Yankee Hat Acquires Two Additional Tungsten Propertiesadmin
Friday, August 15th 2008
Yankee Hat Minerals Ltd. announce that it has entered into two option agreements to acquire 100% interest in the Achtung Tungsten Project located in northwestern British Columbia and the Birdtung Tungsten-Tin Project located in southern Yukon Territory. With these latest acquisitions, Yankee Hat now has eight tungsten projects at varying stages of development and one of the most active tungsten exploration programs in the Western World.
The Achtung Property lies immediately south of the Yukon-British Columbia border about 60 km west-southwest of the community of Carcross and consists of four mineral tenures covering 1020 hectares (approx. 2520 acres). The exploration target for the project is a large system of sheeted tungsten-bearing veins analogous to the Kazla deposit in central Yukon or the Panasqueira mine in Portugal, one of the world’s largest tungsten producers. Based on scattered outcrop exposures, the entire property appears to be underlain by equigranular, coarse grained biotite-hornblende quartz monozonite. Previous prospecting and soil geochemical work at the project has outlined two main zones of mineralization for follow-up. Property wide soil geochemical sampling coupled with diamond drilling have been recommended for the next stage of exploration.
The Birdtung Property is located in southern Yukon approximately 70 km east of the village of Teslin. The project is located along the eastern margin of the Seagull Batholith, an area prospective for tungsten and tin skarns and porphyry style mineralization. Previous work on the project identified skarn type mineralization in trenches. Skarn type deposits account for nearly 60% of the western world’s tungsten production and usually range in tonnage from 1-30 million tonnes and grade from 0.4 to 2% WO3. The Mactung deposit located 300 kilometers north of Birdtung, for example, is one of the world’s largest skarn deposit contains with a resource of 33 million tonnes grading 0.88% WO3. Helicopter-borne VTEM and magnetic surveys were conducted over the Birdtung property in the summer of 2007 and outlined several regions that are prospective for follow-up.
Yankee Hat can earn 100% interest in the Achtung Property from the property vendor by paying $100,000 cash ($5,000 first year) and issuing 666,666 common shares (33,333 first year) over a five year period. Similarly, the Company can earn 100% interest in the Birdtung Property from the property vendor for $100,000 cash ($5,000 first year) and issuing 666,666 common shares (33,333 first year) over a five year period. The property vendor will retain a royalty equal to 2% of the net smelter returns on any commercial production from the properties. The transactions are subject to the approval of the TSX Venture Exchange.
Over the past four years the price of tungsten has surged from US$4 per pound to over US$14 per lb. Tungsten Carbonate is the second hardest natural material on earth, is corrosion resistant, does not break down or decompose, and of all metals has the highest melting point and tensile strength. Given its unique physical attributes, tungsten has many applications in which it is virtually irreplaceable including light bulbs and electrical applications, and as a wear-resistant “super alloy” used in the mining, petroleum, military, construction and metalworking industries. China currently produces roughly 85% of the world’s tungsten and has recently begun to restrict foreign access to the tungsten it produces. With China hoarding its production for its own growth, the rest of the world is scrambling to find new sources of supply as prices move upwards.
Yankee Hat Minerals Ltd. is a publicly held resource company that utilizes its management’s expertise in mineral exploration and evaluation, and financial acumen, to identify, acquire, and develop mineral prospects in mining friendly jurisdictions with the potential to host large-scale discoveries. The company strategically focuses on advanced stage projects and commodities that have strong underlying price fundamentals such as tungsten, rare earth elements, copper, and gold.