Feb 4 2013
Kiska Metals Corporation ("Kiska" or "the Company") reports that, further to the news release dated January 8, 2013, the Company has entered into a binding Definitive Agreement dated January 31, 2013 to sell the Thorn Property to Brixton Metals Corporation for $1.5 million in cash (including $50,000 received upon execution of the Letter of Intent) and seven million shares of Brixton.
The completion of the transaction is subject to a number of conditions, including completion by Brixton of an equity financing to raise sufficient cash to finance the cash component of the consideration for the transaction, and receipt of all required TSX Venture Exchange approvals. The transaction is scheduled to close by February 28, 2013 or such other date as mutually agreed to by the parties. There can be no assurance that the transaction will be completed as proposed or at all.
The 189 square kilometre Thorn Property is located 120 kilometres northwest of Telegraph Creek, BC. Brixton signed an option agreement to earn a 51% interest in the Thorn by funding $5 million in exploration by the end of 2014 ($4.1 million spent to date). At Kiska's election, Brixton could fund an additional $10 million in exploration to earn an additional 14% interest (totaling 65%) in the property. Exploration is targeting high sulphidation epithermal vein-hosted high-grade copper-gold-silver mineralization and breccia-hosted high-grade silver and gold mineralization.