and $25,000 by the end of Year Five and in subsequent years as an advance royalty. A 2% NSR is reserved for the owner. Firestone can purchase the owner's NSR anytime for $2.0 million.
All rock samples were analyzed by the Inspectorate Lab in Sparks, Nevada using 30 element ICP, AA for Pb, Cu and Zn and FA/AA for gold and silver.
John Cleary, (CPG), Firestone's Vice President Exploration and Qualified Person in accordance with National Instrument 43-101 has reviewed and approved the technical content of this news release.
Lori Walton, P. Geol., President
Toll Free: 1-888-221-5588
Fax: (780) 428-3476
info@firestoneventures.com
www.firestoneventures.com
Trading Symbol: FV:TSX-V;F5V: FSE
For Investor Relations please call: Contact Financial Inc. at (604) 689-7422
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. The Company disclaims any intention or obligation to revise or update such statements. 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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