Mar 01, 2010
Grande Portage Resources Ltd. Announces Update
VANCOUVER, BC, March 1, 2010 - Grande Portage Resources Ltd. (TSX-V GPG) ("Grande Portage" or "the Company") announces the following updates:
Merry Widow Bulk Sample:
The Company has completed its previously announced bulk sample at the Merry Widow project. A 5-tonne sample was collected from the north edge of the open pit, in an area locally referred to as "Copper Knob", a prominent exposure of semi to massive chalcopyrite mineralization. Approximately 250 kilograms of sample was sent to West Coast Mineral Testing Inc in North Vancouver, BC. West Coast selected one kilogram of material for metallurgical testing.
The results of the sample are encouraging and are presented in the table below:
The Company is very pleased with these results as they have yielded very good gold recoveries and indicated the possibility of improved copper recovery. It should be noted that there was some copper oxide mineralization present in the sample in the form of malachite. The oxide copper mineralization was lost in the rougher tailing thus a sample containing pure copper sulphide mineralization should produce better copper recoveries.
The Company is reviewing the permitting process to obtain a significantly larger bulk sample in the summer of 2010. Interested parties are encouraged to visit the Company's website (www.grandeportage.com) or SEDAR (www.sedar.com) to view details concerning its current mineral resource calculation, as set forth in the NI 43-101 compliant technical report dated November 30, 2008, filed on SEDAR on January 22, 2009.
Further to the Company's equity investment in Nexstar Energy Ltd. (TSX-V "NXE.A") ("Nexstar") as previously announcement September 11, 2009 Grande Portage wishes to confirm that Nexstar has completed its announced corporate arrangement with Result Energy Inc (TSX-V "RTE") ("Result") pursuant to a Plan of Arrangement (the "Arrangement"). Under the Arrangement, Result acquired all of the outstanding securities of Nexstar through the issuance of 1.05 Result common shares for each issued Class A share of Nexstar. In result, the Class A shares of Nexstar were delisted from trading on Feb. 22, 2010 and Grande Portage now holds its investment in shares of Result Energy Inc. which trades under the symbol "RTE" on the TSX Venture Exchange.
Further, PetroBakken Energy Ltd. (TSX "PBN") ("PetroBakken") and Result Energy Inc. have now entered into an arrangement agreement, pursuant to which PetroBakken will, subject to certain conditions, acquire all of the issued and outstanding shares of Result for the equivalent of 42 cents per Result share by way of a plan of arrangement. The transaction is valued at approximately $480-million, including Result's positive working capital of more than $60-million. Consideration for the transaction comprises $200-million cash with the remainder of the consideration to be paid in PetroBakken shares, at a deemed price of $32.25 per PetroBakken share, being the five-day weighted-average trading price of PetroBakken's shares ending Jan. 22, 2010.
Based on the expected fully diluted shares outstanding of Result at the closing of the arrangement with PetroBakken, each Result shareholder will receive, at his or her election: (a) 42 cents in cash, or (b) 0.013023 of a PetroBakken share, or (c) a combination thereof for each Result share held. The arrangement with PetroBakken is expected to close on or about April 1, 2010.
Wes Raven, P. Geo., a qualified person as that term is defined under NI 43-101, has reviewed the technical information contained in this news release.
ON BEHALF OF THE BOARD OF DIRECTORS
Ian Klassen, President
For further information please contact:
Mr. Ian Klassen
Phone: (604) 899-0106
Statements about the Company's future expectations and all other statements in this press release other than historical facts are "forward looking statements". Such forward-looking statements are based on numerous assumptions, and involve known and unknown risks, uncertainties and other factors, including risks inherent in mineral exploration and development, which may cause the actual results, performance, or achievements of the Company to be materially different from any projected future results, performance, or achievements expressed or implied by such forward-looking statements.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICE PROVIDER (AS THAT TERM IS DEFINED UNDER THE POLICIES OF THE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE