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Yankee Hat Makes First Advanced Tungsten Acquisition
April 10th, 2008
Mr. Brad Kitchen
reports
Yankee
Hat Minerals Ltd. (TSX-V:KHT)
(�Yankee Hat� or the �Company�) is very pleased to announce that it has
entered into an option agreement with ATAC Resources Ltd. to acquire up to
a 51% undivided interest in the WAU tungsten-polymetallic project, located
in central Yukon.
The WAU
property is an advanced tungsten-polymetallic (gold-lead-zinc-silver)
project that is drill ready. It is located in central Yukon, about 50
km northeast of the Keno Hill silver camp, and consists of 40 contiguous
mineral claims covering approximately 800 hectares (approximately 2,000
acres).
The
property hosts a number of tungsten-bearing skarn occurrences, as well as
recently discovered zones with strongly elevated gold-arsenic and
lead-zinc-silver soil geochemistry. Within the Yukon and neighbouring
Northwest Territories, the largest and richest tungsten deposits are skarn
related. The Cantung mine located on the southeast border of the
Yukon, for example, is a skarn related deposit and is the western world�s
largest operating tungsten mine.
Exploration
at WAU in 2007 by ATAC Resources Ltd. consisted of extensive soil sampling,
geological mapping, prospecting and property wide, helicopter-borne, VTEM
and magnetic surveys. As a result of the work, several showings and
geochemical and geophysical anomalies have been identified that are ready
to be drill tested. A drill has been secured for a 2008 exploration
program, which is scheduled to begin in June.
�The WAU
project epitomizes the new face of Yankee Hat,� stated Brad Kitchen,
President and CEO. �It is an advanced stage exploration prospect
focusing on commodities in very high global demand.� He added, �The
demand for tungsten is currently robust, and is anticipated to
increase. Over just the past eight years the price of a Metric Tonne
Unit of tungsten has increased over five-fold and analysts are calling for
further increases in prices in the future. Yankee Hat�s experienced
exploration team, industry partners and strong capital foundation will
allow us to exploit the foreseeable global demands for tungsten, through a
concentrated effort of exploration and discovery, to generate superior
returns for our shareholders.�
Under
the terms of the option agreement, Yankee Hat will issue a total of
6,666,666 common shares of the Company in three installments to earn a 50%
undivided interest in the project. The Optionor, ATAC Resources Ltd.
will receive one-third of the shares upon TSX Venture Exchange approval of
the acquisition (the �Approval�), one-third on the first anniversary after
Approval, and the final installment upon the second anniversary after
Approval. In addition, the Company must incur the following
exploration expenditures:
- $500,000 on or before December 31, 2008;
- an additional $500,000 on or before December 31,
2009 and;
- an additional $1,000,000 on or before December 31,
2010.
After
issuing the common shares and making the above expenditures, Yankee Hat
will then have the option to acquire an additional 1% interest in the
Property (for a total of a 51% interest) for a $1,000,000 cash payment to the
Optionor. The transaction is subject to Exchange approval.
The acquisition of the WAU
Project is consistent with the Company�s strategy of acquiring advanced
stage exploration projects, focusing on minerals that have strong
underlying commodity price fundamentals.
ON
BEHALF OF THE BOARD OF DIRECTORS
�P. Bradley Kitchen�
P.
Bradley Kitchen
President and Director
For more
information please visit the company website at: http://www.yankeehatminerals.com
Or
contact Brad Kitchen at 604.637.3114 or Gus Garisto, Bay Street Connect at
416.805.3106
This
news release has been prepared by management. The TSX Venture Exchange has
not reviewed and does not accept responsibility for the adequacy or
accuracy of this news release. This document contains certain forward
looking statements which involve known and unknown risks, delays, and
uncertainties not under the Company�s control which may cause actual
results, performance or achievements of the Company to be materially
different from the results, performance or achievements implied by these forward
looking statements. We seek safe harbour.
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Stock Information
Symbol: KHT (TSX-V)
Recent Price: C$0.13
Shares Outstanding:52,077,539
Market Capitalization: C$6.8M
Contact Information
Yankee Hat Minerals Ltd.
Ph: 1.877.646.0049
Fax: 604.606.7980
http://www.yankeehatminerals.com
Investor Relations
Gus Garisto
Bay Street Connect
Ph: 416.805.3106
Ryan Fletcher
Ph: 1.800.884.5269
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