Cardston, November 16, 2022 - American Creek Resources Ltd. (TSXV: AMK) ("the Corporation" or "American Creek") wishes to congratulate its J.V. partner Tudor Gold Corp. ("Tudor") on the successful spinout of Goldstorm Metals Corp. on November 11th, 2022 and recognizes this as an important step in positioning Treaty Creek for a potential acquisition by a major producer.
American Creek wishes to clarify that Goldstorm Metals Corp. (the new spinout from Tudor) is not associated with the Goldstorm deposit located within the Treaty Creek property claims. Tudor remains the Operator and 60% owner of Treaty Creek, which hosts the potential for numerous district-scale deposits, including the Calm Before the Storm, Goldstorm, Perfect Storm, and Eureka zones.
American Creek continues to own 20% of the Treaty Creek Property. This ownership interest is fully carried until a production notice is given by the Operator. In the event of a Production Notice being given, American Creek will be required to contribute their respective 20% share of further development costs. Until such time, Tudor is required to fund all exploration and development costs without any contribution from American Creek.
Both American Creek and Tudor have now divested the majority of their other assets into separate entities, and as such, their respective share of Treaty Creek accounts for the remaining value in each company. For further clarity, investors should recognize that American Creek's ownership is 20% of the Treaty Creek project, not 20% of Tudor gold. Tudor owns 60% of Treaty Creek while American Creek owns a fully carried 20% creating a 3:1 ownership relationship (American Creek's ownership is approximately 33% of Tudor's). As investors evaluate the potential investment opportunity related to the Treaty Creek Property, it is plausible that the market capitalization of each company should reflect the ownership percentage of the Treaty Creek Property. Each company's relative stock price will not likely reflect those same percentages, given the differences in each company's outstanding shares, which are subject to change from private placements and other capital transactions.
There has been some confusion with our shareholders, who are concerned that American Creek's interest in this project (specifically the Goldstorm deposit) changed with the creation of Goldstorm Metals Corp. That clearly isn't the case. American Creek shareholders are in the enviable position of having this exceptional project move forward, increasing their value alongside Tudor's, without the dilution associated with the exploration costs.
Darren Blaney, President, and CEO of American Creek, commented: "We are very pleased with the excellent progression that's taken place at Treaty Creek through the leadership of Tudor's President Ken Konkin, one of the top geological minds in B.C.'s Golden Triangle.
"Treaty Creek is turning into a world-class project, and we're thrilled with Konkin's vision of its potential. Deposits of this scale are extraordinarily rare, especially in a Tier 1 mining jurisdiction like the Golden Triangle in northwest BC. Even though over 70,000 meters have been drilled since the initial resource estimate, the boundaries of the Goldstorm deposit still have yet to be discovered and the deposit remains open in all directions and at depth! The 2022 drill results so far have been beyond impressive with major step outs and strengthening grades. We look forward to receiving the remaining assays for the program."
About American Creek
American Creek is a Canadian junior mineral exploration company with gold and silver properties in British Columbia, Canada.
The Corporation has an interest in the Treaty Creek property, a joint venture project with Tudor Gold located in B.C.'s prolific "Golden Triangle".
The Corporation also holds the Austruck-Bonanza gold property located near Kamloops.
For further information please contact Kelvin Burton at:
Phone: 403 752-4040 or Email: info@americancreek.com.
Information relating to the Corporation is available on its website at www.americancreek.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/144466
