Troubadour Resources Options Significant Quebec Land Package with Highly Prospective Gold and Copper Targets

Rhea-AI Summary

Troubadour Resources has signed an Option Agreement for 173 mineral claims in Quebec's Abitibi Greenstone Belt, aiming for a 100% interest subject to TSX Venture approval. The claims, spanning over 100 km2, are adjacent to significant projects like Probe Metals' Novador and Monarch Mining's Beaufor Mine. Historical samples in the area indicate high gold values, with notable zones associated with geological faults and shear zones. The acquisition aims to position Troubadour at the forefront of the copper market, benefiting from the green energy demand. Terms include issuing 5 million shares and $2 million in work expenditures over 24 months.

Positive

• Executed Option Agreement for 173 mineral claims in a highly prospective region.
• Located in Quebec's Abitibi Greenstone Belt, near major gold mining centers.
• Historical gold samples showing up to 49.5 g/t Au and drilling results up to 18.15 g/t Au over ~0.9 meters.
• Potential for significant copper targets, aligning with the green energy market.
• Terms include acquiring 100% interest by issuing 5 million shares and $2 million in work expenditures.
• Strategic positioning in the growing copper market driven by electric vehicle demand.

Negative

• Option Agreement subject to TSX Venture Exchange approval, creating uncertainty.
• Requires $2 million in work expenditures, presenting financial commitment risk.
• Issuing 5 million shares, leading to potential shareholder dilution.
• Historical work was largely focused on VMS potential rather than systematic gold exploration.

Vancouver, British Columbia--(Newsfile Corp. - May 21, 2024) - Troubadour Resources Inc.  (TSXV: TR) (OTC PINK: TROUF) ("TR" or the "Company"), a North American mineral acquisition and exploration company focused on the development of drill-ready battery and precious metal projects, is pleased to announce that, subject to the approval of the TSX Venture (the "Exchange"), the Company has executed an option (the "Option Agreement") with Xander Resources Inc. ("Xander" or the "Vendor") for the right to purchase an undivided 100% interest in 173 mineral claims comprising Xander's Senneville Project (the "Project), located in the eastern part of the Abitibi Greenstone Belt, about 25 km northeast of the gold mining center of Val-d'Or, Quebec.

The Project covers over 100 km² and is contiguous in the South to Probe Metals' Novador Project, host to the 2.04 Moz Monique Resource grading 1.42 g/t Au, and in the north to Monarch Mining's Beaufor Mine, which has produced over 1.1 Moz Au.

Figure 1 - Map of the Senneville Claims.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5941/209939_4f57cc334409da25_001full.jpg

Historic work has focused around the Gustave Céré Showing in the Senneville South Claim Group where historical grab samples have yielded up to 49.5 g/t Au, channel samples of up to 6.5 g/t Au over 1.8 m, and drilling has identified up to 18.15 g/t Au over ~0.9 metres. This showing has been defined by drilling for ~361 metres along strike but other areas of the Project have not been systematically explored for gold as the focus of historical work was largely on the properties' VMS potential.

The Project is underlain primarily by the Garden Island sediments in the south and in the north by the Lanaudiere Group of basalts, mafic volcaniclastics, and narrow units of komatiite and ultramafic to gabbroic sills. All of these units' trend west-northwest and their contacts are usually dextral or reverse dextral faults with steep northerly dips. Gold-bearing zones in the area are associated with shear zones, faults, tension fractures and tectonic breccias and generally associated with syn-volcanic intrusions.

"The rising global demand for copper, driven by the green energy revolution and the exponential growth of electric vehicles, makes the acquisition of the Senneville Gold-Copper Property an attractive investment. This acquisition promises to position the Company at the forefront of the burgeoning copper market, offering significant growth opportunities," said Blake Morgan, CEO of Troubadour Resources.

"The geological characteristics of the property and the historical data on mineral occurrences make it an exceptional opportunity for exploration and potential development. By making these strategic acquisitions, we are positioning Troubadour at the forefront of the evolving copper market, thereby securing a foothold in the rapidly expanding green energy sector. Many companies have recently acquired properties in Ontario and Quebec based on map geology, but the Senneville property not only has a significant number of priority copper drill targets, but also a gold-focus which we will work to build on as we prepare for a maiden drill program this year."

The Terms of the Agreement

Pursuant to the Option Agreement (the "Agreement"), the Company may acquire a 100% interest in the Property by issuing an aggregate of 5,000,000 common shares in the capital of the Company and complete $2,000,000 in work expenditures as indicated in the table below:

Payment Date	Shares	Work Commitment
Signing	2,500,000	-
6 months	2,500,000
12 months	-	-
24 months	-	$2,000,000
Notes	Payable within five (5) days from receipt of approval to the Agreements from the Exchange (the "Approval"). Shares of the Company are to be issued at a deemed value based on the Discounted Market Price at the time of issuance.

 

The Project has the following net-smelter returns royalties (the "NSR") which will be assumed by the Company:

• 2% NSR to North American Exploration Ltd. for 72 claims
• 2% NSR to Silverwater Capital Corp. for 62 claims
• 2% NSR to Terrance Coyle / 9093-6725 Quebec Inc. for 39 claims

The Option Agreement, including the issuance of Shares, remains subject to the approval of the Exchange.

Qualified Person

The technical content of this news release has been reviewed and approved by Mr. Andrew Tims, P.Geo., a qualified person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101").

About Troubadour Resources Inc.

Troubadour Resources Inc. is a North American mineral acquisition and exploration company focused on the development of quality battery and precious metal properties that are drill-ready with high-upside and expansion potential. Based in Vancouver, BC, Troubadour trades on the TSX Venture Exchange under the symbol TR and the OTC PINK Exchange under the symbol TROUF.

TROUBADOUR RESOURCES INC.

"Blake Morgan"
CEO and Director

For more information, please call Blake Morgan at (236) 878 - 4938 or email blake@acvc.vc.

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

Forward-looking statements:

This news release may include "forward-looking information" under applicable Canadian securities legislation. Such forward-looking information reflects management's current beliefs and are based on a number of estimates and/or assumptions made by and information currently available to the Company that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors that may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Readers are cautioned that such forward-looking information are neither promises nor guarantees and are subject to known and unknown risks and uncertainties including, but not limited to, general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets, lack of available capital, actual results of exploration activities, environmental risks, future prices of base and other metals, operating risks, accidents, labour issues, delays in obtaining governmental approvals and permits, and other risks in the mining industry.

The Company is presently an exploration stage company. Exploration is highly speculative in nature, involves many risks, requires substantial expenditures, and may not result in the discovery of mineral deposits that can be mined profitably. Furthermore, the Company currently has no reserves on any of its properties. As a result, there can be no assurance that such forward-looking statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.

No Offer or Solicitation to Purchase Securities in the United States

This press release does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States. The securities referred to herein have not been and will not be registered under the Securities Act of 1933, as amended (the "Securities Act"), or with any securities regulatory authority of any state or other jurisdiction in the United States, and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons, as such term is defined in Regulation S under the Securities Act ("Regulation S"), except pursuant to an exemption from or in a transaction not subject to the registration requirements of the Securities Act.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/209939

FAQ

What did Troubadour Resources announce on May 21, 2024?

Troubadour Resources announced an Option Agreement to acquire 173 mineral claims in Quebec's Abitibi Greenstone Belt, subject to TSX Venture approval.

What is the significance of the Senneville Project for TROUF?

The Senneville Project offers highly prospective gold and copper targets, aligning with the growing demand in the green energy sector.

What are the terms of the Option Agreement for TROUF?

The terms include issuing 5 million shares and $2 million in work expenditures over 24 months to acquire a 100% interest.

What historical gold sampling results were reported for the Senneville Project?

Historical samples showed up to 49.5 g/t Au in grab samples and up to 18.15 g/t Au over ~0.9 meters in drilling.

How does the Senneville Project position TROUF in the market?

It positions TROUF at the forefront of the copper market, benefiting from rising demand driven by the green energy revolution and electric vehicle growth.