Chakana Reports Significant Intercepts at Soledad, Peru Including 46M of 5.64% Copper, 592.9 g/t Silver and 0.36 g/t Gold Provides Update on Resource Drilling

 

Soledad Project Highlights Include:

• Resource definition holes at Breccia Pipe 1 (“Bx 1”) completed; 62 drill holes totalling 17,936m
• A total of 259 diamond core holes completed on the Soledad project to date for 60,225m
• Additional resource definition drill results pending for Bx 5 and Huancarama
• Gradient array and 3D induced polarization (IP) orientation surveys in progress

Vancouver, B.C., September 7, 2021 – Chakana Copper Corp. (TSX-V: PERU; OTCQB: CHKKF; FRA: 1ZX) (the “Company” or “Chakana”), is pleased to provide results from the final seven resource definition holes drilled in Bx 1 totaling 2,474.65m from the Soledad project, Ancash, Peru (Table 1). Drilling continues as part of a fully funded 26,000m exploration and resource drilling program planned for 2021 (Fig. 1). These results will increase confidence in the initial resource estimate, anticipated at the end of 2021.

“Results for the final seven resource definition holes for Bx 1 are excellent as expected and consistent with previous drill results. These results, combined with previous drilling at Bx 1, will be part of the initial resource estimate that will also include Bx 5, Bx 6, Paloma East, Paloma West, and Huancarama. We look forward to releasing additional drill results from our ongoing drill program and are committed to having the initial resource estimate out by the end of the year,” stated President and CEO David Kelley.

Drill Results

Table 1. Mineralized intervals:

Bx 1 (Resource Definition)

DDH #	From – To (m)		Core Length (m)	Au g/t	Ag g/t	Cu %	Cu-eq %*	Au-eq g/t*
SDH21-211	0.0	27.0	27.0	4.61	14.2			4.80
and	39.0	83.0	44.0	4.86	60.8	1.58	5.28	8.07
and	133.0	159.0	26.0	0.68	256.1	3.72	6.35	9.72
and	198.0	241.7	43.7	0.29	54.0	0.93	1.58	2.42
and	255.4	257.8	2.5	0.26	83.1	1.88	2.76	4.22
SDH21-213	0.0	24.0	24.0	5.90	20.3			6.17
and	37.0	106.3	69.3	3.38	71.4	1.34	4.16	6.36
including	38.0	46.0	8.0	10.42	32.1	2.85	9.94	15.20
and	146.0	192.0	46.0	0.36	592.9	5.64	10.94	16.74
including	152.0	167.0	15.0	0.56	1207.6	11.52	22.21	33.97
and	208.0	216.0	8.0	0.12	129.4	1.93	3.11	4.76
and	232.0	259.0	27.0	0.80	132.2	1.31	2.96	4.53
and	297.0	329.2	32.2	0.64	48.2	0.90	1.73	2.65
SDH21-216	0.0	113.0	113.0	3.60	62.2	0.81	3.70	5.65
and	125.0	132.0	7.0	0.45	42.4	0.61	1.27	1.94
and	175.9	178.0	2.1	0.43	152.4	3.13	4.71	7.21
and	189.0	201.0	12.0	0.36	83.3	0.45	1.40	2.14
and	225.0	228.0	3.0	0.10	237.8	1.13	3.23	4.94
and	240.0	253.0	13.0	0.23	43.8	0.74	1.26	1.93
and	319.0	320.7	1.8	0.64	18.3	1.11	1.68	2.58
and	371.0	372.0	1.0	1.58	140.0	8.46	10.69	16.35
SDH21-218	288.10	319.15	31.05	0.48	29.7	0.33	0.90	1.37
SDH21-221	257.85	278.75	20.90	0.06	69.8	0.31	0.95
and	310.25	348.00	37.75	0.88	56.2	0.44	1.50	2.29
SDH21-223	284.00	308.00	24.00	0.34	47.8	0.36	0.99	1.52
SDH21-225	137.30	140.00	2.70	0.48	418.5	1.07	4.96	7.59
and	163.00	172.00	9.00	0.76	86.0	2.84	4.07	6.23
and	196.00	280.00	84.00	1.35	211.5	1.73	4.42	6.76

* Cu_eq and Au_eq values were calculated using copper, gold, and silver. Metal prices utilized for the calculations are Cu – US$2.90/lb, Au – US$1,300/oz, and Ag – US$17/oz. No adjustments were made for recovery as the project is an early-stage exploration project and metallurgical data to allow for estimation of recoveries are not yet available. The formulas utilized to calculate equivalent values are Cu-eq (%) = Cu% + (Au g/t * 0.6556) + (Ag g/t * 0.00857) and Au-eq (g/t) = Au g/t + (Cu% * 1.5296) + (Ag g/t * 0.01307).

Bx 1
There are two breccia pipes at Bx 1, the Main Zone that crops out at surface, and the North Zone that is 40 metres north of the Main Zone and begins 125m below surface (Figs. 3 and 4). Drill holes in this release were designed to fill in gaps in previous drilling to contribute to the initial resource estimate. Three holes were drilled to the north from a central platform where the Main Zone crops out at surface. These holes cut the Main Zone and the North Zone. Four additional holes were drilled to the southwest from a platform located northeast of Bx 1 and were designed to fill in gaps on the southwest margin of the Main Zone.

2021 Resource and Exploration Drill Program
Results reported here are part of the fully funded 2021 drill program of 26,000m.  Combined with the drilling in the second half of 2020, approximately 32,000m is anticipated through the end of 2021. Of this, 18,414m have been reported to date in 83 drill holes.  Additional resource definition drill results for Bx 5 and Huancarama are pending. In addition, new targets located in the northern half of the project that have not been drilled previously but are strategic to any eventual development at Soledad will be tested. Exploration targets have been ranked based on their technical merit, access, and logistics.

Geophysical Surveys
Two different types of geophysical surveys are being tested to identify new breccia pipe targets and help refine the ranking of our existing 110 targets identified to date. Orientation surveys based on gradient array induced polarization and 3D induced polarization are underway over the known and well understood mineralized breccia pipes. Once the parameters of the surveys are optimized, the surveys will be completed throughout the 12-km² footprint of the Soledad mineral system where tourmaline breccias are known. These techniques will improve our understanding of the structural controls on fertile corridors that host the breccia pipes, help identify additional breccia pipes that may not come to surface, and refine the existing targets that we have.

About Chakana Copper
Chakana Copper Corp is a Canadian-based minerals exploration company that is currently advancing the Soledad Project located in the Ancash region of Peru, a highly favorable mining jurisdiction with supportive communities. The Soledad Project consists of high-grade copper-gold-silver mineralization hosted in tourmaline breccia pipes. A total of 60,225 metres in 259 diamond core holes for exploration and resource definition drilling have been completed since 2017, testing 15 of 110 total exploration targets, confirming that Soledad is a large, well-endowed mineral system with strong exploration upside.  Chakana’s investors are uniquely positioned as the Soledad Project provides exposure to base and precious. For more information on the Soledad project, please visit the website at www.chakanacopper.com.

Sampling and Analytical Procedures
Chakana follows rigorous sampling and analytical protocols that meet or exceed industry standards. Core samples are stored in a secured area until transport in batches to the ALS facility in Callao, Lima, Peru.  Sample batches include certified reference materials, blank, and duplicate samples that are then processed under the control of ALS. All samples are analyzed using the ME-MS41 (ICP technique that provides a comprehensive multi-element overview of the rock geochemistry), while gold is analyzed by AA24 and GRA22 when values exceed 10 g/t by AA24.  Over limit silver, copper, lead and zinc are analyzed using the OG-46 procedure. Soil samples are analyzed by 4-acid (ME-MS61) and for gold by Fire Assay on a 30g sample (Au-ICP21).

Results of previous drilling and additional information concerning the Project, including a technical report prepared in accordance with National Instrument 43-101, are made available on Chakana’s SEDAR profile at www.sedar.com.

Qualified Person
David Kelley, an officer and a director of Chakana, and a Qualified Person as defined by NI 43-101, reviewed and approved the technical information in this news release.

ON BEHALF OF THE BOARD

(signed) “David Kelley”
David Kelley
President and CEO

For further information contact:

Joanne Jobin, Investor Relations Officer
Phone: 647 964 0292
Email: jjobin@chakanacopper.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-looking Statement Advisory: This release may contain forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of Chakana to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Forward looking statements or information relates to, among other things, the interpretation of the nature of the mineralization at the Soledad copper-gold-silver project (the “Project”), the potential to expand the mineralization, and to develop and grow a resource within the Project, the planning for further exploration work, the ability to de-risk the potential exploration targets, and our belief in the potential for mineralization within unexplored parts of the Project. These forward-looking statements are based on management’s current expectations and beliefs but given the uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward-looking statements or information. The Company disclaims any obligation to update, or to publicly announce, any such statements, events or developments except as required by law.

enCore Energy and Azarga Uranium To Combine To Create Leading American Uranium ISR Company

 

CORPUS CHRISTI, Texas, Sept. 7, 2021 /CNW/ – enCore Energy Corp. (“enCore“) (TSXV: EU) (OTCQB: ENCUF) and Azarga Uranium Corp. (“Azarga“) (TSX: AZZ) (OTCQB: AZZUF) (FRA: P8AA) are pleased to announce that they have entered into a definitive arrangement agreement (the “Agreement“) whereby enCore will acquire all of the issued and outstanding common shares of Azarga pursuant to a court-approved plan of arrangement (the “Transaction“). The Transaction consolidates an industry leading pipeline of exploration and development staged in-situ recovery (“ISR“) focused uranium projects located in the United States, including the licensed Rosita & Kingsville Dome past producing uranium production facilities in South Texas, the advanced stage Dewey Burdock development project in South Dakota, which has been issued its key federal permits, the PEA-staged Gas Hills Project located in Wyoming, and a portfolio of resource staged projects throughout the United States. The combined company will possess a uranium resource base of 90.0 million pounds in the measured & indicated category, 9.9 million pounds in the inferred category, as well as 68.4 million pounds in the historic category*. 

Under the terms of the Agreement, Azarga shareholders will receive 0.375 common shares of enCore for each Azarga common share held (the “Exchange Ratio“). The Exchange Ratio implies consideration of $0.71 per Azarga common share based on the closing price of the enCore common shares on the TSX Venture Exchange on September 3rd, 2021.

Additionally, the Exchange Ratio will be subject to an adjustment mechanism at the closing of the Transaction (the “Closing Exchange Ratio“). The Closing Exchange Ratio shall be equal to the greater of: (i) the Exchange Ratio; or (ii) an exchange ratio calculated as $0.54 divided by enCore’s 15-day volume-weighted average price prior to the closing of the Transaction, subject to a maximum Closing Exchange Ratio of 0.49 common shares of enCore for each share of Azarga outstanding.

Transaction Highlights

• Creation of a top-tier American uranium ISR mining company with multiple assets at various stages of development;
• Two licensed ISR production facilities and multiple potential satellite exploration and development projects in South Texas;
• Advanced stage Dewey Burdock development project in South Dakota with key federal permits issued;
• Recently published preliminary economic assessment for the Gas Hills project in Wyoming;
• Large uranium resource endowment in New Mexico including the Marquez-Juan Tafoya project, for which a recent preliminary economic assessment was published and the Crownpoint and Hosta Butte project;
• Well positioned to benefit from America’s nuclear renaissance, which boasts bi-partisan political support; and
• Management team and board with unrivaled experience in the permitting, development, and mining of ISR uranium deposits in the USA.

Paul Goranson, CEO of enCore, commented: “enCore is delighted to combine our assets with those of Azarga. Dewey Burdock is an excellent ISR uranium project and we look forward to building upon Azarga’s successes to create additional value through development progress and eventually production. In addition to the execution of plans for near term production in Texas and a dominant mineral position in New Mexico, this combination will see enCore take another leap forward towards realizing the goal of becoming a larger and more diversified uranium development company during a time of positive sentiment for nuclear energy.”

Blake Steele, President & CEO of Azarga, further added: “We are pleased to partner with enCore as a result of this transaction, while realizing a material premium for shareholders in the process. Scale is important in the natural resource sector and this transaction will position the new company among the top uranium miners based in the USA. enCore possesses a great depth of uranium development and mining experience within its management team and board of directors. As such, we are confident that the combined portfolio will be in good hands for the benefit of both sets of shareholders.”

William Sheriff, Executive Chairman of enCore, stated: “This strategic acquisition fills the gap in enCore’s pipeline of projects with key intermediate development opportunities in Wyoming and South Dakota, in between initial production in Texas and longer-term opportunities in New Mexico.  This second major acquisition for enCore within the last 12 months is in keeping with our announced aggressive M&A strategy which was successfully employed at Energy Metals Corp, which was sold for $1.6 billion during the last cycle.  Consolidation in conjunction with an elite operational team are the keys to success in building a leading US ISR company.”

Transaction Details

Pursuant to the terms of the Agreement, all of the issued and outstanding common shares of Azarga will be exchanged for common shares of enCore at the Closing Exchange Ratio. Outstanding and unexercised warrants and stock options to purchase common shares of Azarga will be adjusted in accordance with their terms based on the Closing Exchange Ratio.

The Agreement includes standard deal protection provisions, including non-solicitation, right-to-match, and fiduciary out provisions, as well as certain representations, covenants and conditions that are customary for a transaction of this nature, along with a termination fee of $4 million payable to enCore in certain circumstances.

The proposed Transaction will be effected by way of a plan of arrangement completed under the Business Corporations Act (British Columbia). The Transaction will require approval by at least 66 2/3% of the votes cast by Azarga shareholders and, if required by Multilateral Instrument 61-101, a simple majority of the votes cast by Azarga shareholders excluding certain interested or related parties, in each case by shareholders present in person or represented by proxy at a special meeting of the shareholders of Azarga to be called in connection with the Transaction (the “Azarga Special Meeting“).

The Azarga Special Meeting is expected to be held in October or November 2021. An information circular detailing the terms and conditions of the Transaction will be mailed to the shareholders of Azarga in connection with the Azarga Special Meeting. All shareholders are urged to read the information circular once available, as it will contain important additional information concerning the Transaction.

Closing of the Transaction is subject to the receipt of applicable regulatory approvals and the satisfaction of certain other closing conditions customary in transactions of this nature, including, without limitation, court and stock exchange approval. Closing of the Transaction is anticipated to occur in November 2021.

None of the securities to be issued pursuant to the Transaction have been or will be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or any state securities laws, and any securities issuable in the Transaction are anticipated to be issued in reliance upon available exemptions from such registration requirements pursuant to Section 3(a)(10) of the U.S. Securities Act and applicable exemptions under state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities.

Management and Board of Directors

The combined company will be managed by the current enCore executive team, led by Paul Goranson as CEO & Director, William Sheriff as Executive Chairman, Carrie Mierkey as Chief Financial Officer, and Dennis Stover, as Chief Technical Officer. Blake Steele, current President & CEO of Azarga, will continue as a Strategic Advisor to the combined company and John Mays, current COO of Azarga, will continue as Chief Operating Officer of the Azarga subsidiary, with a core focus to manage the continued advancement of the Dewey Burdock and Gas Hills projects.

Upon closing of the Transaction, Sandra MacKay, a current director of Azarga, will be appointed to the board of enCore.

In connection with the closing of the Transaction, enCore intends to seek the listing of its shares on the NYSE-AMEX or NASDAQ exchange which may include a share consolidation in order to meet initial listing requirements.

Board Recommendations and Voting Support

The Agreement has been unanimously approved by the boards of directors of both enCore and Azarga, and Azarga’s board unanimously recommends that its shareholders vote in favour of the Transaction.

Officers and Directors of Azarga holding approximately 7% of the outstanding shares of Azarga have entered into customary voting support agreements pursuant to which they have agreed, among other things, to vote their Azarga common shares in favour of the Transaction.

Clarus Securities Inc. has provided a fairness opinion to the Board of Directors of enCore, to the effect that, as of the date of such opinion, and based upon and subject to the assumptions, limitations and qualifications set out in such opinion, the consideration to be paid by enCore pursuant to the Transaction is fair, from a financial point of view, to enCore.

Each of Haywood Securities Inc. and Evans & Evans, Inc. have provided fairness opinions to the Board of Directors of Azarga, to the effect that, as of the date of such opinion, and based upon and subject to the respective assumptions, limitations and qualifications set out in such opinion, the consideration to be received by Azarga shareholders pursuant to the Transaction is fair, from a financial point of view, to Azarga shareholders.

Advisors and Counsel

PowerOne Capital Markets Ltd. is acting as financial advisor to enCore. Morton Law LLP is acting as legal counsel to enCore.

Haywood Securities Inc. is acting as financial advisor to Azarga. Blake, Cassels & Graydon LLP is acting as legal counsel to Azarga.

Conference Call & Webcast

enCore and Azarga will be hosting a joint online investor webinar on Thursday, September 9, 2021 at 10:00 AM EDT / 7:00 AM PDT to discuss the Transaction.

To register and attend the webinar please visit:  https://attendee.gotowebinar.com/register/1027177374309475597

Additionally, Mr. Goranson and Mr. Sheriff will join Smith Weekly Research in discussing the Transaction that will be available at this link:

Smith Weekly Research – enCore Energy & Azarga Uranium Business Combination

enCore Resource Summary

*A Qualified Person (as defined in NI43-101) has not done sufficient work to classify the historical estimates as current mineral resources. Additional work will be required to verify and update historical estimates, including a review of assumptions, parameters, methods and testing. Historical estimates do not use the current mineral resource categories prescribed under NI43-101. enCore is not treating the historical estimates as current mineral resources and they should not be relied upon.

Azarga Resource Summary

Qualified Persons

The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in NI 43-101 and reviewed and approved on behalf of enCore by Douglas H. Underhill, PhD, CPG, and on behalf of Azarga by John Mays, P.E. and Chief Operating Officer of Azarga, each of whom are a “Qualified Person” as defined by NI 43-101.

About enCore

enCore Energy Corp. is a U.S. domestic uranium developer focused on becoming a leading in-situ recovery (ISR) uranium producer. The company is led by a team of industry experts with extensive knowledge and experience in the development and operations of in situ recovery uranium operations. enCore Energy’s opportunities are created from the company’s transformational acquisition of its two South Texas production facilities, the changing global uranium supply/demand outlook and opportunities for industry consolidation. These short-term opportunities are augmented by our strong long term commitment to working with local indigenous communities in New Mexico where the company holds significant uranium resources.

About Azarga

Azarga Uranium is an integrated uranium exploration and development company that controls ten uranium projects and prospects in the United States of America (“USA”) (South Dakota, Wyoming, Utah and Colorado), with a primary focus of developing in-situ recovery uranium projects. The Dewey Burdock in-situ recovery uranium project in South Dakota, USA (the “Dewey Burdock Project”), which is the company’s initial development priority, has received its Nuclear Regulatory Commission License and Class III and Class V Underground Injection Control permits from the Environmental Protection Agency and the company is in the process of completing other major regulatory permit approvals necessary for the construction of the Dewey Burdock Project.

Cautionary Statements

Certain information contained herein constitutes forward-looking information or statements under applicable securities legislation and rules. All statements, other than statements of historical fact, are forward-looking statements. Forward-looking statements are frequently identified by such words as “may”, “will”, “plan”, “expect”, “anticipate”, “estimate”, “intend”, “indicate”, “scheduled”, “target”, “goal”, “potential”, “subject”, “efforts”, “option” and similar words, or the negative connotations thereof, referring to future events and results.  Forward-looking statements in this press release include, but are not limited to, statements related to the anticipated completion of the Transaction, the terms of the Transaction, the benefits of the Transaction, the combined company, the directors and officers of the combined company, the merits of the properties of enCore and Azarga, the potential share consolidation and listing of the shares of the combined company on a U.S. stock exchange and all statements related to the business plans, expectations and objectives of enCore and Azarga.

Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of enCore and/or Azarga to be materially different from those expressed or implied by such forward-looking statements, including, but not limited to: any inability of the parties to satisfy the conditions to the completion of the Transaction on acceptable terms or at all; receipt of necessary stock exchange, court and shareholder approvals; the ability of enCore and Azarga to achieve their stated goals and objectives; the costs associated with the companies’ objectives; risks and uncertainties related to the COVID-19 pandemic and measures taken to attempt to reduce the spread of COVID-19; and the risks and uncertainties identified in enCore’s Management’s Discussion and Analysis for the six months ended June 30, 2021 and Azarga’s Annual Information Form for the year ended December 31, 2020, each filed on SEDAR at www.sedar.com. Although management of each of enCore and Azarga has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate. Accordingly, readers should not place undue reliance on forward-looking statements. Neither party will update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws. The parties caution readers not to place undue reliance on these forward-looking statements and it does not undertake any obligation to revise and disseminate forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of or non-occurrence of any events.

This press release is not and is not to be construed in any way as, an offer to buy or sell securities in the United States. The distribution of the enCore common shares in connection with the transactions described herein will not be registered under the United States Securities Act of 1933 (the “U.S. Securities Act”) and the enCore common shares may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the enCore common shares, nor shall there be any offer or sale of the enCore common shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Neither the TSX, the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX and TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE enCore Energy Corp.

For further information: enCore Energy Corp., William M. Sheriff, Executive Chairman, 972-333-2214, info@encoreenergycorp.com, www.encoreenergycorp.com; Azarga Uranium Corp., Blake Steele, President & CEO, 605-662-8308, info@azargauranium.com, www.azargauranium.com

Garibaldi Completes Airborne Geophysical Surveys Arranges $12 Million Finance Facility With Alumina Partners Garibaldi Resources announced that the 2021 exploration program will resume drilling at the E&L nickel-copper-cobalt massive sulphide project at Nickel Mountain in Northwest British Columbia Research, News & Market Data on Garibaldi Watch recent presentation from Garibaldi

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Garibaldi Completes Airborne Geophysical Surveys Arranges $12 Million Finance Facility With Alumina Partners

 

Vancouver, British Columbia, September 3, 2021 – Garibaldi Resources (TSXV: GGI) (the “Company” or “Garibaldi”) is pleased to announce that the 2021 exploration program will resume drilling at the E&L nickel-copper-cobalt massive sulphide project at Nickel Mountain in Northwest British Columbia. This coincides with the completion of two separate airborne geophysical surveys at the Company’s180 sq.km Eskay Claim Group.  

Preliminary ZTEM Results

Garibaldi’s preliminary ZTEM survey data has identified a number of electro-magnetic (EM) anomalies. The survey detected the response of several conductors that will be ranked for field work and drill testing, early results are described as follows:

• Preliminary 2D Geotech ZTEM survey data over the Nickel Mountain Gabbroic Complex (NMGC) has detected several responses that support results from earlier VTEM surveys. Five conductors occur along and within the northeast trending gabbroic complex starting from E&L in the southwest to Mount Shirley in the northeast, and add to the potential for new discovery.
• These five separate ZTEM anomalies have never been previously drill tested as VTEM targets due to the higher priority of drilling the E&L mineralized zones. After producing a ZTEM response, these early results provide support for these anomalies as reliable conductors and priority drill targets.
• While final ZTEM 3D interpretation is required for full confirmation, the fact these preliminary 2D ZTEM results coincide specifically with the five earlier VTEM conductors, is considered to be significant. Particularly interesting is the ZTEM responses extending downward below the VTEM anomalies in four of the five conductors.
• The ZTEM survey also tested beneath the Bowser-Hazelton geologic contact sequence over Garibaldi’s claims. Garibaldi’s Eskay North claim block borders the original Eskay Creek mine situated along strike within 3 kms of the historic 21zones.These zones had some of the highest precious metal grades in history.

Financing Facility

Garibaldi Resources Corp.is pleased to announce that it has entered into a definitive agreement with Alumina Partners (Ontario) Ltd. to provide up to $12 million CDN over 3 years by way of a draw down equity financing facility. Alumina Partners is an affiliate of New York based private equity firm Alumina Partners, LLC.

 

The investment agreement is structured for relatively rapid access to equity private placement tranches of up to $500,000 CDN each. Each tranche will be a private placement of units comprised of one Garibaldi common share and one-half a common share purchase warrant good for 3 years.

Steve Regoci Garibaldi’s CEO stated “The investment agreement with Alumina Partners will allow for more flexibility to expand exploration budgets and provide insurance to accelerate development plans. As the new economy ramps up and demand for depleting critical metals grows, our shareholders will be well positioned to benefit.”

“We’re pleased to support Garibaldi as they ramp up exploration programs at Eskay Creek and the Atlin Gold Fields,” added Adi Nahmani, Alumina’s Managing Member. “The combination of gold and strategic battery metals opportunities in Garibaldi’s portfolio is very attractive to us. We believe that the dual drivers of near-term inflation and rising demand for energy storage solutions will set the stage for a favorable price environment for Garibaldi’s future development, and we look forward to seeing management execute in the remainder of this year and the year to come.”

Garibaldi may elect to access funding as and when required at its sole discretion, there are no standby charges or other upfront fees associated with the investment agreement. The units will be issued at a discount of 15% to 25% from the closing market price at the time each tranche is drawn down and the warrants will be issued at a 25% premium over the same closing market price. The expiry date of the warrants may be accelerated if they should trade equal to or greater than twice the exercise price for 20 consecutive days once eligible to be exercised. Each unit issued under the investment agreement will be subject to acceptance of the TSX Venture Exchange and the securities issued will be subject to a four month hold period from the date of issuance.

Steve Regoci, Garibaldi’s CEO, stated: “There’s a great deal of anticipation as to these preliminary ZTEM results which identifies a very intriguing group of anomalies lined up over a significant distance along the northeast axis from E&L. Their features are extremely interesting and we’re eager to drill these targets.

The Eskay Claim group contains enormous potential beyond our recent discoveries. Plans remain to continue to drill test the mineralized E&L extensional chambers and prepare Casper and Palm springs for drilling. Final 3D processed ZTEM data will help prioritize the next drill targets”

Geophysical Surveys Overview

The first stage of 2021 exploration relied on Geotech’s proprietary ZTEM survey to identify similar EM responses as the mineralized E&L gabbro, throughout the Nickel Mountain Gabbro Complex (NMGC).  As well, the ZTEM survey will aid in detecting additional mineralized chambers below the known mineralized gabbroic intrusive of the E&L system helping to guide targeted deeper drilling.  Furthermore, the survey aided in detecting EM sources for numerous Nickel, Copper, Zinc and Gold samples along the flanks of the NMGC and throughout the property (see slide 21 of Garibaldi Corporate Presentation) visit www.GaribaldiResources.com to view Ztem survey map.

Qualified Person

Jeremy Hanson, P.Geo., VP Exploration Canada for the Company and a qualified person as defined by NI- 43-101, has supervised the preparation of and reviewed and approved of the disclosure of information in this news release.

About Garibaldi

Garibaldi Resources Corp. is an active Canadian-based junior exploration company focused on creating shareholder value through discoveries and strategic development of its assets in some of the most prolific mining regions in British Columbia and Mexico.

We seek safe harbor.

GARIBALDI RESOURCES CORP.

Per: “Steve Regoci”
Steve Regoci, President

Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or the accuracy of this release

Sabre Gold Completes Acquisition of Golden Predator

 

TORONTO, Sept. 02, 2021 (GLOBE NEWSWIRE) — Sabre Gold Mines Corp. (formerly Arizona Gold Corp.) (“Sabre Gold” or the “Company”) (TSX: AZG, OTCQB: AGAUF) and Golden Predator Mining Corp. (“Golden Predator”) (TSX.V: GPY, OTCQX: NTGSF) are pleased to announce the successful completion of the previously-announced business combination, pursuant to which Sabre Gold has acquired all of the issued and outstanding common shares of Golden Predator (the “Golden Shares”) by way of a statutory plan of arrangement under the provisions of the Business Corporations Act (British Columbia) (the “Arrangement”).

With the Arrangement now complete, Sabre Gold intends to cause the Golden Shares to be delisted from the TSX Venture Exchange (expected on or about close of markets on September 3, 2021), and Golden Predator intends to submit an application to the applicable securities regulators to cease to be a reporting issuer and to terminate its public reporting obligations.

Further details regarding the Arrangement are set out in the joint management information circular of Sabre Gold and Golden Predator dated July 23, 2021 which is available on SEDAR (www.sedar.com) under the respective issuer profiles of Sabre Gold and Golden Predator.

Early Warning Reporting

By virtue of its acquisition of all the issued and outstanding Golden Shares under the Arrangement, Sabre Gold is required to file an early warning report pursuant to National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues. A copy of the Early Warning Report will be filed on SEDAR (www.sedar.com) under Golden Predators’ issuer profile.

About Sabre Gold Mines Corp.
The combined company represents a business combination of Sabre Gold and Golden Predator a diversified, multi asset near-term gold producer in North America which will hold 100 per cent ownership of both the fully permitted Copperstone mine located in Arizona, United States and the Brewery Creek mine located in Yukon, Canada both of which are former gold producers. Management of the combined company intends to restart production at Copperstone followed by Brewery Creek in the near term.

The resource base of the combined company will consist of approximately 1.1 million ounces gold in the measured and indicated categories, plus an additional 1.5 million oz gold in the inferred category. Additionally, both Copperstone and Brewery Creek have considerable exploration upside with a combined land package of over 230 square kilometers that will be further drill tested with high priority targets currently identified.

For further information please contact:

Sabre Gold Mines Corp.
Giulio Bonifacio
President & Chief Executive Officer
gtbonifacio@arizona-gold.com

Cautionary Statements

Certain information contained herein constitutes forward-looking information or statements under applicable securities legislation and rules. Such statements include, but are not limited to, statements with respect to the resource base of the combined company and timing of delisting of the Golden Predator common shares and application to cease its reporting status. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Sabre Gold to be materially different from those expressed or implied by such forward-looking statements. Although management of Sabre Gold and Golden Predator have attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate. Accordingly, readers should not place undue reliance on forward-looking statements. The parties will not update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws. The parties caution readers not to place undue reliance on these forward-looking statements and it does not undertake any obligation to revise and disseminate forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of or non-occurrence of any events.

This press release is not and is not to be construed in any way as, an offer to buy or sell securities in the United States. The distribution of the Sabre Gold common shares in connection with the transactions described herein will not be registered under the United States Securities Act of 1933 (the “U.S. Securities Act”) and the Sabre Gold common shares may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the Sabre Gold common shares, nor shall there be any offer or sale of the Sabre Gold common shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Neither the TSX, the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX and TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.