VANCOUVER, BRITISH COLUMBIA, October 29, 2010 - Millrock Resources Inc. (MRO - TSX:V) ("Millrock" or the "Company") announced today finalization of an option agreement with Brixton Metals Corp. ("Brixton") for the acquisition and exploration of Millrock’s Cristo Property in the Kahiltna region of south-central Alaska. The agreement gives Brixton the exclusive option to earn a 100% interest in the Cristo claim group, in return for incurring cumulative US$5 million in exploration expenditures, making payments totalling US$330,000, and the issuance of an aggregate of 2 million Brixton shares (inclusive of shares issued upon execution of the option agreement) and 2 million Brixton share purchase warrants. Each warrant will have an exercise price of $1.00 per share and be exercisable for a four-year term. The number of securities to be issued the Company as set out in this release presume the successful closing of an amalgamation agreement between Brixton and Marksmen Capital Inc. If such agreement, is not closed, the number of shares and warrants to be issued to the Company may be lower in accordance with the terms of the option agreement.
The Cristo claim group, and other claims which may be staked in a prescribed Area of Interest, are subject to a 2% net smelter royalty (NSR) on gold and a 1% NSR on all other metals production in favour of Altius Minerals Corp., Millrock's partner in a strategic alliance of regional prospecting in Alaska which resulted in the staking of the Cristo property in 2009 with additional claims in 2010. Upon full exercise of the option, Brixton will grant a further royalty interest to Millrock comprising a 0.5% gross royalty on uranium and an NSR of 1.0% on gold and 0.5% on all other metals.
Millrock is presently the operator of the Cristo program and plans to deliver an exploration NI-43-101 report by December 31, 2010; thereafter, Brixton will be operator of the Cristo exploration program beginning January 1, 2011.
Eighty (80) rock samples and 213 soil samples were taken by Millrock in 2009 and 2010 resulting in the discovery of two distinct mineral systems; coincident gold-copper mineralization at the St. Eugene prospect and gold-only mineralization at the Monte Cristo prospect. The targets are porphyry copper-gold and intrusion-related gold deposits respectively.
Gold and copper mineralization at St. Eugene occurs in three separate zones hosted by hornfels adjacent to a diorite intrusion. The largest zone has a 700m strike length, defined by rock and soils samples, with rock samples up to 1% copper and 2.1 g/t gold.
Gold mineralization at Monte Cristo is hosted in highly altered volcaniclastic and intrusive rocks. Mineralized zones occur on two parallel ridge-backs separated by ~300 m of shallow glacial debris cover. Rock samples assayed up to 4.2 g/t gold and soil samples (talus fines) assayed up to 3.0 g/t gold. The zone between the two ridges is untested.
The Kahiltna Terrane, where the Millrock-Altius prospecting alliance has been most active, is a geologic region of south-central to southwest Alaska which also hosts the giant Pebble deposit of Anglo-American and Northern Dynasty. The area also hosts Kiska Metals' Whistler copper-gold deposit which is adjacent to Millrock's Estelle gold property being explored in joint venture with Teck American Incorporated. The project is in mountainous terrain hosting receding glaciers. As the glaciers recede, new mineral occurrences are being revealed.
The technical information in this news release was reviewed by Gregory Beischer, Millrock's President and CEO, a Qualified Person as defined in NI 43-101.
ABOUT MILLROCK RESOURCES INC. Millrock Resources Inc. is a premier project generator to the mining industry. In the search for world-class gold and copper deposits in mineral rich Alaska and Arizona, Millrock identifies, packages and operates large-scale projects for joint venture, thereby exposing its shareholders to the benefits of mineral discovery without the financial risk and attendant shareholder dilution. Millrock currently has eleven active exploration projects, eight gold-copper properties in Alaska, and three porphyry copper prospects in Arizona. Its joint venture partners, underwriting some $7.5 million of exploration in 2010, include some of the leading names in the mining industry: Kinross, Teck, Vale, Inmet and Altius, as well as junior explorers Valdez Gold, Brixton Metals and Crescent Resources.
ABOUT BRIXTON METALS CORP. Brixton's mission is to create wealth through exploration by advancing large scale metal deposits to feasibility. Assuming the successful completion of Brixton becoming a TSX.V listed public company through a Qualifying Transaction with Marksmen Capital Inc., Brixton expects to trade under the symbol BBB.v. Brixton has 3 properties, Thorn (Au-Ag-Cu) located in BC, Stawell (Au) located in Australia, and now Cristo (Au, Cu) located in Alaska. Brixton intends to capitalize on strong macro trends that it expects will see the demand for its projects increase along with the value created for Brixton shareholders. For more information about Brixton please contact its CEO, Mr. Mac Bell at (604) 612-2281 or firstname.lastname@example.org.
ON BEHALF OF THE BOARD "Gregory Beischer” Gregory Beischer, President & CEO
FOR FURTHER INFORMATION PLEASE CONTACT: Gregory A. Beischer (604) 638-3164 Millrock Resources Inc. 750 World Trade Centre 999 Canada Place Vancouver, BC V6C 3E1
Some statements in this news release contain forward-looking information, including without limitation statements as the ability to confirm the presence of uranium deposits underlying the densely drilled areas of the property, the potential to expand resources by drilling, the forward-looking price of uranium, the potential for amenability to ISR mining, the ability to secure a funding partner for the project, the completion of the option to purchase some of the claims, and the ability to secure funding to carry out the planned exploration and development . These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements.
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