Options to Earn 100% Interest in La Carreta Property in Mexico Acquired by Geologix

Geologix Explorations Inc. (TSX:GIX,FWB:GF6) has acquired an option to earn a 100% interest in the La Carreta gold-copper-silver property in Michoacán State, Mexico — located approximately 20 km north-east of the Company’s Tepal project. Initial grab samples from the property have provided analytical results of up to 2.16 g/t gold, up to 305.00 g/t silver, and 1.29% copper.

As quoted in the press release:

Preliminary geological evaluation of the property shows the area to be underlain by Tertiary aged volcanics and volcaniclastics of an andesitic to rhyolitic nature. The area is crossed by several structural lineaments, one of which is seen to host precious and base metal mineralization. No previous exploration work has been conducted on the property and as such, work contemplated and completed by the Company is preliminary in nature at this stage.

Under the terms of the option agreement, Geologix has the right to earn a 100% interest in the concession by making staged payments totaling US$375,000 to the owner over a period of four years from the date of execution of the option. The payment schedule is as follows: US$5,000 on signature of agreement (paid), US$20,000 on the 1st anniversary of the agreement, US$50,000 on the second anniversary of the agreement, US$100,000 on the third anniversary of the agreement, and US$200,000 on the fourth anniversary of the agreement. The owner of the concession retains a 1% net smelter return (NSR) on any production on the property. Geologix has the right to acquire all of the NSR for a payment of US$1,000,000 at any time during the agreement.

Click here to read the Geologix Explorations Inc. (TSX:GIX,FWB:GF6) press release