🕐27.08.10 - 07:27 Uhr
Great Quest Options its Taseko Project to Granite Creek Gold Ltd.
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Suite 515, 475 Howe Street
Vancouver, BC, Canada V6C 2B3
Tel: 604-689-2882 Website: www.greatquest.com
Fax: 604-684-5854 Email:
August 26, 2010
Great Quest Options its Taseko Project to Granite Creek Gold Ltd.
VANCOUVER, BC Victor J.E.
Jones, Chairman of Great Quest Metals Ltd.,
(TSXV: GQ; Frankfurt: GQM), announces that the Company has optioned its
Taseko project to a newly formed company, Granite Creek Gold Ltd., in
exchange for the issuance of 6.75 million shares of Granite Creek over four
years and work commitments for a minimum of $3,000,000 over five years to
give Granite Creek a 51% interest in the property.
Willis W.
Osborne,
President and CEO of Great Quest, will join the Board of Granite Creek.
Under the terms of the Agreement, which is subject to TSX Venture Exchange
approval, Granite Creek may increase its interest to 70% by spending a
further $2,000,000 on the property, issuing an additional 3,000,000 common
shares of Granite Creek to Great Quest and completing a feasibility study.
Great Quest holds a 100% interest in the 27 sq km Taseko property, located
225 kilometres north of Vancouver, BC and 25 km south of the Prosperity
copper-gold property held by Taseko Mines Ltd.
The property covers the
Empress and East zones which are copper-gold metasomatic occurrences as well
as the copper-molybdenum Buzzer, Buzzer West, Granite Creek and Rowbottom
mineral occurrences which fall into the porphyry copper category.
There is
an underlying 2% net smelter return, payable to a third party, on any
production from the property with an option at any time to purchase the
royalty for $1.5 million.
In 1991, a pre-feasibility study on the Empress deposit by James Askew and
Associates, Inc., Mining, Geological and Geochemical Engineers estimated in
situ resources of 11,078,000 tons of 0.61% copper and 0.023 ounces per ton
gold, at a cut-off grade of 0.40% copper using prices of $1.00 per pound
copper and $400 per ounce gold.
The study was commissioned by ASARCO
Incorporated, Great Quests joint partner at the time.
As that study
predates NI43-101, it must be declared that the potential quantity and grade
is conceptual in nature; there has been insufficient exploration to define a
mineral resource; and it is uncertain that further exploration will result
in the target being delineated as a mineral resource.
This Agreement will bring a new company to work on this copper-gold project
in BC and aligns with the Great Quest strategy to focus its resources on its
phosphate and gold projects in Mali.
ON BEHALF OF THE BOARD OF DIRECTORS
OF GREAT QUEST METALS LTD.
Victor J.E.
Jones
Victor J.E.
Jones
Chairman
12g3-2(b) Exemption #82-3116
Investor Relations:
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George Butterworth: 604-689-2882
Trading Symbol: GQ Frankfurt Exchange: GQM
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Neither the TSX Venture Exchange nor its Regulation Services Provider
accepts responsibility for the adequacy or accuracy of this release.
The
statements that are not historical facts and are forward-looking statements
involving known and unknown risks and uncertainties could cause actual
results to vary materially from the targeted results.