The Conversation (0)
Copper Fox Metals (TSXV:CUU) provided an update on the Eaglehead copper-gold-molybdenum project in BC, a joint venture with Carmax Mining Corp. In 2015, the summer field program will include re-logging and sampling of historical diamond drill holes as well as a limited verification drilling program. Copper Fox also reported the completion of a $550,000 private placement in Carmax.
As quoted in the press release:
Highlights:
- J. Michael Smith has joined the Board of Directors of Carmax. Mr. Smith is also a Director of Copper Fox,
- Elmer B. Stewart has been appointed Chairman of the Board of Directors of Carmax,
- Northern Fox has subscribed for 100% of the $550,000 private placement announced by Carmax,
- On acceptance of the private placement, by the TSX-Venture Exchange, Northern Fox will own approximately 50.97% of the common shares of Carmax,
- The 2015 summer field program on Carmax’s Eaglehead project will include, but is not limited to, re-logging and sampling of historical diamond drill holes and a limited verification drilling program, and
- Commencement of a water quality sampling program.
Mr. Stewart, President of Copper Fox stated, “With the recent results of the preliminary metallurgical testwork, we are pleased to complete the $550,000 private placement in Carmax. With the technical advances made at Eaglehead over the past year, the Company plans to take a more active role in future activities of Carmax. The election of Mr. Smith and funding the 2015 program are in line with our corporate strategy. Copper Fox along with Carmax look forward to seeing an exploration program completed on the Eaglehead project in 2015. The program is expected to get underway in early June, subject to snow conditions.”
J. Michael Smith:
Mr. Smith, a director of Copper Fox, has been elected to the Board of Directors of Carmax. Mr. Smith has been a director of Copper Fox since September 2004 and was the Executive Vice President until his retirement in September 2013. Mr. Smith had a 38 year banking career with RBC Royal Bank holding senior management positions in Canada and the United States.
Private Placement:
Northern Fox has taken up 100% of a $550,000 private placement in the equity of Carmax. The private placement consists of 11,000,000 Units at a cost of $0.05 per Unit. The Units (each a “Unit”) were subscribed for at a price of $0.05 per Unit and consisted of one previously unissued common share (“Share”) and one common share purchase warrant (“Warrant”) of Carmax. Each Warrant is exercisable for a period of 24 months from the closing date of the private placement and entitles the holder, on exercise, to purchase one additional common share of Carmax at a price of $0.075 per share.
Copper Fox beneficially owns and controls 36,566,528 common shares of Carmax, representing approximately 50.97% of the issued and outstanding common shares of Carmax on an undiluted basis (based on a total of 71,742,525 common shares of Carmax issued and outstanding). Copper Fox also holds Warrants which, collectively, entitle Copper Fox to indirectly acquire an additional 36,566,528 common shares of Carmax.
All of the Carmax’s securities beneficially owned and controlled by Copper Fox are registered in the name of Northern Fox. Copper Fox acquired the Units for investment purposes. Depending on economic and financial conditions, Copper Fox may acquire further common shares of Carmax (through market or private transactions) from time to time for investment purposes.
2015 Eaglehead Exploration Program:
The summer program has the objective of incorporating the first 59 diamond drill holes completed on the Eaglehead property between the 1960′s and 2005 into the current database as well as drilling several confirmation diamond drill holes to confirm the copper-molybdenite mineralization reported from the Camp and Pass zones. Historical drilling reports widespread mineralization in drill holes over large areas in both zones. According to the descriptions in the historical logs, the drill cores from both zones contain wide intervals of chalcopyrite and bornite mineralization that have not been sampled.
The exact metreage and number of drill holes to be completed in 2015 have not been determined and is contingent on cost of completing the proposed re-logging and core sampling programs. The establishment of water quality sample locations is planned to commence the work necessary to establish a baseline water quality model for the Eaglehead project.
Click here to read the Copper Fox Metals (TSXV:CUU) press release
Click here to see the Copper Fox Metals (TSXV:CUU) profile.