Nov 29 2010
Candorado Operating Company Ltd. (TSX VENTURE:CDO) (FRANKFURT:HQU) (BERLIN:HQU) has announced today, subject to TSX Venture Exchange approval, that it has entered into an agreement with a private vendor to earn a 100% interest in property located adjacent to Commerce Resources Corp.'s Eldor rare earth element project in Quebec.
Candorado can earn a 100% interest by way of making a one-time payment of $20,000 upon the Exchange's approval, issuing 3,000,000 common shares of the Company within 5 days of approval from the Exchange and is subject to a 2% net smelter return ("NSR"). The NSR may be reduced to 1% at the Company's discretion for $1,000,000.
The acquired ground totals approximately 920 hectares and adjoins Commerce's Eldor Property to the northwest. Commerce announced on November 24, 2010 the latest results from its drill program on the Ashram REE zone, which confirmed the potential for a large, near surface deposit of REE mineralization within the northern parts of the mineralized system.
The acquired ground has identified cerium, yttrium and lanthanum anomalous areas. These anomalous areas were identified by Géologie Québec during the 2010 field season.
Mr. Kirk Reed, President of the Company states: "We are very excited to have acquired additional ground to expand our interests in the province of Quebec. We look forward to following up on the completion of our phase 1 exploration program in the Val d'Or region in June 2010, which confirmed the presence of lithium-bearing pegmatites in surface rock sampling, with the commencement of a second phase exploration drill
Source: Candorado Operating Company Ltd.