Vancouver, BC / ACCESSWIRE / May 27, 2014 / Manado Gold Corp. ("Manado") (TSX-V: MDO) (TSX-V: MDO) is pleased to announce it has closed the second and final tranche of its previously announced private placement financing. Manado is also pleased to announce that that it plans to carry out a two phase exploration program in 2014 on its Tackla-Rainbow Property to follow up on follow up on its successful 2013 drill program where hole number TR13-88 finished in a mineralised zone.
Private Placement Closing
Manado closed the second and final tranche of its previously announced private placement (see news release dated March 27, 2014) by issuing 1,060,000 units at a price of $0.05 per unit for gross proceeds of $53,000. Each unit consists of one common share of Manado ("Share") and one share purchase warrant ("Warrant"), with each Warrant entitling the holder to acquire one additional Share at a price of $0.06 per Share for a period of three years from the date of issuance. Manado has now issued a total of 2,560,000 units at a price of $0.05 per unit for gross proceeds of $128,000 under its private placement.
The securities issued under the first and second tranche of the private placement will be subject to hold periods expiring on August 23, 2014 and September 24, 2014 respectively, pursuant to applicable Canadian securities laws and the rules of the TSX Venture Exchange.
2014 Exploration Program
Manado plans to carry out a two phase exploration program during the 2014 field season to follow up on its 2013 drill program where the results of drill hole number TR13-88 indicated that there may be a porphyry-style copper and gold-bearing mineralized zone associated with pervasive siliceous and potassic flooding. The TR13-88 drill hole intersected 24.52 metres (66.0 to 90.52 m, end of hole) of mineralization grading 2.011 gpt gold, 2.0 gpt silver and 0.18% copper, including a 6-metre section (66.0 to 74.0 m) with an average grade of 4.225 gpt gold, 4.0 gpt silver and 0.35% copper (Note: these intercepts are drilling lengths, not true widths).
Manado expects to commence the first phase of the 2014 exploration program in late June when the local roads are expected to be fully accessible. This phase will concentrate on re-logging and sampling the unsplit diamond drill core that remains on site originating from the pre-1992 Imperial Metals and Eastfield Resources drilling programs. This work will focus on identifying porphyry-style copper-gold mineralization that was not sampled during the previous exploration drilling.
The second phase, which is subject to an obtaining sufficient financing, will be a diamond drill program to confirm and test for extensions and depth of the zone discovered in 2013.
Manado also plans to carry out prospecting, geological mapping, and rock and basal till sampling within the known South and Red Zones. The South Zone has several large, untested copper-gold soil geochemical anomalies that may be reflecting a buried porphyry-style copper-gold mineralizing system. The Red Zone is situated 1.2 kilometres to the northwest and has known copper-gold mineralization typical of a calc-alkaline porphyry copper-gold system.
Doug Blanchflower, P. Geo, is a Qualified Person as defined in National Instrument 43-101 - Standards of Disclosure for Mineral Projects and is responsible for the work program on the Takla-Rainbow Property. Mr. Blanchflower has reviewed and approved the technical information in this news release.
About the Takla-Rainbow Property
The Takla-Rainbow Property is located in northcentral British Columbia, approximately 152 kilometres north-northwest of Fort St. James or 156 kilometres northeast of Smithers. The property consists of six mineral tenures that collectively cover 4,545.34 hectares (11,231.38 acres) along the Twin Creek drainage. All of the claims are owned 100% by CJL Enterprises Ltd. of Smithers, B.C., subject to the terms of an option to purchase agreement with Manado.
On behalf of the Board of Directors
President and Chief Executive Officer
Investor Relations - Dave Ryan
Forward-Looking Statements Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. Manado cautions that all forward looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond Manado's control. Such factors include, among other things: risks and uncertainties relating to Manado's limited operating history; the need to comply with environmental and governmental regulations; and potential defects in title to Manado's properties. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward looking information. Except as required under applicable securities legislation, Manado undertakes no obligation to publicly update or revise forward-looking information.
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.
SOURCE: Manado Gold Corp.