Download Fact Sheet ( PDF )
March 08, 2010 – Vancouver, B.C.: Quantum Rare Earth Developments Corp. (TSX.V – QRE) (“Quantum”, the “Company”), is pleased to provide an update that the previously announced agreement to acquire Silver Mountain Mines Corp. (“Silver Mountain”), a private Nevada corporation, is proceeding. On October 7, 2009, the Company announced the deferral of the proposed transaction to acquire Silver Mountain until such time as the Company had successfully graduated to Tier 2 of the TSX Venture Exchange. As stated in the original news release (see NR September 11, 2009), the Company announced the entering into of an agreement to acquire Silver Mountain. Since the time of the original announcement, Silver Mountain has closed a private placement and entered into two transactions to acquire additional property interests as described below.
On December 20, 2009, Silver Mountain entered into a Letter of Intent (“LOI”) to acquire North East Minerals Pty. Ltd. (“North East”), a private Australian company, that owns a 100% interest in West Australian Tenement E29/679 (fully granted), known as the Jungle Well Project, and a 100% interest in West Australian Tenement E38/2374 (pending grant), known as the Laverton Project. Both the Jungle Well and Laverton projects are considered prospective for the occurrence of rare earth elements (REE).
The projects are located in the same mineral field where Lynas Corporation Limited’s (ASX:LYC) Mt. Weld rare earth deposit is being developed. The Mt. Weld project is a significant world class deposit with a reported resource of 7.7Mt at 12% for 917,000t rare earth oxides. Lynas Corporation Limited is solely focussed on the deposit with a current market capitalization of A$280 million. Lynas has recently announced a A$522m funding package with China Non-Ferrous Metal Mining Group. Development of the deposit has commenced with the first mining campaign at Mt. Weld and surface ore stockpiles are completed. Readers are cautioned that any similarities between the Mt. Weld deposit and the Jungle Well or Laverton projects is speculative and has not been proven until such time as additional work is performed on the property.
The Jungle Well Project is hosted within granted exploration licence EL 29/679 and located 150km west of the Mt. Weld deposit. The tenement covers over 7,500 hectares and recent rock chip samples from a historical trench that was excavated for the evaluation of diamonds in the late 1990’s has returned REE results. The results for the rock chip samples are detailed in Table 1.
Table 1 – Rock Chip samples
ELEMENTS
Ce
Dy
Er
Eu
Gd
Name
Cerium
Dysprosium
Erbium
Europium
Gadolinium
UNITS
Ppm
ppm
09_RD_01*
29,300
560
349
130
634
09_RD_02**
31,200
429
173
210
772
La
Nd
Pr
Y
Yb
Lanthanum
Neodymium
Praseodymium
Yttrium
Ytterbium
09_RD_01
12,700
6,630
2,120
3,550
292
09_RD_02
26,800
14,600
4,990
2,010
129
Sample obtained from an observed dyke within floor of trench. The true width of the dyke could not be determined.
**Soil sampling from excavated trench (true width unknown).
Based on the data compilation, the project presents Silver Mountain with a drill ready target. However, assuming acquisition of Silver Mountain by the Company, it is the Company’s intention to carry out ground geophysical surveys to define the strike extent and delineate further targets before drilling programmes are carried out.
The Laverton Project is hosted within exploration licence application EL 38/2374 and located 45km north of the Mt. Weld deposit. The tenement covers over 9,600 hectares and contains a magnetic feature that the Company believes warrants field evaluations.
Terms of the LOI include the payment of $50,000 on signing (paid), with an additional $50,000 payable on approval of the final agreement, and the issuance of 1,500,000 common shares upon entering into a formal share purchase agreement with North East. The Company anticipates Silver Mountain will sign a definitive agreement with North East prior to the Company’s proposed acquisition of Silver Mountain.
Acquisition of Thunder Bay Claims – Silver Mountain
On November 6, 2009, Silver Mountain entered into an option agreement to acquire certain mineral claims in the Petry Station, Carre Lake Area and Wawang Lake area, Thunder Bay Mining Division, of Ontario. The claims encompass 4 separate claim blocks totaling 590 claim Units (23,600). As quoted from Ontario Geological Survey Open File Report 5940, (authored by Dyer, R.D. and Breaks, F.W. 1996) “Preliminary results of the survey show the presence of several multi-element anomalous areas. This geochemical signature is prospective for rare-earth element pegmatites…”
Terms of the acquisition to acquire a 100% interest in the claims include payment of $67,000 on signing (paid), and payment of $12,000 on or before November 6, 2010, $16,000 on or before November 6, 2011, $25,000 on or before November 6, 2012, and $35,000 on or before November 6, 2013. In addition, Silver Mountain agreed to issue to the vendors a total of 300,000 shares, with 100,000 shares issuable on Exchange approval of the proposed acquisition of Silver Mountain by the Company, 100,000 shares on or before the first anniversary of Exchange approval and 100,000 shares on or before the second anniversary of Exchange approval. The Company intends to assume the obligation to pay such amounts and issue such shares following the acquisition of Silver Mountain. The vendors in this transaction will retain a 1.5% Net Smelter Royalty, which may be reduced to 0.75% by paying the vendors the sum of $1,000,000.
Red Lake Claims – Silver Mountain
Silver Mountain currently holds an option to acquire a 100% interest in and to 7 mineral claims consisting of 100 claim units, covering an area of approximately 4,000 acres, located in the Red Lake Mining District, Ontario, known as the Tait Lake property. Terms of the acquisition call for the payment of $10,000 on signing which was July 31, 2009 (paid), and $129,000 payable as follows: $24,000 on or before first anniversary, $30,000 on or before second anniversary, $35,000 on or before third anniversary and $40,000 on or before fourth anniversary of signing. In addition, a total of 150,000 shares are issuable, with 50,000 shares on signing (issuance deferred until the acquisition of Silver Mountain closes), 50,000 shares on the first anniversary of the agreement, and 50,000 shares on the second anniversary of the agreement.
Private Placement – Silver Mountain
Silver Mountain completed a private placement in the fall of 2009, consisting of the issuance of 2,565,000 shares at a price of $0.075 (US funds), for gross proceeds of $192,375 (US funds). In connection to the private placement, Silver Mountain agreed to issue a total of 215,000 shares to an arm’s-length individual as a finders fee in assisting in the placement of a large portion of the financing.
Acquisition of Silver Mountain by the Company
Pursuant to the terms of the September letter agreement, and following entry into a definitive agreement, Quantum, a wholly-owned Nevada subsidiary of Quantum (“Acquisition Co.”) and Silver Mountain have agreed to carry out a merger, whereby, on the effective date of the merger, Silver Mountain will be merged with and into Acquisition Co., with Acquisition Co. carrying on as the surviving corporation under the name “Silver Mountain Mines Corp.” On the effective date of the merger, all of the Silver Mountain shares will be cancelled and the former shareholders of Silver Mountain will receive one share of the Company for each share of Silver Mountain formerly held by such persons. As a result of Silver Mountain entering into the two transactions described above and the closing of the private placement, Silver Mountain now has a total of 7,527,174 shares issued and outstanding, with obligations to issue an additional 1,950,000 shares under terms of the three agreements, for a total of 9,477,174.
Subject to approval from the Exchange, the Company intends to issue finders’ fees in accordance with TSX Venture Exchange guidelines for services provided by the finder with respect to the transaction. The finder is not a Non-Arm’s Length Party and such common shares will be issued pursuant to an exemption under applicable securities laws and will be subject to a hold period as required by applicable securities laws.
The technical information in this news release has been prepared in accordance with the CIM guidelines for the disclosure of mineral properties as set out in National Instrument 43-101 and reviewed on behalf of the company by James McCrae, P.Geo, a qualified person as defined by National Instrument 43-101.
On Behalf of the Board,
“Peter Dickie”
Peter Dickie, President
For further information, contact Peter Dickie, President and CEO of the Company at (604) 669-9330.
This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events such as: (i) the closing of the merger with Silver Mountain, (ii) Silver Mountain entering into a definitive agreement with New West; (iii) the intention to carry out a ground geophysical survey on the Jungle Well Project; and (iv) the belief that the Laverton Project’s magnetic feature warrants field evaluation. Such forward-looking information can include statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company such as the willingness of the parties to close the transactions, satisfactory results of the due diligence investigation on the parties to the transactions, Exchange approval of the transactions and current economic conditions and the state of mineral exploration and mineral prices in general. These risks and uncertainties could cause actual results and the Company’s plans and objectives to differ materially from those expressed in the forward-looking information. Due to conditions precedent to closing, and the risk that these conditions precedent will not be satisfied, the Company can offer no assurance that it will close the merger. These and all *subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice. Except as required by law, the Company assumes no obligation to update forward-looking information should circumstances or management’s estimates or opinions change.
Neither 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.
March 4, 2010 – Vancouver, B.C.: Quantum Rare Earth Developments Corp. (TSX.V – QRE) (“Quantum”, the “Company”), is pleased to announce the completion of the previously announce name change from Butler Resource Corp. (former symbol TSX.V – BTD). Effective today, trading in the shares of Quantum commenced on the TSX Venture Exchange under the symbol “QRE”.
“We are pleased at having completed our listing on the TSX Venture Exchange, and feel that our new name is more indicative of the direction the Company is focused on”, commented Peter Dickie, President of Quantum. “We look forward to advancing our Archie Lake property, completing our Silver Mountain acquisition, and pursuing other opportunities available in the rare-earth sector”.
There was no change in capital in the Company.
“Peter Dickie”Peter Dickie, President
“Neither 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."
Vancouver, British Columbia, February 25, 2010 – Butler Resource Corp. (the “Company”)(TSX.V – BTD) announces that subsequent to completion of the listing on Tier 2 of the TSX Venture Exchange (the “Exchange”), the Company intends to change its name, upon Exchange approval, to Quantum Rare Earth Developments Corp. to better reflect the focus of Company.
Following the recent closing of the private placement (see NR February 24, 2010) the Company is well financed to complete recommended work on the 100% owned Archie Lake Rare Earth property located in Saskatchewan, and to pursue several other opportunities in the Rare Earth sector.
Peter Dickie, President of the Company states, “With our recent listing on the TSX Venture Exchange and closing of the private placement, we are now in a solid position to focus and grow the Company asset base. We are currently planning extensive exploration efforts to develop the Archie Lake property and we continue to evaluate several potential acquisitions of quality Rare Earth projects. We believe that by re-identifying the Company to Quantum Rare Earth Developments Corp., the Company is putting forth a strong statement to the investing public of the corporate focus moving forward”.
Peter Dickie, President, CEOFor further information, contact Peter Dickie, President and CEO of the Company at 604-669-9330.
Vancouver, British Columbia, February 24, 2010 – Butler Resource Corp. (the “Company”)(TSX.V – BTD) announces that it has received final acceptance from the TSX Venture Exchange (the “Exchange”) to its reactivation as a mineral exploration company which involves the acquisition of a 100% interest in the Archie Lake Property. Accordingly, effective at the open of trading on February 25, 2010, the Company’s listing will change from NEX to Tier 2 of the Exchange under the symbol “BTD”.
The Company has closed its previously announced non-brokered private placement (the “Private Placement”) of 5,640,000 units (each a “Unit”) at a price of CAD$0.25 per Unit for gross proceeds of CAD$1,410,000. Each Unit consists one common share and one-half of one transferable share purchase warrant, each whole warrant exercisable into an additional common share of the Company for a period of 18 months from the closing at an exercise price of CAD$0.35 per common share.
In connection with the Private Placement, the Company paid Canaccord Capital Corporation a cash finder’s fee of CAD$17,200 and MineGate Resources Capital Group Inc. a cash finder’s fee of CAD$32,200.
All securities issued in respect of the Private Placement are subject to resale restrictions expiring on June 25, 2010.
The proceeds of the Private Placement will be used for advancement of the Company’s Archie Lake property, general working capital, and future acquisitions.
The Company also announces that the Exchange has accepted for filing documentation in connection with an acquisition (the “Agreement”) dated September 12, 2009 among the Company, Zimtu Capital Corp. (“Zimtu”) and 877384 Alberta Ltd. (“877384”) under which the Company agreed to purchase 100% of the Archie Lake Property. Under the terms of the Agreement, the consideration payable to Zimtu and 877384 (the “Vendors”) is:
(a) payment of $20,000 to the Vendors on signing of the Agreement;(b) payment of $20,000 on issuance of the final Exchange bulletin; and(c) issuance of 2,000,000 common shares on the issuance of the final Exchange bulletin.
A 2% net smelter royalty is payable to the Vendors on commencement of commercial production on the Archie Lake Property. The Company may repurchase ½ of the net smelter royalty for $1,000,000.
Peter Dickie, President of the Company stated “We are very pleased to have completed the reactivation of Butler and once again become listed on Tier 2 of the TSX Venture Exchange as a mining exploration company. We intend to follow up on the work recommendations for Archie Lake as soon as possible, and actively pursue other opportunities in the Rare Earth segment”.
On Behalf of the Board,“Peter Dickie”Peter Dickie, President, CEOFor further information, contact Peter Dickie, President and CEO of the Company at 604-669-9330.Neither 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.
November 30, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce the results of the fall 2009, exploration and sampling program, at the Archie Lake Rare Earth Property.
At Archie Lake, Rare Earth Element (REE) mineralization is contained within a meta-sedimentary horizon believed to be of paleo-placer origin. The mineralized horizon is up to 6 meters across, and has been historically traced for nearly 600 metres along strike.
During early October, a total of 36 rock samples were collected from six historic trenches and one small blast pit at the property. Samples were sent to Acme Analytical of Vancouver, BC. (Acme) for whole rock and trace element analysis with rare earths determined using ICP-MS. Check analysis was performed by AGAT Laboratories Ltd. (AGAT), Mississauga ON, and the Saskatchewan Research Council (SRC), Saskatoon, SK using an ICP-OES method capable of achieving higher detection limits; on a subset of the original 36 samples.
Mineralization was confirmed in all six trenches plus one small unnamed blast pit. As reported by Acme, one chip sample returned a high of 29.9% REE+Y (Semi-Quantitative Analysis). A total of five samples exceeded Acme’s detection limits for one to four of the lanthanides (Ce, La, Nd, and Pr). Two of these samples exceeded 15% total rare earths plus yttrium (REE+Y). Of all 36 samples analyzed, a total of 18 samples exceed 2% REE+Y, six exceed 5% REE+Y with three exceeding 10% REE+Y. The peak value was comprised of nearly 60% monazite representing a highly mineralized pod within the overall zone.
The maximum value of 29.9% REE+Y reported by Acme, was reanalyzed by AGAT as 21.1% REE+Y, and 29.2% REE+Y by the SRC. All other check samples were within acceptable limits.
A complete sample section across the mineralized zone was obtained in Trench ‘c’. Semi-continuous chip sampling across an approximate 5 m width returned 5.9% REE+Y.
Preliminary thin section work has been completed on select samples by Allison Brand of Mackevoy Geosciences Ltd. It was determined that monazite-(Ce) is the near exclusive contributor to the mineralization, dominated by Ce, La, Nd and Pr.
Several hand samples have been sent to Dr. Tony Marino for further thin section analysis and mineralogical description. Once complete, a report will be drafted detailing the findings and will be integrated with previous work.
Approximately 250 metres of the mineralized zone was traversed by the field crew during the fall 2009 exploration. Several trenches to the northwest, with historic mineralization reported, were not visited. Thus, the potential to extend the zone, and trace the mineralization over several hundred metres remains a strong possibility. The mineralized horizon approaches widths of six metres as evident in one trench and has not been tested at depths beyond the surface blasted of trenches.
The 2009 exploration focused on re-sampling historic trenches and did not allot much time to tracing the mineralization between the trenches. Further evaluation is required; however, indications for persistent mineralization are considered very good, as several samples collected between the trenches analyzed several per cent rare earths.
An independent 43-101 report is currently being prepared by Darren L. Smith, P.Geol of Dahrouge Geological Consulting Ltd and Qualified Person for the Archie Lake Property. Upon completion of the report the Company intends to seek approval from the TSX Venture Exchange (the “Exchange”) to reactivate its business and graduate from the NEX Board to the Exchange as a Tier 2 Mining Issuer pursuant to Policy 2.6.
“We are very encouraged by these results, and look forward to additional work on this project over the winter months in accordance with recommendations included in the 43-101” according to Butler President and CEO, Peter Dickie.
With these results, the Company anticipates receipt of a NI 43-101 report on the Archie Lake property within the next week. Upon completion of the NI 43-101 report and the private placement described in the Company’s news release dated October 7, 2009 (for which the Company has received conditional approval), the Company intends to seek approval from the TSX Venture Exchange (the “Exchange”) to reactivate its business and graduate from the NEX Board to the Exchange as a Tier 2 Mining Issuer pursuant to Policy 2.6.
October 21, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce that subject to acceptance by the TSX Venture Exchange (the “Exchange”), the Company has increased the private placement announced October 7th, 2009 from 4,000,000 units at $0.25 per unit to 5,200,000 units at $0.25 per unit for gross proceeds of $1,300,000. Each unit will consist of one common share and one-half of one common share purchase warrant, with each full warrant entitling the holder to purchase one additional common share at a price of $0.35 within 18 months of closing. The closing of the financing is conditional upon the Company receiving Exchange approval to graduate to the Exchange as a Tier 2 Mining Issuer. The Company intends to use the proceeds of the private placement to satisfy Tier 2 maintenance requirements of the Exchange.
In addition, the Company announces the deferment of the contract with KCrew Communications Inc. until such time as the Company becomes a Tier 2 issuer.
The Company anticipates receipt of assays from the recently completed sampling program on the Archie Lake rare earth property shortly. Upon receipt of the assays, the NI43-101 report will be completed and submitted to the Exchange as part of the Company’s graduation to Tier 2.
On Behalf of the Board,“Peter Dickie”Peter Dickie, PresidentFor further information, contact Peter Dickie, President and CEO of the Company at (604) 669-9330.
October 15, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce that it has signed a contract with KCrew Communications Inc. KCrew is a financial marketing and corporate communications firm. Its mission is to help small-to-mid-cap public companies improve their visibility in the investment community and expand the size of their investor followings. Terms of the three month agreement with KCrew call for payment of $10,000 per month plus the granting of 300,000 incentive options at a price of $0.35 per share.
October 14, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce the completion of the previously announced work program on the Company’s Archie Lake Rare Earth project. A total of 36 surface samples were taken, which have been submitted for assaying on a rush basis. Upon completion and receipt of assay results, an NI 43-101 report will be prepared on the project.
In connection with the completion of the NI 43-101 report on the Archie Lake project and the private placement described in the Company’s news release dated October 7, 2009, the Company intends to seek approval from the TSX Venture Exchange (the “Exchange”) to reactivate its business and graduate from the NEX Board to the Exchange as a Tier 2 Mining Issuer pursuant to Policy 2.6.
The Company is also pleased to announce the appointment of Patrick Morris to the Board of Directors. Mr. Morris replaces Wayne Johnstone, who has resigned from the Board effective October 13th, to pursue other opportunities. The Board would like to thank Mr. Johnstone for his service to the Company.
Mr. Morris is President of Vimoris Ventures Inc, a company which provides management consulting, corporate finance and business development services to public and private companies. Mr. Morris is currently the President, CEO and Director of Gold Star Resources Corp (TSX-V GXX), and has served on the board and managed several exploration companies from incorporation to listing on the TSX Venture Exchange. Mr. Morris has also enjoyed success in the field of marketing as a specialist in financial programming and advertising for public companies in the media.
The Company also announces the granting of incentive stock options to its directors, officers, consultants and employees, under its Stock Option Plan, for the purchase of up to 400,000 common shares of the Company for a period of 2 years at a price of $0.35 per share.
October 8, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce the appointment of James McCrae, P.Geo to the Board of Directors. Mr. McCrea replaces Alan Ambrose, who has resigned from the Board effective October7th, to pursue other opportunities. The Board would like to thank Mr. Ambrose for his service to the Company
Mr. McCrea has more than 20 years experience in exploration and mining geology, and 15 years experience in mineral resource estimation. Jim’s experience was gained through working for junior mining/exploration companies and engineering companies SRK and Snowden. His geological expertise ranges from technical review and due diligence to resource estimation and feasibility studies. Jim has experience in a range of commodities, but primarily gold, silver and copper, in a variety of geographic settings around the world with particular focus on Central and S. America. Having performed ore body modeling and resource estimation for the successfully targeted take over company Cumberland Resources Ltd. by Agnico-Eagle Mines Ltd. and more recently Mr. McCrea has completed mineral resource estimations underpinning ongoing or future feasibility studies for companies such as Silver Standard Resources Inc. and Candente Resource Corp. to mention but a few.
The Company is also pleased to announce the appointment of J. Casey Forward to the position of Chief Financial Officer. Mr. Forward is an independent CGA with over 20 years of experience in both private and public companies involved in mining and business development. Mr. Forward currently serves as a director or officer of several public companies involved in the mineral resource sector.
The Company also announces the granting of incentive stock options to its directors, officers, consultants and employees, under its Stock Option Plan, for the purchase of up to 440,000 common shares of the Company for a period of 2 years at a price of $0.35 per share.
October 7, 2009, Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce the commencement of a sampling program on the recently announced Archie Lake Rare-Earth project, located in northern Saskatchewan (see News Release September 14, 2009).
The work program is being performed by Dahrouge Geological Consulting Ltd., of Edmonton, Alberta, and will entail extensive surface sampling to follow up on historic samples obtained through previous government assessment work on the property. Crews were mobilized to the property on October 4th, with a number of samples having already been sent for rush assays. Following receipt of assay results, the Company intends to commission a technical report on the Archie Lake project in accordance with NI 43-101.
In connection with the completion of the NI 43-101 report on the Archie Lake project and the private placement described below, the Company intends to seek approval from the TSX Venture Exchange (the “Exchange”) to reactivate its business and graduate from the NEX Board to the Exchange as a Tier 2 Mining Issuer pursuant to Policy 2.6. Previously, the Company announced a proposed merger with Silver Mountain Mines Corp., (see News Release September 11, 2009) which was originally intended to qualify as the Company’s reactivation transaction. Although the Company continues to pursue the proposed merger transaction, the Company has determined that graduation to the Exchange through completion of the proposed work program on the Archie Lake project is likely to occur prior to the closing of the proposed merger. As a result, the Company intends to close the merger following the Company’s graduation to the Exchange as a Tier 2 Mining Issuer.
Concurrent with the work program and planned reactivation to Tier 2 on the Exchange, the Company intends to complete a non-brokered private placement of up to 4,000,000 units at a price of $0.25 per unit, for gross proceeds of $1,000,000. Each unit will consist of one common share and one-half of one common share purchase warrant, with each full warrant entitling the holder to purchase one additional common share at a price of $0.35 within 18 months of closing. The closing of the financing is conditional upon the Company receiving Exchange approval to graduate to the Exchange as a Tier 2 Mining Issuer. The Company intends to use the proceeds of the private placement to satisfy Tier 2 maintenance requirements of the Exchange. The share certificates issuable in the private placement will contain a hold period in accordance with applicable securities laws.
Historic exploration and results on the property returned significant concentrations of Rare Earth Elements (REEs). The historic exploration on the area is summarized in February 1971 assessment reports (not NI 43-101 compliant) on file with the Saskatchewan Ministry of Mines. Historic exploration on the property includes an airborne radiometric survey and follow-up prospecting and trenching over one of the anomalies identified. The main showing is postulated to be a paleo-placer type deposit, with monazite crystals constituting up to 50% of the rock in places. The assay reports from the previous exploration showed that ten samples analyzed by spectrographic analysis method showed elevated concentrations of Rare Earth Oxides. Values ranged from 0.1 to 15.7% RE2O3 and averaged 4.04% RE2O3. Individual elemental rare-earth abundances are in the following order: lanthanum, cerium, gadolinium, lutetium, terbium and ytterbium, with trace amounts of scandium and yttrium.
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed on behalf of the company by Jeffrey Reeder, P.Geo., a qualified person.
“Peter Dickie”Peter Dickie, President, CEO
September 11, 2009 Vancouver, B.C.: Butler Resource Corp. (the “Company” or “Butler”) (BTD.H – NEX Board of the TSX Venture Exchange) is pleased to announce that it entered into a letter agreement dated September 9, 2009 with Silver Mountain Mines Corp. (“Silver Mountain”), a private corporation incorporated pursuant to the laws of Nevada. Under the terms of the letter agreement, the Company has agreed to incorporate a wholly-owned Nevada subsidiary (“Acquisition Co”). Following entry into a definitive agreement, Butler, Acquisition Co and Silver Mountain have agreed to carry out a merger, whereby, on the effective date of the merger, Silver Mountain will be merged with and into Acquisition Co, with Acquisition Co carrying on as the surviving corporation under the name “Silver Mountain Mines Corp.” At the effective time of the merger, all of the 4,747,174 shares of Silver Mountain will be cancelled and the former shareholders of Silver Mountain will receive one share of Butler for each share of Silver Mountain formerly held by such persons. On the closing of the merger, the former shareholders of Silver Mountain will hold 4,747,174, or 25.3% of the issued and outstanding shares of Butler.
The merger is intended to constitute Butler’s reactivation transaction pursuant to Policy 2.6 of the TSX Venture Exchange (the “Exchange”), following which Butler will be listed as a Tier 2 mining issuer on the Exchange. The proposed acquisition will be negotiated and carried out by the parties dealing at arm’s length to one another.
Conditions of Closing: The parties have agreed to close the merger on or before October 31, 2009, or such other date as the parties may agree to in writing. Completion of the proposed merger is subject to certain conditions including: (i) Silver Mountain preparing a technical report on its properties in accordance with NI 43-101; (ii) completion of each party’s satisfactory due diligence review of the other, including the financial condition, business and properties of each; (iii) receipt of all necessary regulatory and exchange approvals, including approval of the merger as the reactivation transaction of Butler in accordance with Policy 2.6; (iv) shareholder approval of the merger from the shareholders of Silver Mountain; and (v) no more than 10% of the Silver Mountain shareholders exercising their dissent rights in accordance with Nevada law.
Business of Silver Mountain: Silver Mountain is a private company and is engaged in the business of mineral exploration in Ontario, Canada. Silver Mountain holds an option to acquire a 100% interest in and to 7 mineral claims consisting of 100 claim units, covering an area of approximately 4000 acres, located in the Red Lake Mining District, Ontario.
Finder: Subject to approval from the Exchange, the Company intends to issue 334,377 shares of Butler to one finder upon the closing of the merger in consideration for services provided by the finder with respect to the transaction. The finder is not a Non-Arm’s Length Party and such common shares will be issued pursuant to an exemption under applicable securities laws and will subject to a hold period as required by applicable securities laws.
August 19, 2009, – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) wishes to announce the following changes to the Board of Directors. Peter Dickie has agreed to accept the positions of President and CEO of the Company, replacing John McCleery. In addition, the Board has accepted the resignations of both John McCleery and Kim Phillips who have left to pursue other ventures. The Board would like to thank Mr. McCleery and Mr. Phillips for their services to the Company.
The Company is continuing to pursue several potential mineral opportunities, and anticipates signing an acquisition agreement shortly.
Peter Dickie, President and CEO
June 03, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) announces the granting of incentive stock options to its directors, officers, consultants and employees, under its Stock Option Plan, for the purchase of up to 400,000 common shares of the Company for a period of 2 years at a price of $0.30 per share.
Peter Dickie, Director
May 01, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce the appointment of Mitchell Adam to the Board of Directors. Mr. Adam is President of MGA Capital Corp., a company which provides management consulting, corporate finance and investor relations services to public and private companies. Mr. Adam attended undergraduate studies at Simon Fraser University and in 1989 completed the Canadian Securities Course and RR exam. Mr. Adam spent four years working in the brokerage industry at Odlum Brown Ltd. and Nesbitt Thompson Inc. and has held the positions of director and officer of several companies since 1993. Mr. Adam is currently the President and a director of Weststar Resources Corp., and a director of Lateegra Gold Corp.
In addition, the Company has accepted the resignation of Robert Eadie from the Company’s Board of Directors. The Board would like to thank Mr. Eadie for his service to the Company.
“John McCleery”
John McCleery, CEO
April 29, 2009 – Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce the closing of the private placement announced March 11, 2009. A total of 6,000,000 units were issued at a price of $0.05 per unit, with each unit consisting of one common share and one-half of one non-transferable share purchase warrant, each full warrant exercisable into one additional common share at a price of $0.10 per share for a period of twelve months from the date of closing. A total of 3,205,000 units were issued at a price of $0.10 per unit, with each unit consisting of one common share and one-half of one non-transferable share purchase warrant, each full warrant exercisable into one additional common share at a price of $0.20 per share for a period of twelve months from the date of closing. Gross proceeds raised were $620,500. All securities issued under the private placement are subject to hold periods expiring on August 17, 2009.
The Company paid a finder’s fee to Canaccord Capital Corp. in the amount of $8,900 and to MineGate Resources Capital Group Inc. in the amount of $39,700.
Proceeds of the private placement were used to pay outstanding debts of the Company, with the remaining balance to be used for future acquisitions and general corporate purposes.
In addition, a total of 696,300 shares of the Company were issued to two non-arm’s length creditors to settle outstanding debts of $34,815. The debt settlement shares are subject to hold periods expiring on August 24, 2009.
The Company now has 14,053,492 common shares issued and outstanding.
March 11, 2009 Vancouver, B.C.: Butler Resource Corp. (NEX: BTD.H) (the “Company”) wishes to announce an amendment to the terms of the private placement announced March 5, 2009.
The Company now proposes to raise, subject to NEX approval, gross proceeds of $700,000 through the issuance of 6 million units at a price of $0.05 per unit, and the issuance of 4 million units at a price of $0.10 per unit. Each $0.05 unit will consist of one common share and one-half of one non-transferable share purchase warrant, each full warrant exercisable into one additional common share at a price of $0.10 per share for a period of 12 months from the date of closing. Each $0.10 unit will consist of one common share and one-half of one non-transferable share purchase warrant, each full warrant exercisable into one additional common share at a price of $0.20 per share for a period of 12 months from the date of closing. This financing will constitute the Company's "one time" reorganization financing as allowed under NEX policies, and the proceeds will be used to settle debt with cash, pay certain fees and leave the Company with approximately $500,000 in working capital for general expenses and to search for new opportunities.
Finders' fees will be payable in cash, shares or warrants with respect to certain private placement subscribers and in accordance with the policies of the NEX.
“Neither 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 / these release/s."
This / these press release/s contains projections and forward-looking information that involve various risks and uncertainties regarding future events such as the closing of the merger with Silver Mountain and that such merger will occur prior to October 31, 2009. Such forward-looking information can include statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company such as the willingness of the parties to close the transaction, satisfactory results of the due diligence investigation on the parties to the transaction, Exchange approval of the transaction and current economic conditions and the state of mineral exploration and mineral prices in general. These risks and uncertainties could cause actual results and the Company’s plans and objectives to differ materially from those expressed in the forward-looking information. Due to conditions precedent to closing, and the risk that these conditions precedent will not be satisfied, the Company can offer no assurance that it will close the merger. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice. Except as required by law, the Company assumes no obligation to update forward-looking information should circumstances or management’s estimates or opinions change
BUTLER ACQUIRES RARE EARTH ELEMENT PROPERTY
September 14th, 2009, Vancouver, B.C.: Butler Resource Corp. (NEX – BTD.H) (the “Company”) is pleased to announce the acquisition of the Archie Lake Rare Earth Element Property located 50 kilometres (“km”) east of Uranium City, Saskatchewan and 50 km south of Great Western Minerals Hoidas Lake REE Deposit. Historic exploration and results on the property returned significant concentrations of Rare Earth Elements (REEs). The property consists of one mineral claim covering an area of 2,108 hectares.
The historic exploration on the area is summarized in February 1971 assessment reports (not NI43-101 compliant) on file with the Saskatchewan Ministry of Mines. Historic exploration on the property includes an airborne radiometric survey and follow-up prospecting and trenching over one of the anomalies identified. The main showing is postulated to be a paleo-placer type deposit, with monazite crystals constituting up to 50% of the rock in places. The assay reports from the previous exploration showed that ten samples analyzed by spectrographic analysis method showed elevated concentrations of Rare Earth Oxides. Values ranged from 0.1 to 15.7% RE2O3 and averaged 4.04% RE2O3. Individual elemental rare-earth abundances are in the following order: lanthanum, cerium, gadolinium, lutetium, terbium and ytterbium, with trace amounts of scandium and yttrium.
The property has been acquired from Zimtu Capital Corp. and 877384 Alberta Ltd. Acquisition costs are a total of $40,000 and 2,000,000 shares payable on Exchange approval. The property is subject to a 2% NSR, of which one half (1%) may be purchased back for $1,000,000.
Home Projects Corporate Investors News Contact Us
Copyright © 2009 Butler Resource. All Rights Reserved.