TORONTO, Feb. 27, 2020 /CNW/ - Conquest Resources
Limited (TSX-V: "CQR") ("Conquest" or "the Company") reports
that it has completed the previously announced private placement
for gross proceeds of $400,000.
The placement involved the issue of 7,000,000 units, each
consisting of one flow through share and one-half of a share
purchase warrant at a subscription price of $0.05 per unit, and 1,000,000 units consisting of
one common share and one-half of a share purchase warrant. Each
full share purchase warrant entitles the holder to purchase one
additional common share for $0.075
for a term of one year.
An insider of Conquest subscribed for 3,000,000 units
($150,000) in the private
placement.
The gross proceeds of the flow through share financing of
$350,000 will be used to incur
qualifying "Canadian exploration expenses", within the meaning of
the Income Tax Act (Canada), for a
planned drilling program at Golden Rose, and continued exploration
at the Alexander Property at Red
Lake and Conquest's Smith Lake Property , located between
the former Renabie Mine to the east and the Manitou Gold / Alamos
land package to the west in northern Ontario, while the remaining proceeds will be
used for the general expenses of the Company.
THE GOLDEN ROSE PROPERTY AT EMERALD LAKE, ONTARIO
Conquest holds a 100% interest in the Golden Rose Property
located at Emerald Lake,
sixty-five (65) kilometres northeast of Sudbury, Ontario which hosts the former Golden
Rose Gold Mine.
Between 1915 and 1988, mining operations at the Golden Rose Gold
Mine produced approximately 52,000 oz of gold from structurally
controlled, high-grade quartz-pyrite veins, hosted almost
exclusively within the banded iron formations. Surface drilling
between 1984-2011 identified rich mineralization lying adjacent to
known underground development. It was reported by previous
operators that diamond drilling between 2009-2011 intersected gold
grades as high as 155.7 grams of gold per tonne over 1.82
metres.
The Golden Rose property is located deep within the regionally
large, unexplained Emerald Lake
(Temagami) Anomaly, which has a
general magnetic signature closely resembling the magnetic
signature of the adjacent Sudbury
Basin and is underlain by highly prospective Abitibi Greenstone
geology, with two highly prospective, parallel (North and South)
banded iron formations.
Much of the eastern portion of the property remains largely
unexplored. Exploration work by Conquest in 2018 and 2019
identified and confirmed eight high priority geophysical targets
associated with filtered magnetic and EM conductive anomalies,
considered favourable for gold exploration. Six of these
geophysical target areas have gold-in-soil anomalies that occur
along the two prospective Banded Iron Formation ("BIF") horizons.
Geochemical soil anomalies also support the potential of previously
unrecognized gold mineralization located north of the northernmost
BIF.
Conquest has planned a drilling campaign of up to 1,500 metres
to test the six drill targets at the mine-site and elsewhere on the
Property. Drilling of these prioritized targets, will commence
during the upcoming exploration season, following Spring
break-up.
The six (6) selected drill targets were chosen based on
geological investigation and the interpretation of a
high-resolution, property-scale, airborne geophysical survey and
follow up soil and MMI surveys that verified each target to have
anomalous gold geochemistry and confirmed potential for the
discovery of gold mineralization in these areas.
ALEXANDER PROPERTY AT RED LAKE,
ONTARIO
Conquest also holds the Alexander Gold Property located
immediately east of Newmont Goldcorp's Red Lake and Campbell mines in the heart of
the Red Lake Gold Camp and on the important "Mine Trend" regional
structure. Conquest's property is almost entirely surrounded by
Newmont Goldcorp's land holdings.
On November 25, 2019, Newmont
Goldcorp announced that it had agreed to sell the Red Lake complex to Evolution Mining Limited,
a leading growth-focused Australian gold producer which operates
five mines in Australia. Evolution has committed to invest
US$50 million in exploration at
Red Lake over the first three-year
period. Evolution will pay Newmont $20
million for each one million ounces of new gold resources
added to the existing Red Lake
resource base over a fifteen-year period.
The Goldcorp Evolution Red Lake complex is situated in the
eastern part of the Red Lake Greenstone Belt. The western
boundary of Conquest's Alexander Property is located adjacent to
the Red Lake gold mine and
approximately 500 meters east of the Balmer headframe and adjacent
to Goldcorp's Aviation zone exploration target area.
The Aviation zone comprises folded Balmer Assemblage basalt,
which is a significant host to the high-grade gold mineralization
throughout the Red Lake mine, and
is present in drill holes on Conquest's Alexander Property. The Red
Lake Mine Trend stratigraphy strikes northwest to southeast through
Conquest's patented claim group where Conquest's previous drilling
on the Alexander property reported gold grades of up to 12.67 g/t
over 1 metre.
Qualified Person:
Paul Smith P. Geo. (NS) Senior
Geologist, directs the Company's explorations programs and is the
Company's Qualified Person for the purposes of National Instrument
43-101 and has approved the technical disclosures within this News
Release.
ABOUT CONQUEST
Conquest Resources Limited, incorporated in 1945, is a mineral
exploration company that is engaged in the exploration of mineral
properties in Ontario. The
Company's principal exploration target is gold.
Conquest holds a 100% interest in the Golden Rose property at
Emerald Lake, located
approximately 65 kilometres northeast of Sudbury, Ontario. The former Golden Rose
Gold Mine is located deep within the regionally large, unexplained
Emerald Lake (Temagami) Anomaly which closely resembles the
magnetic signature of the adjacent Sudbury Basin.
Conquest also holds the Alexander Gold Property located
immediately east of Goldcorp's Red
Lake and Campbell mines in the heart of the Red Lake Gold
Camp on the important "Mine Trend" regional structure. Conquest's
property is almost entirely surrounded by Goldcorp's (Evolution
Mining Limited) land holdings.
In addition, Conquest owns a 100% interest in the Smith Lake
Gold Property which consists of six (6) patented claims and 181
staked mining claims to the north, west and south of the former
Renabie Gold Mine in Rennie
Township in northern Ontario that had reported production of over
1,000,000 ounces of gold.
After closing of the private placement Conquest now has
126,973,348 shares outstanding.
Forward-looking statements.
This news release may include certain "forward-looking
statements". All statements other than statements of historical
fact, included in this release, including, without limitation,
statements regarding potential mineralization, resources and
reserves, exploration results, and future plans and objectives of
Conquest, are forward-looking statements that involve various risks
and uncertainties. There can be no assurance that such statements
will prove to be accurate and actual results and future events
could differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ
materially from Conquest's expectations are exploration risks
detailed herein and from time to time in the filings made by
Conquest with securities regulators. Neither the TSX Venture
Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or the accuracy of this
release.
SOURCE Conquest Resources Limited