Appleton Options Dora Gold Project to Resource Hunter Capital Corp.
February 11, 2010 Vancouver, British Columbia. Appleton Exploration Inc. (AEX - TSX.V) reports that pursuant to a letter of intent dated February 10, 2010, it has granted an option to Resource Hunter Capital Corp. ("Resource Hunter") to acquire an undivided interest of a minimum of 51% or a maximum of 75% in the Dora Gold Project, subject to a third-party 1.5% net smelter return royalty. The 12,067 hectare Dora Gold Project is located in the Spences Bridge Gold Belt, approximately 20 kilometres south of Merritt, British Columbia.
To acquire the minimum 51% undivided interest in the Dora Project, Resource Hunter will pay $25,000 to Appleton on or before the date of closing of Resource Hunter's Qualifying Transaction (the "effective date"); will issue an aggregate of 1,200,000 Units (each comprised of one common share and one warrant) on or before two years from the effective date; and complete expenditures on the Dora property in the aggregate of $1,100,000 on or before three years from the effective date.
To acquire the maximum 75% undivided interest in the Dora Project, Resource Hunter must fulfill the above requirements; issue to Appleton 500,000 additional Units; and make additional expenditures of $1,000,000 on or before four years from the effective date.
The proposed transaction is subject to (1) the approval by the Exchange, (2) Resource Hunter obtaining a legal opinion on title to the Property, (3) Appleton receiving third party consent from the original owner of the Property, and (4) the negotiation, execution and delivery of a definitive agreement.
Appleton completed over $750,000 in exploration on the Dora Project from 2006 through 2008, on programs of geochemical soil sampling, airborne geophysics, and excavator trenching. The property has several drill ready targets.
Appleton's president Tim Henneberry stated "Appleton management is pleased to put the Dora property to work through the option with Resource Hunter Capital Corp. This allows Appleton to continue to concentrate all of its efforts on our exciting Manalo Gold Project."
Appleton's main focus is the Manalo Gold Project in Mali, West Africa. The latest drill results (see News Release 10-01 dated February 8, 2009) included highlights of 25 metres grading 6.27 grams per metric tonne in hole MDL09-073 and 7 metres grading 34.97 grams per metric tonne gold in hole MDL09-065.
Apple ton has sufficient working capital on hand to fund its planned 2010 exploration programs. The next phase of drilling on the Manalo Gold Project is slated to begin in March.
On Behalf of the Board of Directors,
"R. Tim Henneberry"
R.Tim Henneberry, P.Geo.
President and CEO
For further information, please contact:
For Investor Relations Information contact:
Tim Henneberry: (604) 694-0741 (604) 694-0741
Contact Financial Corp.
604.689.7422 604.689.7422 Toll Free 1.877.689.7411 1.877.689.7411
Paul Cowley, P.Geo., Director of Appleton Exploration Inc., is the Qualified Person as defined in National Instrument 43-101, who has reviewed and approved the technical content of th is news release.
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