Amendment to Fraser Bay Option Agreement
| Amendment to Fraser Bay Option Agreement | |
| May 14, 2013 WMM13-05 | |
| Vancouver, B.C. – West Melville Metals Inc. (WMM: TSX-V) (“West Melville” or “the Company”) and Roche Bay plc | |
| (“Project Vendor”) have agreed to amend the Fraser Bay Option Agreement (the “Agreement”) to extend the dates by | |
| which the first and second options must be exercised from September 30, 2013 to December 1, 2014 for the first | |
| option and from December 31, 2015 to April 15, 2017 for the second option. In consideration for granting the | |
| extensions, the Company will issue 200,000 shares to the Project Vendor on or before February 15, 2014. | |
| “We very much appreciate the cooperation of Roche Bay in concluding this arrangement,” stated Dr. Rory Moore, | |
| President and CEO of West Melville Metals. “Both parties recognised that it would be challenging to finance a | |
| significant exploration program at Fraser Bay under current market conditions and concluded that delaying | |
| exploration work and preserving the capital structure of West Melville would be in the best interests of all | |
| stakeholders in the long term.” | |
| The Fraser Bay Project | |
| The Fraser Bay property is located on the west side of the Melville Peninsula, 180 kilometres southwest of the | |
| community of Hall Beach in Nunavut, Canada. It consists of a single mineral lease covering 3,228 acres that is | |
| favourably located 12 kilometres from tidewater at Committee Bay and 120 kilometres from a proposed deep water | |
| port at Roche Bay. The property lies within 16 kilometres of the CAM 5 airstrip at Mackar Inlet (a former defence early | |
| warning site) and an all-season road from the airstrip terminates less than 10 kilometres from the property boundary. | |
| This infrastructure provides a significant logistical benefit to the project. The lease is currently owned by Roche Bay | |
| plc, with West Melville having an exclusive option to earn up to a 70-per-cent interest in the property by meeting a | |
| series of work and expenditure commitments, and making certain share payments. For additional details on the | |
| Fraser Bay Option Agreement please follow the link to the Company’s website:- | |
| http://www.westmelville.com/projects/fraser-bay-project/agreement/ | |
| About West Melville Metals Inc. | |
| West Melville is an iron ore and specialty metals exploration company working to advance the Fraser Bay iron ore | |
| project in Nunavut and the Isortoq iron-titanium-vanadium project in Greenland. The Company has assembled an | |
| experienced management team with a track record of discovery success and a Board of Directors with expertise | |
| covering the essential fields of geology, engineering and finance. West Melville’s projects offer a combination of low | |
| geological risk with significant upside potential in high demand commodity sectors. | |
| On behalf of the Board of Directors | |
| Rory O. Moore, Ph.D. | |
| President and CEO | |
| West Melville Metals Inc. | |
| For further information about West Melville Metals Inc. or this news release, please visit our website at | |
| www.westmelville.com or contact Investor Relations toll free at 1.888.331.2269, at 604.646.4527, or by email at | |
| [email protected]. | |
| West Melville Metals Inc. is a member of the Aurora Mineral Resource Group of companies. For more information | |
| please visit www.auroraresource.com. | |
| Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the | |
| TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. |
Certain disclosures in this release, in particular regarding the economic potential of the Fraser Bay Project and the Company’s interest therein, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to West Melville's operations as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including risks as to the completion of the plans and projects. Readers are cautioned not to place undue reliance on forward-looking statements. Other than as required by applicable securities legislation, West Melville expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise.