Canex Receives Exchange Approval for Option of Louise Copper-Gold Porphyry and Completes Field Program at Gold Range

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CALGARY, AB / ACCESSWIRE / April 9, 2024 / CANEX Metals Inc. ("CANEX" or the "Company") announces that further to its news release dated March 5, 2024, it has received TSX Venture Exchange ("TSX Venture") approval for the option of the Louise copper-gold porphyry deposit in British Columbia and a surface mapping and sampling program at the Gold Range Project in Arizona has been successfully completed.

Louise Option Approved

The Company is pleased to announce the Exchange has approved the terms of the option agreement on the Louise Copper Gold Porphyry in British Columbia. The option agreement allows Canex to earn a 100% interest in the Louise Project by making the following payments over a 5 year period:

  • $10,000 in shares or cash on Regulatory Approval; $25,000 in shares or cash on or before March 1st, 2025; $50,000 in shares or cash on or before March 1st, 2026; $90,000 in shares or cash on or before March 1st, 2027; $200,000 in shares or cash on or before March 1st, 2028; and $400,000 in shares or cash on or before March 1st, 2029

Canex issued a total of 200,000 shares upon receipt of regulatory approval to the Vendor at a price of $0.05 per share. These shares are subject to a hold period of four months plus one day or until August 9, 2024. There are no expenditure commitments with the option allowing CANEX to advance the project as market conditions allow. The vendor, Bernie Kreft, will retain a 2.5% net smelter royalty (NSR), with CANEX having the right to buy back 40% of the NSR (1% of the 2.5% NSR) for $1,500,000. CANEX will retain a right of first refusal on the sale of Kreft's royalty.

A milestone bonus of $50,000 in shares or cash will also be payable if CANEX drills over 4250 metres of core, and a second milestone bonus of $50,000 in shares or cash will be payable if CANEX publishes a resource estimate with greater than 1.5 million contained ounces of gold.

Louise Project Summary

The Louise Project is road accessible and located approximately 35 kilometres west of Smithers, in west central British Columbia. Previous drilling has defined a near surface mineralized zone 1000 metres long by 100 to 200 metres wide, extending to about 270 metres depth. Previous drilling has intersected strong copper and gold grades highlighted by hole LL04-03 which returned an interval of 158 metres grading 0.41% copper and 0.40 g/t gold starting at 53.5 metres downhole. Such strong grades, that appear to increase with depth, suggest good grade potential could exist in the main body of the porphyry system which is hypothesized to occur at depth or adjacent to the known mineralized zone.