Ed's Thread

[Tackler]

New Cantech et al. option MacKay Lake to Peregrine

2004-03-12 20:30 ET - News Release

Also News Release (C-SAZ) International Samuel Exploration Corp
Also News Release (C-NDL) Nordic Diamonds Ltd

Mr. Dalton DuPasquier of New Cantech reports

OPTION ON MACKAY LAKE PROPERTY GRANTED TO PEREGRINE DIAMONDS LTD.; 2004 PHASE I EXPLORATION PROGRAM COMMENCES ON MACKAY LAKE PROPERTY

New Cantech Ventures, International Samuel Exploration and Nordic Diamonds have entered into an option agreement with Peregrine Diamonds Ltd. pursuant to which the optionors have granted to Peregrine an option to earn a 25-per-cent interest in the OL 1 to 12, OL 14 to 48 and the VE 41 to 46 mineral claims consisting of approximately 114,451 acres in the MacKay Lake area, Northwest Territories. The MacKay Lake property is subject to an underlying pooling agreement pursuant to which the optionors agreed to pool their interests for the purpose of forming a joint venture.

To earn its interest, Peregrine agrees to pay 25 per cent of the estimated costs of an $800,000 phase I exploration program consisting of staking, ground geophysics, and the identification and drilling of 12 priority targets, or such lesser number of targets as may be warranted. Should the parties agree to move forward to a phase II work program (at an estimated cost of $400,000) Peregrine will be granted an option to earn an additional 25-per-cent interest (for a total 50-per-cent interest) in the MacKay Lake property excluding the targets drilled during the phase I program. The phase II program will consist of BHP Billiton designing and conducting a Falcon survey under an arrangement with Peregrine over the MacKay Lake property with all costs to be shared as to one-half by the optionors and one-half by Peregrine.

The Mackay Lake property is host to 72 priority airborne geophysical targets identified from the 7,173 line kilometres of high-resolution airborne geophysical survey data purchased from Navigator Exploration Corp. and Tyler Resources Inc. (further details reported in Stockwatch on June 20, 2003) and 4,350 line kilometres of fixed wing magnetic geophysical survey flown on behalf of the optionors in 2002. The phase I exploration program has commenced with a proposed survey of 25 ground geophysical grids encompassing 26 priority targets.

The Falcon system is an airborne geophysical system that incorporates a gravity gradiometer as well as a stinger magnetometer, DGPS, radar and barometric altimeters, laser topographic scanner, and can include a radiometric package. The Falcon system is the result of an extensive development project by BHP Billiton. Falcon has a proven track record at successfully discovering new kimberlite pipes in the Slave province.

The 2004 field program is under the supervision of Martin St. Pierre, PGeoph, of Coquitlam, B.C., a qualified person under National Instrument 43-101.

A $20,000 finder's fee in total is payable, of which Cantech will be responsible for one-third, payable by shares in the capital of Cantech.