Strike Length of Surface Mineralization Extended at Storm Copper
VANCOUVER, BC - Commander Resources Ltd. (CMD-TSX.V, "Commander") announces that its option partner, Aston Bay Holdings Ltd. (BAY-TSX.V, "Aston Bay"), has completed the summer exploration program on the Storm copper property on Somerset Island, Nunavut, and has announced a significant increase in the potential strike length of surface mineralization. The extent of surface copper showings has been increased from 7 kilometres to 30 kilometres in length.
This season's work at Storm included geological mapping in the vicinity of the known mineralization as well as prospecting and soil sampling in areas where little or no mineralization had been previously identified. The joint exploration program was conducted over a three-week period by technical professionals from a wholly owned subsidiary of Antofagasta plc, as well as Aston Bay and consulting company APEX Geoscience Ltd. Outcomes from the program include new discoveries of copper-bearing frost heaved subcrop and float that substantially increases the distance over which copper mineralization has been found at surface on the Project.
Targeting for the prospecting and soil sampling was driven by results from the Versatile Time Domain Electromagnetic (VTEM) survey conducted by Commander Resources in 2011, and previous soil sampling programs. Copper-bearing minerals, including malachite and chalcocite, were discovered in frost heaved subcrop and float in several areas where no previous drilling or surface sampling had been conducted. Samples of the copper-bearing material were collected for assay and results will be released once obtained.
For further details of the work conducted in this summer's program, including a map of the project showing locations of newly discovered mineralization, please refer to Aston Bay's news release of September 10, 2014.
About Commander Resources and Aston Bay Holdings:
Commander is a Canadian focused exploration company that has leveraged its success in exploration through partnerships and sale of properties, while retaining equity and royalty interests. Under the terms of an agreement signed in November 2011, and amended in 2014, Aston Bay may earn a 50.1% interest in the Storm copper and Seal zinc properties by spending $6 million in work, and may increase their interest to 70% by investing a further $9 million and delivering an NI 43-101 report disclosing an Indicated Resource on the property. After earning 50.1%, Aston Bay may elect to buy out Commander's remaining interest for the sum of $15 million, or 20% of Aston Bay's market cap, whichever is greater. Commander also holds a 0.875% Gross Over-riding Royalty on production from the properties. Aston Bay may buy down the Royalty to 0.4% for the sum of $2 million in 2014, increasing by $1 million each year thereafter. In June, 2014 Aston Bay signed a binding Memorandum of Understanding (the "MOU") with a wholly-owned subsidiary of Antofagasta plc to cooperatively advance the project. The MOU gives Antofagasta the opportunity to earn up to a 70% total interest in Storm, as well as a path to an eventual proposed joint venture, as described in Aston Bay's press release of June 18, 2014. Aston Bay and Antofagasta are working to finalize the definitive agreement by December 1, 2014.
Bernard H. Kahlert P.Eng., a Director of Commander, is the Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical disclosure of this news release.
On behalf of the Board of Directors,
Eric W. Norton
President & CEO
Eric Norton, President and CEO
Toll Free: 1-800-667-7866
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. Statements in this press release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, may include forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in resource exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements.