Description

The Kingurutik River Property is located approximately 90 km Northwest of CVRD's (formerly Inco) Voisey's Bay Nickel-Coper-Cobalt mine, 10 km West of Teck-Cominco/Benton Resources' Kingurutik Lake Project and approx. 40km North of the TL Property.

 

The Property consists of 234 contiguous claims covering an area of approximately 6,070 hectares (60.7 sq. km). In April 2008 Nortec Ventures optioned the Kingurutik River Property from Vulcan Minerals Inc. ("Vulcan") of St. John's, Newfoundland. Nortec can acquire 51%, with an option to earn 100% in the Kingurutik River Property.

 

 

                                       Cash                     Shares          Work Expenditures

Exchange approval         $10,000                 200,000                         $0
By March 31, 2009        $30,000                 200,000                $50,000
By March 31, 2010        $30,000                 400,000              $200,000
By March 31, 2011        $50,000              1,000,000              $400,000
By March 31, 2012        $80,000              1,200,000              $850,000

Nortec will have the right to earn a 51% working interest by incurring $1,500,000 of work expenditures and paying Vulcan $200,000 and 3,000,000 common shares over a four year option period. The first year commitment includes an airborne magnetic and electro-magnetic survey of the property. A $10,000 cash payment and 200,000 shares of Nortec are payable upon TSX Venture Exchange approval. Nortec can acquire a further 49% interest (total 100%) in the property by issuing Vulcan the greater of:

 

a.  an amount of shares equal to 19.9% of Nortec's fully diluted share capital at the time of exercise of the option attributable to the value of the Kingurutik Property to Nortec's total value; or

 

b.  9,000,000 additional shares.

 

Vulcan will retain a 10% net profits interest in all minerals produced from the property convertible at any time to a 2% net smelter return royalty free and clear of any pre-determined payout purchase price. The letter agreement shall be incorporated into a formal option agreement subject to TSX Venture Exchange approval.

 

 

The Kingurutik River Property is underlain by monzonite, granite and anorthosite of the Nain Plutonic Suite and large scale enclaves of  meta-sedimentary gneiss of the Tasiuyak Gneiss unit. Four separate anomalous zones were identified  based on geophysical surveys (1995) and ground based reconnaissance mapping and sampling (1995). The surveyed  prospective geophysical, ground based reconnaissance anomalies have never been drill tested. Subsequent prospecting located extensive gossans within a mixed zone of Tasiuyak Gneiss,monzonite,anorthosite and gabbro. Some individual anomalies are up to 800 metres in length. Gossanous zones containing disseminated sulphides were heavily weathered and highly altered to hematite and limonite inhibiting any sampling of fresh rock.

 

There are numerous highly weathered gossanous samples that assayed anomalous Nickel, Copper, Cobalt with some assays up to 1100 ppm Copper and 770 ppm Nickel. Some of the prospective geophysical anomalies and gossans initially extended off the previous property boundaries and were therefore not followed up. The Kingurutik Property now includes the extension of these anamolous trends and gossans and will be surveyed with airborne magnetic /electromagnetic surveys.

 

Nortec has signed an agreement with Geotech Ltd. ("Geotech") an airborne geophysical company, to acquire high resolution magnetic and time domain deep penetrating electromagnetic data ("VTEM") over the Kingurutik Property. The VTEM geophysical survey was completed in May 2008.