Pine Pass Vanadium Project Encounters Regulatory Concerns
March 29, 2019
Vancouver, British Columbia--(Newsfile Corp. - March 29, 2019) - Ethos Gold Corp. (TSXV:ECC) ("Ethos" or the "Company") announces that it has received notice from the Province of British Columbia that the mineral tenures making up its Pine Pass vanadium project, located on the John Hart Highway between Mackenzie and Chetwynd, B.C., are included in an area under consideration for an immediate moratorium on development proposals and possible inclusion in an expanded environmental protected area. This notice was issued to Ethos in the context of negotiations between the B.C. Provincial Government, the Canadian Federal Government, Saulteau First Nations and West Moberly First Nations, that have resulted in a draft Intergovernmental Partnership Agreement relating to conservation and recovery efforts for the Central Group of Southern Mountain Caribou.(the "Partnership Agreement").
The Province has advised the Company that, "The draft Partnership Agreement proposes immediate interim habitat protection measures for critical areas, an expansion of the Twin Sisters (Klinse-za) Protected Area, additional habitat protection in core areas, and operational recovery and restoration measures." Furthermore, the Province has cautioned the Company that, if the Partnership Agreement comes into force, then the Company's mineral tenure, "… may be impacted by the new land protection and regulatory measures that are under consideration". Additional details on the Partnership Agreement including on the related consultation process are available online at the Provincial Caribou Recovery Engagement Portal:
The Company is preparing a submission to respond to the draft Partnership Agreement, conveying its significant concerns about the proposed measures and to recommend amendments to mitigate the impact on its Pine Pass vanadium project. Submissions are due by April 26, 2019.
The Company's Mines Act Permit application for its planned 2019 Pine Pass exploration program was submitted to provincial regulators on February 4th, 2019, and presently is pending. Based on recent discussions between the Company and its regulatory contacts, the Company understands that, for the time being, exploration permit applications are being processed in the ordinary course. Until the Company has more certainty about the impacts of the Partnership Agreement on its Pine Pass and Ursula vanadium projects, it will continue to maintain its projects in good standing. However, given the risk that the proposed Partnership Agreement, if instituted, will result in new land protection and regulatory measures that could prevent or materially impair those projects, the Company will curtail making any new material expenditures.
Commented Craig Roberts, P.Eng., President and CEO of Ethos: "Certainly, we are concerned about the proposed imposition of restrictions on our vanadium projects, and we intend to make a robust submission to the Province to defend the interests of Ethos and its shareholders. At the same time, until the uncertainty over these proposals is cleared up, we will be measured appropriately in our activities and expenditures on our Pine Pass and Ursula vanadium projects."
About Ethos Gold
Ethos Gold is exploring the La Purisima gold project in northwest Chihuahua State, Mexico, as well as the Pine Pass and Ursula vanadium projects located on Highway 97 in northern, British Columbia. La Purisima is a near surface, bulk tonnage oxide gold target. The Company is nearing completion of its trenching program at La Purisima, and a maiden drill program is planned to begin by shortly after the trench assay results are received.
The Company is well funded with a current net cash balance of approximately $7.0 million. Ethos is actively evaluating additional precious metals opportunities.
For additional information please contact Craig Roberts at 604-682-4750 or view the Company's website, www.ethosgold.com
Ethos Gold Corp.
Per: "Craig Roberts"
Craig Roberts P.Eng., President & CEO
Forward-Looking Statement Cautions:
This press release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, including: statements regarding the possible negative impacts of proposed land protection and regulatory measures on the Company's Pine Pass and Ursula vanadium projects in northeast B.C.; the Company's need to carefully manage expenditures on its vanadium projects in the context of new regulator concerns; a proposed Company submission to the B.C. government to address its concerns over the proposed land protection and regulatory measures; the expectations concerning the Company's application for a permit for 2019 an exploration program at Pine Pass; and the project timing for the signing of a Caribou Protection Plan that covers the Company's Pine Pass project area. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "aims," "potential," "goal," "objective," "prospective," and similar expressions, or that events or conditions "will," "would," "may," "can," "could" or "should" occur, or are those statements, which, by their nature, refer to future events. The Company cautions that Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except to the extent required by applicable securities laws and the policies of the TSX Venture Exchange, the Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change. Factors that could cause future results to differ materially from those anticipated in these forward-looking statements include the risk of accidents and other risks associated with mineral exploration operations, the risk that the Company will encounter unanticipated geological factors, or the possibility that the Company may not be able to secure permitting and other governmental clearances, necessary to carry out the Company's exploration plans, and the risk of political uncertainties and regulatory or legal changes in the jurisdictions where the Company carries on its business that might interfere with the Company's business and prospects. The reader is urged to refer to the Company's reports, publicly available through the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com for a more complete discussion of such risk factors and their potential effects
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.
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