Nevada Exploration (NGE)

[JD400]

Nevada Exploration Inc. and Spruce Ridge Resources Ltd. Agree to Terminate the Fletcher Junction Option Agreement

September 30, 2013


Nevada Exploration Inc. (TSX.V:NGE) (“NGE”) announces that NGE and Spruce Ridge Resources Ltd. (“Spruce Ridge”) have agreed to terminate the Exploration and Option to Enter Joint Venture Agreement (“Agreement”) at the Fletcher Junction gold project in Mineral County, Nevada. After completing two core drill holes, totalling approximately 1,200 metres (4,000 feet), Spruce Ridge has indicated that it believes the results do not lead to a vector that can be easily followed with the resources Spruce Ridge has available. NGE has agreed to accept a payment of $22,000USD from Spruce Ridge to settle Spruce Ridge’s outstanding obligations under the Agreement. With the termination of the Agreement, Spruce Ridge retains no interest in the project.

Specifically, discussing its decision, Spruce Ridge reported: “The second diamond drill hole at Fletcher Junction (FJ15) gave results very similar to the first hole (FJ14); gravels overlying bedrock contained locally anomalous gold. The bedrock, which (also like FJ14) comprised a sedimentary sequence composed of reworked pyroclastic and epiclastic volcanic rocks, was assayed where there were signs of silica-sulphide mineralization, and these sections yielded only minimal gold values, but did contain anomalous silver, arsenic, mercury, molybdenum and antimony, all pathfinder elements for epithermal gold systems, and all very similar to the concentrations in FJ14. The results do not lead to a simple vector indicating which direction to go towards the gold source; following up these indications would have entailed a multi-hole core drilling program, with each hole approximately 2,000 feet deep. The Company would require considerable funding to meet its commitments and the dilution to existing shareholders would be significant.”

NGE wishes to thank Spruce Ridge for advancing the Fletcher Junction gold project with these two very important drill holes. The significant intervals of highly anomalous trace-element concentrations in the first drill hole showed few visible marks and these important geologic units were only identified by the lab assays results. Only approximately 40% of the core samples from Spruce Ridge’s second drill hole have been assayed. NGE plans to assay the remaining approximately 60% of the second drill hole and to provide another project update once it has updated the project’s exploration dataset with these additional lab results.

http://www.nevadaexploration.com/news/index.php?&content_id=174