Wheaton River to Option and Fund Drilling on Part of Platinum Group Metals Lac des Iles Area Holdings
May 10, 2002
Platinum Group Metals Ltd. (PTM: TSX Venture Exchange) is pleased to announce that it has entered into an Option Agreement with Wheaton River Minerals Ltd. ("Wheaton River") whereby Wheaton River can earn up to a 25% interest in the Shelby Lake and Lac des Iles River Properties by funding exploration expenditures totalling $400,000. An initial $200,000 exploration program, which will allow Wheaton River to earn a 10% interest in both properties, is planned to start immediately. PTM will be the operator of the exploration program.
The initial program will include ground geophysics and drilling of approximately 1,000 meters. A minimum of four drill holes, totalling approximately 800 meters are planned to test the Stinger Zone where surface grab sampling returned values of 5.7g/t palladium, 1.0g/t platinum and 0.7g/t gold. This is the first drill test of the Stinger Zone, which is hosted by the Towle Lake Intrusive Complex (TLC). The TLC can be traced for over 20km and hosts at least two other significant platinum-palladium occurrences within PTM''s holdings. The second target, to be targeted by 2 holes, is a distinct geophysical feature near the western end of this trend.
PTM can earn a 50% interest in the Shelby Lake Property by completing expenditures of $500,000 over 4 years and a 60% interest by expending an additional $500,000 over an additional 30-months under an underlying Option Agreement with New Claymore Resources Ltd. PTM holds the right to earn a 50% interest in the Lac des Iles River Property by undertaking exploration expenditures of $1,000,000 over 5 years and a 60% interest by funding a feasibility study under the terms of an underlying agreement with East West Resource Corp. and Maple Minerals Ltd. Wheaton River''s Option is contingent on PTM completing its underlying Option earn -ins. At the end of the initial $200,000 program Wheaton River and PTM have the option of converting the Wheaton River''s property interest to PTM common shares. The obligations of PTM are subject to the approval of the TSX Venture Exchange.
About Platinum Group Metals Ltd.
PTM remains firmly focussed on platinum and palladium mineral exploration and development opportunities and has a large portfolio of mineral rights. PTM recently completed an amalgamation with New Millennium Metals Corp. Both companies have been active platinum-palladium explorers since 2000. A program of 9,000 meters of drilling, as part of a $1.25M program, funded by Anglo Platinum on the company''s Agnew Lake Project was announced April 18, 2002.
PTM has also recently announced (April 24, 2002) a $1,000,000 brokered private placement at $0.25 per Common Share with Pacific International Securities Ltd. contingent on, and to close part and parcel with, a confidential property acquisition target. The Company has received full interest in the potential placement and is now pursuing the acquisition targets.
The Canadian Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this news release, which has been prepared by management.
Note to U.S. Investors: Investors are urged to consider closely the disclosure in our Form 20F, File No. 0-30306, available at our office: Suite 800 -- 409 Granville Street, Vancouver British Columbia, Canada, V6C 1T2 or from the SEC: 1(800) SEC-0330.