Cava Resources Inc. Signs Option Agreement With Metalcorp To Earn A 50 Percent Interest In The Gouda Lake Gold Property In The Hemlo East Gold Camp Area

About this update from Medexus Pharmaceuticals Inc.

[{"type":"text","content":"\nCava Resources Inc. Signs Option Agreement With Metalcorp To Earn A 50 Percent Interest In The Gouda Lake Gold Property In The Hemlo East Gold Camp Area\n\n(via Thenewswire.ca)\n\n \nTORONTO, DECEMBER 4, 2012 - Cava Resources Inc. (\"Cava\")(TSXV - CVA) \n\n\n \nis pleased to announce today that it has entered into an Option Agreement with Metalcorp Limited (\"Metalcorp\") (TSXV - MTC) pursuant to which it can earn a fifty percent interest in 40 mineral exploration claims in its Hemlo East property near Marathon, Ontario. The agreement is subject to the approval of the TSX Venture Exchange. \n\n\n \nTo earn a 50% interest, Cava must incur $1,500,000 of exploration expenditures on the property and issue 3,250,000 shares to MetalCorp. Of the expenditures, $250,000 must be incurred by December 31, 2012, a further $500,000 by December 31, 2013 and the balance by December 31, 2014. Of the shares, 500,000 must be issued within 7 days after the commencement of a drilling program, 750,000 by December 31, 2013 and 2,000,000 by December 31, 2014. During the term of the option agreement, MetalCorp will act as operator. On completion of the option, the two companies will form a joint venture and MetalCorp will retain a 2% net smelter returns royalty, half of which may be purchased by Cava for $2,000,000. \n\n \n \nCava and Metalcorp have also agreed to a two kilometre area of interest from the outer boundary of the current Gouda Lake Property, excluding any claims currently held by Metalcorp. \n\n \n \nThe Gouda Lake Property covers an area of approximately 5470 hectares or 54.7 square kilometres. The property is located approximately 12 kms east of the Hemlo Gold Mines which to date has produced over 23.0Moz of gold. A sketch showing the location of the property will be posted shortly on the company's website at www.cavaresources.com\n\n\n \nThe Gouda Lake Property hosts the Gouda Lake Gold-Zinc Zone which was discovered by Lac Minerals in 1988. The Gouda Lake Zone is hosted within a 20 metre thick quartz-sericite schist unit containing disseminated to semi massive sulphides (pyrite+/-sphalerite with minor amounts of chalcopyrite and galena). The zone has been traced by historic diamond drilling for over 350 metres along strike.\n\n\n \nIn 1996 a previous operator estimated a resource of 253,000 tonnes @ 4.1 gpt gold for the Gouda Lake Z...

More updates from Medexus Pharmaceuticals Inc.