G4G Capital Corp. Announces Proposed Acquisition of the Arms Claims in the Yukon Territories
1051-409 Granville Street Vancouver, BC V6C 1T2
NEWS RELEASE
TSX Venture Symbol: GGC March 20, 2015
G4G CAPITAL CORP. ANNOUNCES PROPOSED ACQUISITION OF THE ARMS CLAIMS IN THE YUKON TERRITORIES
G4G Capital Corp. (the “Company”) is pleased to announce that as part of the restructuring of the Company it has entered into a definitive arm’s length Earn-In Option and Joint Agreement (the “Earn-In Agreement”) dated February 2, 2015 with Ryan Gold Corp. (“Ryan Gold”) of Toronto, Canada. The Earn-In Agreement provides that the Company can earn a 60% right, title, and interest in and to the ARM Claims consisting of 544 contiguous mineral claims encompassing approximately 11,011 hectares of land located in the Whitehorse Mining District, about 210 km’s northwest of Whitehorse and 35 km’s northeast of the town of Burwash Landing on the western shore of Kluane Lake, Yukon Territory.
Ryan Gold Corp is a reporting issuer having its shares posted and called for trading on the TSX Venture Exchange.
Under the terms of the Earn-In Agreement, the Company can earn its 60% interest in and to the ARMS Claims by issuing and allotting 400,000 fully paid common shares of the Company and paying the sum of $375,000CDN in the following installments:
1) $ 50,000 on the second anniversary of the Effective Date;
2) $ 75,000 on the third anniversary of the Effective Date;
3) $100,000 on the fourth anniversary of the Effective Date; and
4) $150,000 on the fifth anniversary of the Effective Date.
In addition to the payment of the cash and share consideration, the Company is required to complete exploration work on the ARMS Claims in a minimum amount of $600,000CDN that must be spent within 5 years of the Effective Date, being the date the Earn-In Agreement is accepted for filing by the TSX Venture Exchange, of which $50,000CDN must be spent within the first year.
The historical exploration work on the ARM Claims has been limited. Ryan Gold Corp. in 2011 completed an exploration program centered on ridge and spur soil sampling (447 samples) which defined two areas of interest with elevated gold values clustered at about the property’s centre. These were followed up in 2012 2782 samples based in part on continued ridge and spur sampling but more importantly on a regular grid system with lines spaced 100m apart and samples collected at 50m intervals. Results have outlined an anomalous area at 50ppb Au or greater 4km in length and about 600m in width. Within this zone are three prominent trend directions of which a WNW-ESE trend is best defined and may represent a structural feature that is gold enriched.
In addition to the soil sampling, and also occurring in 2012, was a program consisting of geological mapping and rock sampling. The mapping has supported the hypothesis that the Yukon-Tanana Terrane rocks do form a roof pendant within the granodiorite of the Ruby Range batholith while the rock sampling (grab samples) has indicated numerous samples that assayed greater than 100ppb Au and four in particular that graded better than 1.0 gpt Au. From this latter group the best returned 3.67 gpt Au.
Recommendations based on the interpreted results supports a two phase approach to any future exploration program. The first phase would be field based and would emphasize the relationship of the gold mineralization to the host rocks and possible structures. This would be undertaken by continued mapping and prospecting but also by air photo interpretation and the evaluation of the geophysical results in conjunction with previous field work. As part of this initial phase would be the procurement of a more advanced land permit and the maintaining of a good working relationship with the local aboriginal community, the Kluane and White River Nation.
The second phase would advance the economic potential of the property by the completion of 500m of reverse circulation drilling on existing soil anomalies and any new targets as defined by work completed in Phase 1. In addition, it is recommended that continued discussions should be made with the local aboriginal band with attention on possible employment and also the determination of possible heritage sites.
Since the first phase work would result in enhanced drill target definition; it is recommended that the drilling would be best undertaken and be contingent on positive results from Phase 1.
The first phase proposed budget is estimated at $60,500CDN while the second phase has been budgeted for $180,000CDN for a total of $240,000CDN.
A NI 43-101 technical report dated January 16, 2015 has been prepared on the ARM Claims by Peter Dadson, B.Sc., P. Geol. The report together with a definitive version of the Earn-In Agreement will be filed by the Company on SEDAR under the Company’s SEDAR profile following this release.
The acquisition is subject to TSX Venture Exchange approval which has been applied for by the Company in conjunction with 2 other filings related to the Company’s reorganization all of which are intended to be completed concurrently in order to satisfy the TSX Venture Exchange initial listing requirements for a tier 2 issuer on the Exchange. The remainder of the items being filed involves a private placement and debt conversion both of which are in the organizational stage and will become the subject matter of additional releases.
The shares of the Company will remain halted by the TSX Venture Exchange until the Company can demonstrate that it satisfies the TSX Venture Exchange requirements.
Peter Dadson, B.Sc., P. Geol. is the Qualified Person, as defined in NI 43-101, and is responsible for the preparation of the technical information contained in this news release.
On behalf of the Board of Directors
“Basil Botha”
Basil Botha, President G4G Capital Corp.
For further information, please visit the website at www.sedar.com to view the Company’s profile.
The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.”
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this News Release. WARNING: The Company relies on litigation protection for `forward looking" statements. Actual results could differ materially from those described in the news release as a result of numerous factors, some of which are outside the control of the Company. This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act') or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.