SECOVA SIGNS AMENDED AND RESTATED OPTION AGREEMENT ON TRES-OR’S DUVAY GOLD PROJECT, QUEBEC
Tres-Or Resources Ltd. (“Tres-Or” or “Optionor”) (TSX-V: TRS) is pleased to announce that Secova Metals Corp. (“Secova”) (TSX-V: SEK) has executed an Amended and Restated Option Agreement (the “Amended Agreement”) to earn up to a 90% interest in the consolidated Duvay Gold Project, comprising 174 claims (7,766.79 ha) in the Abitibi region, 16 kilometres northeast of Amos, Quebec.
Under the Amended Agreement, Tres-Or grants to Secova the sole and exclusive right and option to acquire an undivided 65% right, title and interest in the Duvay Gold Project by paying to the Optionor the sum of $500,000 (of which $200,000 has been received to date), and incurring $3,250,000 in exploration expenses over a three (3) year period. Under the new arrangements, Tres-Or and Secova have consolidated the 105 Duvay claims and 69 Chenier claims into a large and contiguous land package, where Secova will complete $750,000 in exploration expenditures by the end of March 2017.
Secova can earn an additional 25% ownership by funding a pre-feasibility study and making aggregate expenditures of $12 million to bring the property towards production. Secova shall act as operator and in circumstances where Secova earns a 90% interest in the Duvay Gold Project, then Tres-Or would revert to a 10% carried interest through to commercial production. In addition, Secova would grant to Tres-Or the right to receive a resource payment (the “Resource Payment”) based on the initial NI 43-101 compliant resource estimate on the claims. The Resource Payment will be equal to $30.00 for each gold ounce equivalent categorized as “measured”, $25.00 for each gold ounce categorized as “indicated”, and $15.00 for each gold ounce categorized as “inferred” to be paid from proceeds of commercial production after deducting operating costs and other senior payments. If Secova chooses to remain at a 65% ownership interest, then a joint venture will be formed with Tres-Or and the Resource Payment would be payable within 180 days of the joint venture formation.
Visible gold was discovered at Duvay in the late 1930’s. Gold mineralization is associated with the northwest trending Duvay shear zone, a 3.3 km structure striking across the Duvay Gold Project, and intersecting northeast faults. The intersection of these deformation trends are potential points of enhanced gold mineralization. Historical gold results from the Duvay occurrence returned samples up to 402 g/t over 0.36m, 76.8 g/t over 0.46m and 34.6 g/t over 0.46m. Drilling and test pitting by Tres-Or supports this potential, with the best analytical drill results of 83.194 g/t gold (Au) over 1.0 m and 5.217 g/t Au over 1.0 m as well as 8 other intervals between 0.42 g/t Au and 1.93 g/t Au, for intervals between 1 and 7 m. Small (10 tonne) bulk samples were excavated and processed by Tres-Or in a test plant built at the Duvay site. The richest pit test (DVP-002) yielded a grade of 0.77 g/t Au from 10 tonnes, with concentrate values averaging 369.43 g/t Au (Duvay Property Technical 43-101 Report, October 31, 2012) and (The Duvay Gold Property Geoscientific Compilation Report, August 8, 2016).
Laura Lee Duffett, P.Geo. is the qualified person as defined in NI-43-101, who has reviewed and is responsible for the technical information presented in this news release.
On behalf of the Board of Directors
TRES-OR RESOURCES LTD.
“Laura Lee Duffett”
President and CEO
Tel: +1 604-688-8700
SECOVA METALS CORP.
Chairman, CEO and Director
Tel: +1 604-558-5397
About Tres-Or Resources Ltd.:
Tres-Or Resources Ltd. (TSX Venture: TRS) is a Canadian resource company focused on exploring for gold, base metals and diamond resources in the Abitibi-Témiscamingue regions in northwestern Quebec.
About Secova Metals Corp.:
Secova Metals Corp. (TSXV: SEK FSE: N4UN USA: SEKZF) is a Canadian resource company focused on developing resource assets within Quebec. Secova has an Option with Tres-Or to earn-in to the Duvay-Chenier gold project near Amos, Quebec. Secova also holds a 100% interest in the Eagle River project (over 20,000 hectares) which is on-trend and 10 km from the Windfall Lake gold project. For further information see web site www.secovametals.com