SOURCE: Punchline Resources
TORONTO--(Marketwire - Sep 7, 2012) - Punchline (OTCQB: PUNL) (OTCBB: PUNL) ("Punchline" or the "Company") is pleased to announce that the Company has entered into a Mineral Lease Agreement for the exploration and development of the Empress Property in Nevada, USA (the "Agreement"). The Company has also received the initial funding drawdown of $200,000 requested from its $1,000,000 Line of Credit Facility provider. Proceeds of this financing will be used for exploration and development at the Empress Property, other potential acquisitions currently being evaluated, general working capital, and other such purposes as the Company may determine from time to time.
"The Empress Gold and Silver Property looks to be a very good fit for our Company's aggressive growth strategy because of the historic work already completed on the property and its apparent significant exploration upside potential," said Ramzan Savji, CEO and President of Punchline. "We look forward to quickly mobilizing our exploration efforts at the Empress Property and working with local geological service providers in the great gold producing State of Nevada."
The Empress Property consists of a total of nine (9) unpatented mining claims located in Esmeralda County, Nevada, approximately 26 miles south of Goldfield in the Tokop mining district. The property is accessible via 10 miles of gravel roads from the small hamlet of Gold Point. The area of the property was likely first discovered in the 1860s when Silver Peak, located 30 miles to the northwest, was developed. The historic Empress Mine is located on the property consisting of seven (7) horizontal adits, the remnants of a processing mill, and several stone foundations from that era.
Although historic gold production data is unavailable for the district, the Gold Point district, located immediately to the north, produced gold and silver valued at approximately $500,000,000 (in 2010 dollars). The Wonder Mine, located 2,000 feet southwest of the Empress Mine, was developed in the 1930s as judged by artifacts, and probably direct shipped its ore to a mill elsewhere. The only known drilling of the property consists of 3 RC holes above the Wonder adit, drilled in the 1980s by Homestake Mining. No data is available from the 3 RC holes.
In conclusion, the Company feels that sufficient sampling has been completed to indicate two high-grade gold/silver vein targets at the Empress Project. The Company intends to continue exploration of the Empress Property with the objective to better define the size and grade of the gold mineralization system(s) and develop the project to its full potential. Near term work programs planned for the property include, diamond core drilling of the Wonder vein as soon as surveying is completed and drilling of the various identified ore shoots to quickly establish the size potential of the deposits. Additional details regarding the near term exploration strategy at the Empress Property will be made public as soon as possible.
About Punchline Resources
Punchline Resources Ltd. is an emerging mineral resources company focused on both domestic and international exploration and development projects. The Company is currently evaluating several projects for potential acquisition and/or participation.
Some information in this press release constitutes forward-looking statements or statements which may be deemed or construed to be forward-looking statements. Even though the company has entered into an agreement for the Empress Property, there can be no assurance that the acquisition will close and that the Company will acquire any such property. The words "plan", "forecast", "anticipates", "estimate", "project", "intend", "expect", "should", "believe", and similar expressions are intended to identify forward-looking statements. These forward-looking statements involve, and are subject to known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance (financial or operating) or achievements to differ from the future results, performance (financial or operating) or achievements expressed or implied by such forward-looking statements. The risks, uncertainties and other factors are more fully discussed in the Company's filings with the U.S. Securities and Exchange Commission. All forward-looking statements attributable to Punchline Resources Ltd. herein are expressly qualified in their entirety by the above-mentioned cautionary statement. Punchline Resources Ltd. disclaims any obligation to update forward-looking statements contained in this press release, except as may be required by law.