October 9, 2013, Vancouver, BC -- Heatherdale Resources Ltd. ("Heatherdale" or the "Company") (TSXV:HTR) announces it has reached a Memorandum of Understanding (MOU) with the Alaska Industrial Development and Export Authority (AIDEA), a public corporation of the State of Alaska. AIDEA is Alaska's development finance authority. Its mission is to promote, develop, and advance economic growth and diversification in the state by providing financing and investment. The authority has a long history of supporting Alaska's minerals industry, beginning with its financing and construction of the DeLong Mountain Transportation System, the road and port serving the area that includes Red Dog Mine, as well as energy facilities and infrastructure for other mining projects in the state.
Under the MOU, the Company and AIDEA will work collaboratively to advance opportunities associated with Heatherdale's 100%-owned Niblack Project on Prince of Wales Island, as well as with potential processing facilities at the Gravina Island Industrial Complex (GIIC) within the Ketchikan Gateway Borough (KGB).
"AIDEA has successfully pursued on numerous occasions its mandate to promote, develop and advance economic activity in Alaska through strategic partnerships with the mining industry," said Heatherdale President & CEO Patrick Smith, noting that transportation infrastructure financed by AIDEA was critical to the development of the Red Dog zinc mine in northwest Alaska. "We are very pleased to reach an agreement that formalizes how we will collaborate with AIDEA to realize the economic potential that Niblack holds for all Southeast Alaska communities."
"In addition to its financing capabilities, AIDEA brings invaluable experience as an organization that has partnered with mine developers, and permitted and constructed industrial facilities in Alaska," Smith continued. "Heatherdale remains fully committed to the Niblack Project and we have every confidence that, over time and in partnership with local communities and public institutions, it will become an operating mine and significant contributor to the economy of southeast Alaska."
Under the terms of the MOU, Heatherdale and AIDEA will work together to assess the potential for processing, port and tailings storage facilities at the GIIC site near Ketchikan, and to determine how AIDEA can support the development of copper-gold-zinc-silver deposits at Niblack. The agreement identifies a range of initiatives that may be pursued, including investigating AIDEA-supported financing options for project infrastructure and other means to maximize local employment and other economic benefits.
"The Niblack Project has tremendous potential economic benefit to Southeast Alaska communities, residents and business," said AIDEA Executive Director Ted Leonard. "This is a unique opportunity to generate employment and economic activity on Prince of Wales Island and in the greater Ketchikan area. We are pleased to work with Heatherdale in evaluating the responsible development of this project."
The Company previously signed a MOU with the KGB in August 2012 to investigate the suitability of the GIIC as a preferred site for processing mineralized material from Niblack. AIDEA will now become a party to those discussions, and will also participate in ongoing consultation with local communities and other Niblack Project stakeholders.
Since 2009, Heatherdale has invested some $37 million and drilled more than 200,000 feet of core to define 5.6 million tonnes of Indicated and 3.4 million tonnes of Inferred mineral resources1 at Niblack. While possessing significant potential for expansion, the known mineral resources at Niblack provide a solid basis for the initiation of engineering, environmental baseline and other technical studies necessary for project planning and permitting.
Located on tidewater southwest of Ketchikan on Prince of Wales Island, the Niblack Project has a number of important advantages. Southeast Alaska possesses a skilled workforce, excellent power and transportation infrastructure as well as a long history of public and official support for responsible mineral resource development and mining.
"Despite the difficulties inherent to the current market environment, Heatherdale is in a very enviable position," Smith said. "We have a well understood resource with the grades, volume and continuity along with potential to support an underground mine. We have clear title in a safe jurisdiction, with a very supportive community and political climate in southeast Alaska for responsible mineral development."
For more information on Heatherdale Resources Ltd., please visit the Company's website at www.heatherdaleresources.com or contact Investor Services at (604) 684-6365 or within North America at 1-800-667-2114.
On behalf of the Board of Directors
President and CEO
1Indicated grades 0.95% copper, 1.75 g/t gold, 1.73% zinc, 29.52 g/t silver and inferred grades 0.81% copper, 1.32 g/t gold, 1.29% zinc, 20.10 g/t silver at a US$50 NSR cut-off. For further details see the Heatherdale November 29 2011 news release.