VANCOUVER, Sept. 27, 2017 /CNW/ - Amarc Resources Ltd.
("Amarc" or the "Company") (TSX-V: AHR; OTCBB: AXREF) announces a
private placement of common shares for proceeds totaling
approximately $2.6 million that will
be completed in the immediate future. The common shares will be
issued at a price of C$0.20 per share
and subject to a four month hold period. Fees of 6% are
payable on a portion of the financing and the financing is subject
to final TSX Venture Exchange approval.
Proceeds from the financing will be used to drill test the DUKE
porphyry copper deposit target this fall with a budget of
approximately $600,000, repay
$500,000 of loans outstanding and for
general corporate and working capital purposes.
Amarc's DUKE deposit target and the adjacent 190 km2
porphyry copper district is located 80 km northeast of Smithers, British Columbia ("BC") and 30 km
north of former mines (Bell and Granisle) operated by Noranda Mines. The DUKE Project area is
logging road accessible from Smithers or Fort St.
James. The Company plans to complete up to four drill
holes as an initial test of the DUKE deposit target.
Prior operators explored the DUKE porphyry copper deposit target
with surface geochemical and geophysical surveys, as well as 30
shallow diamond drill holes. Many of the holes drilled
intersected significant lengths of porphyry
copper-molybdenum-silver-gold mineralization, which remains open
both laterally and to depth. Additionally, the surrounding DUKE
district covered by Amarc mineral claims hosts multiple
second-order porphyry copper deposit targets. Amarc
proactively supports government's duty to consult First Nations and
following a rigorous review process, the Company has received two
five-year, area-based permits for DUKE Project exploration
activities.
About Amarc Resources Ltd.
Amarc is a mineral exploration and development company with an
experienced and successful management team focused on developing a
new generation of BC porphyry copper mines. By combining
strong projects and funding with successful management, Amarc has
created a solid platform to create value from its exploration and
development-stage programs.
Amarc is advancing its 100% owned IKE, DUKE and JOY porphyry
copper deposit districts, located in southern, central and northern
BC, respectively, each with proximity to industrial infrastructure,
power, rail and highways. These projects represent
significant potential for the discovery of multiple and
important-scale, porphyry gold-copper and copper-molybdenum
deposits.
The 462 km2 IKE Project is located 33 km northwest of
the historical mining community of Gold
Bridge. Amarc has made a significant new porphyry
copper-molybdenum-silver discovery, completing over 12,000 metres
of drilling in 21 wide-spaced core holes in the IKE deposit.
The deposit has the potential for extensive resource volumes
and remains open to expansion in all directions. Extensive regional
surveys have also identified numerous porphyry copper
(±molybdenum±gold±silver) targets within 10 km of the IKE deposit.
Amarc has partnered with Hudbay Minerals Inc. ("Hudbay") (TSX-HBM;
NYSE:HBM) to efficiently fund the advancement of the IKE Project
(see Amarc News Release dated July 6,
2017) with a 2017 exploration program budget of $3.3 million.
Amarc's 72 km2 JOY Project lies 310 km north of
Mackenzie, BC in the province's
Toodoggone region, an area considered to have high potential for
the discovery of important scale, porphyry gold-copper deposits.
JOY is located 20 km north of the prolific Kemess District, host to
the former Kemess South Mine and AuRico Metals' recently government
approved Kemess Underground Project. Past operators conducted
prospecting-style work indicating a number of substantial porphyry
gold-copper and epithermal silver-gold deposit targets across the
JOY property. In particular, historical and recent soil
surveying outlined a 9 km2 copper, gold, molybdenum,
silver and zinc geochemical anomaly ("Deposit Target One"), which
potentially reflects a large and shallowly buried, gold-copper
porphyry deposit. Amarc has partnered with Hudbay to efficiently
fund the advancement of the JOY Project (see Amarc News Release
dated August 22, 2017) with a 2017
exploration program budget of $1.9
million.
Amarc has also concluded option agreements with each of Gold
Fields Toodoggone Exploration Corporation and Cascadero Copper
Corporation to purchase 100% of the 323 km2 PINE
property (see Amarc News Release August 29,
2017), which lies between Amarc's JOY Project and AuRico's
Kemess developments.
Amarc considers the JOY and adjacent PINE mineral claims to be
significantly underexplored and, potentially, to represent the
northern extension of the Kemess gold-copper district.
Deposit Target One on Amarc's JOY Project which is the focus
of the 2017 drill program extends for some distance onto the PINE
property. In addition, highly favorable geology,
surface sampling and geophysical surveys, along with drilling in
248 holes by past operators, indicate a number of significant
gold-copper deposit targets across the PINE property.
Amarc is associated with Hunter Dickinson Inc. ("HDI"), a
diversified, global mining company with a 29-year history of
porphyry discovery and development success. Previous and
current HDI porphyry projects include some of BC's and the world's
most important mineral resources – such as Pebble, Mount Milligan,
Kemess South, Kemess North, Gibraltar, Prosperity, Xietongmen, Newtongmen,
Florence, Sisson, and Maggie. From its head office in
Vancouver, Canada, HDI applies its
unique strengths and capabilities to acquire, develop, operate and
monetize mineral projects to provide superior returns to
shareholders.
Amarc is committed to working collaboratively with governments
and stakeholders to achieve responsible development of its
projects, while contributing to sustainable development of the
communities in which it works. All work programs are
carefully planned to achieve high levels of environmental and
social performance.
Qualified Person as Defined Under National Instrument
43-101
Mark Rebagliati, P. Eng., a
Qualified Person as defined under National Instrument 43-101, has
reviewed and approved the technical content of this release.
ON BEHALF OF THE BOARD
Ronald W. Thiessen
Chief Executive Officer
Neither the TSX Venture Exchange nor any other regulatory
authority accepts responsibility for the adequacy or accuracy of
this release.
Forward Looking and other Cautionary
Information
This news release includes certain statements that may be deemed
"forward-looking statements". All such statements, other than
statements of historical facts that address exploration drilling,
exploitation activities and other related events or developments
are forward-looking statements. Although the Company believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in the forward-looking statements.
Assumptions used by the Company to develop forward-looking
statements include the following: Amarc's projects will obtain all
required environmental and other permits and all land use and other
licenses, studies and exploration of Amarc's projects will continue
to be positive, and no geological or technical problems will occur.
The Company cannot guarantee that the Consolidated Loan and
issuance of securities contemplated by this release will
complete. There is no certainty that the Company will be able
to repay the Consolidated Loan or any other outstanding debt or
liability of the Company in a timely manner or at all.
Factors that could cause actual results to differ materially from
those in forward-looking statements include market prices,
potential environmental issues or liabilities associated with
exploration, development and mining activities, exploitation and
exploration successes, continuity of mineralization, uncertainties
related to the ability to obtain necessary permits, licenses and
tenure and delays due to third party opposition, changes in and the
effect of government policies regarding mining and natural resource
exploration and exploitation, exploration and development of
properties located within Aboriginal groups asserted territories
may affect or be perceived to affect asserted aboriginal rights and
title, which may cause permitting delays or opposition by
Aboriginal groups, continued availability of capital and financing,
and general economic, market or business conditions. Investors are
cautioned that any such statements are not guarantees of future
performance and actual results or developments may differ
materially from those projected in the forward-looking statements.
For more information on Amarc Resources Ltd., investors should
review the Company's annual Form 20-F filing with the United States
Securities and Exchange Commission at www.sec.gov and its home
jurisdiction filings that are available at www.sedar.com.
SOURCE Amarc Resources Ltd.
