Quebec Pegmatite Announces Option Agreement with Abcourt Mines to Acquire Claims Adjacent to the Swanson Gold Deposit in the Abitibi Greenstone Belt

Rhea-AI Summary

Quebec Pegmatite Holdings Corp. (CSE: QBC, OTC Pink: WPNNF) announced an Option Agreement with Abcourt Mines to acquire 141 mineral claims (5,579 hectares) adjacent to the Swanson gold deposit in Quebec's Abitibi Greenstone Belt. The terms include staged cash payments totaling $2 million over two years, with the option to substitute payments with shares. The property hosts significant gold and polymetallic mineralization, including notable historical gold showings. The company plans an extensive exploration program targeting gold-bearing structures. Additionally, a name change to 'Lafleur Gold Corp.' is contemplated to reflect its focus on gold and critical minerals.

Positive

• Entered into an Option Agreement with Abcourt Mines, potentially expanding the company's resource base.
• Acquiring 141 mineral claims over 5,579 hectares in a prolific mining area.
• Property includes significant historical gold showings, enhancing exploration potential.
• Company plans aggressive exploration program targeting gold-bearing structures.
• Option to issue common shares instead of cash for payments, preserving liquidity.
• Potential for significant discoveries in an underexplored region.

Negative

• Staged cash payments totaling $2 million required over the next two years, impacting cash flow.
• Assumption of existing royalty obligations on the property, potentially affecting future profits.
• Historical data has not been fully verified, posing a risk to resource estimates.
• Potential dilution of shares if option payments are made via equity issuance.

Vancouver, British Columbia--(Newsfile Corp. - June 17, 2024) - Quebec Pegmatite Holdings Corp. (CSE: QBC) (OTC Pink: WPNNF) ("QPC" or the "Company") is pleased to announce that it has entered into an arm's length Option Agreement (the "Agreement") with Abcourt Mines Inc. ("ABI") pursuant to which ABI has granted the Company the right to acquire all of ABI's title and interest (the "Option") in and to 141 mineral claims covering approximately 5,579 hectares located in the Province of Québec, Canada, adjacent to the Swanson gold deposit (the "Property").

The Property is located within the gold and critical minerals rich Abitibi Greenstone Belt, approximately 60 km north of the city of Val-d'Or and adjacent to the Swanson gold deposit, Abcourt-Barvue base metal (Zn-Pb-Ag) mine, and the Courville and Jolin gold deposits (Figure 1). The Property claims contain the same geological stratigraphy that hosts the Swanson gold deposit, extending the favourable strike length a total of 30 km along a NW to SE trend and over a width of 4 to 9 km. The Property is composed of alternating porphyritic andesites, basalts, rhyolites, and felsic tuffs belonging to the Figury Group as well as syenites, monzonites, diorites, tonalites and granodiorite intrusives. The Property includes both orogenic-type vein (structurally-controlled) and shear-hosted gold-bearing mineralization, with 17 gold (Au) and numerous gold-rich polymetallic (Ag, Cu, Zn, Pb and Mo) showings.

Gold showings on the Property are referenced from the Québec government SIGÉOM geological database and include the:

• Jackson Showing - 553.28 g/t Au over 0.8m (historical drilling)
• Jolin Showing - 20.00 g/t Au (historical grab sample)
• Bartec Showing - 3.40 g/t Au over 1.5m (historical drilling)
• Laflamme Sud Showing - 5.97 g/t Au over 0.3m (historical drilling)
• Matttagami Lake showing - 4.29 g/t Au over 0.3m (historical drilling)
• Malbar/Gros Louis Showing - 3.77 g/t Au over 0.9m (historical drilling)

Several gold showings on the Property also include historical mineral resource estimates referenced in SIGÉOM and completed prior to the introduction of CIM and NI 43-101 disclosure standards.

Paul Ténière, CEO of QPC commented, "We are very excited to acquire this claim package from ABI in one of the most prolific gold and critical minerals mining districts in Canada and adjacent to the Swanson gold deposit, a resource-stage property with significant gold potential. This region of the Abitibi Greenstone Belt is relatively underexplored and has significant potential for major discoveries through aggressive exploration and drilling programs targeting these major gold-bearing structures and shear zones. The Company is in the process of developing an exploration program that will successfully define and target gold bearing shear zones and includes airborne geophysics, LiDAR, soil/till geochemistry surveys, prospecting, and diamond drilling."

Figure 1: Map of the Property (purple claims)

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/6526/213292_fa4c39348408f8c3_001full.jpg

Option Terms

Pursuant to the terms and conditions of the Agreement, in order to exercise the Option and acquire a 100% interest in the Property, the Company must:

(a) pay ABI $500,000 in cash within ten (10) days following the date on which the Option Agreement is executed (the "Effective Date"), after which the Company shall have acquired a 25% interest in and to the Property;

(b) pay ABI $500,000 in cash on or before the six (6) month anniversary of the Effective Date, after which the Company shall have acquired a cumulative 50% interest in and to the Property;

(c) pay ABI $500,000 in cash on or before the eighteen (18) month anniversary of the Effective Date, after which the Company shall have acquired a cumulative 75% interest in and to the Property; and

(d) pay ABI $500,000 in cash on or before the twenty-four (24) month anniversary of the Effective Date, after which the Company shall have acquired a cumulative 100% interest in and to the Property.

(collectively, the "Cash Payments," and each a "Cash Payment")

The Company has the option to complete the Cash Payments referred to in (b), (c), and (d) above through the issuance of common shares ("Common Shares") in the capital of the Company, and such Common Shares shall be issued at a deemed price per Common Share equal to the ten trading (10) day volume weighted average trading price of the Common Shares on the Canadian Securities Exchange (the "CSE") prior to the applicable payment date. Further, the Company has the option to accelerate the completion of the Cash Payments to earn a 100% interest in and to the Property.

Following the Company's exercise of the Option, the Company will:

(a) grant ABI a two percent (2%) net smelter returns royalty on certain mineral claims comprising the Property; and

(b) assume ABI's obligations with respect to certain royalties currently existing on the Property

Proposed Name Change

The Company is also pleased to announce that it is contemplating a name change to "Lafleur Gold Corp." to reflect its renewed focus on acquiring and exploring gold and critical minerals properties in the Abitibi Greenstone Belt in Québec. The Company will provide further details pertaining to its proposed name change in a subsequent news release.

Qualified Person Statement

All scientific and technical information in this news release has been prepared or reviewed and approved by Louis Martin, P.Geo., Technical Advisor to the Company, and a "Qualified Person" for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects.

Cautionary Statements and Data Verification

This news release may contain scientific and technical information with respect to adjacent properties to the Company's properties, which the Company has no interest in or rights to explore. Readers are cautioned that information regarding the geology, mineralization, and mineral resources on adjacent properties is not necessarily indicative of the mineralization on the Company's properties.

The Qualified Person has reviewed the historical scientific and technical information on the Property from historical reports, government geological databases, and scientific papers, but has not yet fully verified the sampling, analytical, and test data underlying this information. Current limitations include getting access to original databases and assay certificates from the historical work programs.

About Quebec Pegmatite Holdings Corp:

Quebec Pegmatite Holdings Corp. (CSE: QBC) (OTC Pink: WPNNF) is a North American junior mining exploration company that has several 100%-owned properties in Quebec's highly sought after critical minerals and lithium regions in James Bay and Mazérac covering approximately 303 km². The Company's Vieux Comptoir Property is located approximately 45 km east of the Patriot Battery Metals Corvette Project and 45 km west of Winsome Resources, Adina Project. The Company's Mazérac Property is easily accessible and located 50 km southwest of Val-d'Or near Vision Lithium's Cadillac Property and Winsome Resources' Decelles Property.

ON BEHALF OF QUEBEC PEGMATITE HOLDINGS CORP.

Paul Ténière, M.Sc., P.Geo.
Chief Executive Officer
E: teniere@gmail.com

Quebec Pegmatite Holdings Corp.
1500-1055 West Georgia Street
Vancouver, BC V6E 4N7

Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this news release.

Cautionary Statement Regarding "Forward-Looking" Information

This news release includes certain statements that may be deemed "forward-looking statements." All statements in this new release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/213292

FAQ

What is the Option Agreement between Quebec Pegmatite and Abcourt Mines?

The Option Agreement allows Quebec Pegmatite to acquire 141 mineral claims adjacent to the Swanson gold deposit, totaling 5,579 hectares, for staged payments of $2 million.

What are the payment terms for Quebec Pegmatite's Option Agreement?

Quebec Pegmatite must make staged cash payments of $500,000 at 10 days, 6 months, 18 months, and 24 months after the agreement's effective date, totaling $2 million.

Can Quebec Pegmatite issue shares instead of cash for the Option Agreement payments?

Yes, Quebec Pegmatite has the option to issue common shares based on a 10-day volume weighted average price instead of cash for the payments.

What does Quebec Pegmatite plan to do with the newly acquired property?

Quebec Pegmatite plans an extensive exploration program targeting gold-bearing structures, including airborne geophysics, LiDAR, soil/till geochemistry surveys, prospecting, and diamond drilling.

What are the significant historical gold showings on the new property?

Significant historical gold showings include Jackson Showing (553.28 g/t Au over 0.8m), Jolin Showing (20.00 g/t Au), and others, indicating high exploration potential.

What potential name change is Quebec Pegmatite considering?

Quebec Pegmatite is contemplating a name change to 'Lafleur Gold Corp.' to reflect its renewed focus on gold and critical minerals exploration in the Abitibi Greenstone Belt.