VANCOUVER, BRITISH COLUMBIA, Mar. 31, 2010 (Marketwire) -- Laurentian Goldfields Ltd. (TSX VENTURE:LGF) (the "Company") is pleased to announce that the Company and Kinross Gold Corporation (Kinross) have signed a Letter of Intent (LOI) to form the Goldpines North Joint Venture (GPNJV) which is the first joint venture to arise from the Uchi Exploration Alliance (see news release dated August 11, 2009).
Uchi Exploration Alliance
On July 21, 2009, Laurentian and Kinross entered into the Uchi Exploration Alliance (Alliance), an aggressive 1 year program of grassroots gold target generation based upon geological concepts developed and implemented by Laurentian, with Kinross funding $400,000 and Laurentian $100,000, respectively (see news release dated August 11, 2009).
A number of prospective early-stage gold targets have been identified through geological compilation and fieldwork conducted by the Alliance over the past 8 months. Foremost is Goldpines North, the first target advanced to joint venture status. If, after further review of the remaining targets, Kinross declines to form any additional joint ventures, Laurentian will have the option to acquire these targets as 100% owned Laurentian assets.
Goldpines North Joint Venture
The GPNJV will be created to explore and develop a portion of the 200 km2 gold, arsenic and antimony geochemical anomaly defined and staked by Laurentian along the contact of the Uchi and English River Geological Subprovinces, 34 kilometres south of Red Lake Ontario (see news release dated March 4, 2010).
Kinross currently holds a 50% participating interest in Goldpines North and Laurentian holds a 50% carried interest. Under the terms of the GPNJV, Kinross may, at its option, earn an additional 25% interest in the GPNJV by fully funding $1.5M within 2 years from the commencement of the GPNJV, with a minimum expenditure of $500,000 in the first year.
A $500,000 exploration budget has been approved for Goldpines North in 2010. Exploration will commence with a detailed airborne geophysical survey in April and follow-up groundwork is scheduled for June, 2010. This initial program at Goldpines North has been designed to define diamond drill targets for the first Quarter of 2011. As operator of the GPNJV, Laurentian is entitled to a management fee equal to 10% of the approved exploration expenditures. The target at Goldpines North is a large, sediment-hosted gold deposit, similar to Goldcorp's Eleonore, in the James Bay region of Quebec.
"Goldpines North is an excellent example of Laurentian's ability to rapidly translate prospective geological concepts into high quality projects on the ground, in a cost-effective manner," states Laurentian's president and CEO, Andrew Brown. "With Kinross backing our exploration at this stage, we are confident that we can thoroughly evaluate the full potential of this exciting new project."
About Laurentian Goldfields Ltd.
Laurentian Goldfields Ltd. is a team of highly skilled exploration professionals focused on gold discoveries in Canada's frontier exploration areas. Laurentian's innovative exploration approach has drawn the attention of major mining companies such as AngloGold Ashanti Ltd. and Kinross Gold Corporation, who are currently fully-funding over $4 million in grass roots exploration alliances with the Company. Laurentian is committed to the identification and acquisition of new exploration opportunities, in addition to the advancement and growth of our current project portfolio.
ON BEHALF OF THE BOARD OF DIRECTORS,
Andrew Brown, M.Sc., P.Geo., President and CEO
Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to mineral potential and planned 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, realized mineralization of properties and the timing and success of future exploration, development and production activities.
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.