AngloGold Ashanti Designates Four Inflection Resources Projects for Phase II of Exploration Earn-in Agreement
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AngloGold Ashanti Designates Four Inflection Resources
Projects for Phase II of Exploration Earn-in Agreement
Vancouver, British Columbia, March 25, 202 5: Inflection Resources Ltd. (CSE: AUCU /
OTCQB: AUCUF / FSE: 5VJ) (the "Company" or "Inflection") is pleased to announce that
AngloGold Ashanti Australia Limited ( “AngloGold Ashanti”) (NYSE: AU / JSE: ANG) has
completed Phase I of the Exploration Earn-in Agreement (the “Earn-In Agreement”) announced
on June 14, 2023 by investing AUD$10,000,000 in the Company’s portfolio of copper-gold
projects in New South Wales, Australia. AngloGold Ashanti has designated a total of four copper-
gold projects to proceed to Phase II of the Earn-In Agreement.
Summary Highlights:
• AngloGold Ashanti has completed Phase I of the Exploration Earn-in Agreement and has
elected to designate four projects to advance to Phase II. The four Designated Projects are
Duck Creek, Trangie, Crooked Creek and Nyngan (Figure 1). Duck Creek was previously
announced as a Phase II project on May 2, 2024;
• Under Phase II, AngloGold Ashanti may earn a 51% interest in each of the four Designated
Projects by funding exploration expenditures of AUD$7,000,000 on each Designated Project
over three years;
• Under Phase III, AngloGold Ashanti may earn a 65% interest in each Designated Project by
sole funding exploration expenditures of an additional AUD$20,000,000 on each Designated
Project over two years;
• Under Phase IV, AngloGold Ashanti may earn an additional 10% interest in each Designated
Project by:
o Completing a Pre-Feasibility Study solely funded by AngloGold Ashanti within an
additional three-year period; and,
o Granting to Inflection, subject to existing underlying royalties, a 2% or 1% net smelter
return (“NSR”) royalty;
• All other projects previously included under Phase I of the Earn -in Agreement remain 100%
owned by Inflection, with AngloGold Ashanti relinquishing all previous rights;
• Following the completion of Phase I, AngloGold Ashanti has exercised its right to acquire a
9.9% equity position in the Company. Inflection will issue 11,133,399 common shares in the
capital of the Company to AngloGold Ashanti at a deemed price of C$0.808 per share; and,
• Phase II step-out drilling is now underway on the Trangie project. Drilling is following-up on
gold-copper mineralisation announced by the Company on February 4, 2025.
Alistair Waddell, Inflection’s President and CEO, states : “The completion of the Phase I
Agreement with AngloGold Ashanti is a major milestone for the Company . We are extremely
pleased that AngloGold Ashanti has selected four projects to advance to Phase II as this will
provide the necessary capital to drill and potentially develop these projects within the northern
extension of the Macquarie Arc. We also welcome AngloGold Ashanti as a new shareholder of
the Company and we look forward to continuing the discovery-focused partnership in New South
Wales. We are particularly excited about the current drilling on the Phase II Trangie project where
the Company recently reported highly encouraging drill results.”
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Figure 1: Map showing the location of the Inflection projects in New South Wales including the four Phase
II AngloGold Ashanti Designated Projects.
Table 1: Summary structure of the AngloGold Ashanti Earn-in Agreement
Notes:
• Completion of PFS (Pre-Feasibility Study) to include a minimum resource of two million ounces of
gold or gold-copper equivalent Measured and Indicated resources per project.
• All expenditure timelines can be accelerated.
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Trangie Project:
The Trangie project, which was the first project drilled by Inflection in 2020, exhibits a complex
arcuate zone of magnetite enrichment evident in aeromagnetic data. Recent Inflection drill hole
TRNDH023 drilled into an aeromagnetic high which intersected a significant zone of pyrite
chalcopyrite bearing quartz veinlets and wispy magnetite veins in biotite -actinolite altered
andesites and volcaniclastic sediments, typical of a calc -potassic porphyry-proximal alteration
zone (Inflection news release February 4, 2025). This hole reported assays of: 54.37m grading
0.37 g/t Au and 0.07% Cu from 194.63m ; 35.47m grading 0.40 g/t Au and 0.06% Cu from
259.53m; and 21.45m grading 0.22 g/t Au and 0.04% Cu from 346.00m. A follow up ground-
based gravity survey is currently underway to identify zones of low Bouguer Gravity suggestive
of potential intrusions at depth. Step-out drilling from hole TRNDH023 has commenced on
approximate 200m centres from the collar location with the goal of vectoring towards the core of
an intrusive related copper-gold system.
The Trangie project also contains the Myallmundi target. The Company previously completed a
series of drill holes on the Myallmundi target, testing an approximate 1.5 by 2.0-kilometre zone of
magnetite enrichment evident in aeromagnetic data. Drill holes (MYLDH014, MYLDH015,
MYLDH016 and MYLDH017) which extend over an approximate distance of ~1,400m intersected
chalcopyrite and molybdenite bearing quartz veins that locally exhibit K-feldspar selvages and are
suggestive of a porphyry -proximal environment ( Inflection news release October 11, 2023 ).
Additionally, these drill holes exhibit early biotite -magnetite-epidote ± K-feldspar alteration, also
indicative of a porphyry -proximal environment, which has been overprinted by silica -sericite
alteration.
Duck Creek Project:
At the Duck Creek project, several broadly spaced drill holes into a large arcuate zone of
magnetite enrichment evident in the aeromagnetic data intersected a large zone (2.7 x 1.6 km) of
inner propylitic alteration that re turned highly anomalous arsenic values. These very broadly
spaced holes indicate that an inner propylitic alteration system and zone of highly elevated arsenic
is open at depth between holes DCKDH020 and DCKDH025 and will be the focus of the Company
going forward (Inflection news releases October 3, 2024 and February 4, 2025). Several of the
alteration footprints reported from other world -class porphyry copper -gold deposits in the
Macquarie Arc, such as Cadia and Northparkes, have similar geochemical characteristics and
could potentially fit within this zone (Wilson, A. J., 2003 and Wood, D., 2012a & b).
Crooked Creek Project:
The Crooked Creek project displays several conspicuou s aeromagnetic highs 1.3 x 0.9 km in
diameter which represent compelling drill targets. These magnetic features have never been drill
tested and are being covered by the ground -based gravity survey. The plan is to drill test the
targets once the analysis of this geophysical data is complete.
Nyngan Project:
Inflection drilling into the Nyngan project intersected a discreet 1.3 x 0.6 km diameter zone of
magnetite enrichment, including a hornblende bearing gabbro with interstitial chalcopyrite. This
unit strongly indicates that intrusions in this project are oxidised and hydrous , typical of a fertile
porphyry intrusive complex. There are several other compelling aeromagnetic anomalies in this
project that require drill testing, once data from the ground -based gravity survey has been
compiled and analysed.
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Further details of the of Earn-in Agreement:
Phase II:
AngloGold Ashanti has elected to potentially earn a n initial 51% interest in four Designated
Projects individually by sole funding expenditures of AUD$7,000,000 on each project within 36
months. If AngloGold Ashanti elects not to complete the Phase II earn-in expenditure for a given
Designated Project, Inflection will retain 100% ownership of the project with no interest earned by
AngloGold Ashanti.
Phase III:
Upon completion of Phase II, AngloGold Ashanti may elect to earn an additional 14% interest in
each Designated Project individually, for a total 65% interest, by sole funding additional
expenditures of AUD$20,000,000 on each Designated Project within 24 months. If AngloGold
Ashanti initiates but does not complete Phase III, then its ownership interest in the Designated
Project will revert to 49%, which Inflection retains the right to purchase at a mutually agreed price
or for fair value if a price cannot be mutually agreed within a specified period.
Phase IV:
Upon completion of Phase III, AngloGold Ashanti retains an additional right to earn a further 10%
interest in each Designated Project, bringing its potential ownership interest to 75% , by
completing the following:
o Delivering to Inflection a Pre-Feasibility Study in accordance with the CIM Definition Standards
on Mineral Resources and Ore Reserves based on a minimum 2,000,000 ounces of gold or
gold-copper equivalent Measured and Indicated resources within 36 months after AngloGold
Ashanti provides notice to move to Phase IV; and,
o Granting to Inflection a 2% net smelter return (“ NSR”) royalty on the applicable Designated
Project; provided, however, that if the Designated Project has any existing underlying
royalties, Inflection will be granted a 1% NSR. AngloGold Ashanti will have the right to buy
back 0.5% of any 2% NSR and 0.25% of any 1% NSR in respect of all or a portion of the
respective Designated Project for fair value at any time.
AngloGold Ashanti Share Issuance:
Following completion of Phase I and investment of AUD$10,000,000 in the Company’s portfolio
of copper -gold projects, AngloGold Ashanti has exercised its right to acquire a 9.9% equity
position in the Company through the conversion of its Phase I Exploration Expenditures into
11,133,399 common shares of the Company at a deemed price of C$0.808 per share . The
securities will be subject to a statutory hold period of four months and one day . Subsequent to
the share issuance, the Company will have 112,458,569 common shares issued and outstanding
(119,283,569 common shares on a fully diluted basis).
About Inflection’s NSW Projects:
The Company is systematically exploring for large copper-gold and gold deposits in the northern
interpreted extension of the Macquarie Arc, part of the Lachlan Fold Belt in New South Wales.
The Macquarie Arc is Australia’s premier porphyry copper-gold province being host to Newmont
Mining’s Cadia deposits, Evolution Mining’s Northparkes and Cowal deposits plus numerous
exploration prospects including Boda, a discovery made by Alkane Resources.
The Company uses cost-effective mud-rotary drilling to cut through unmineralized post -mineral
sedimentary cover before transitioning to diamond core drilling once basement is reached . It is
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well documented that mineralized bodies elsewhere in the belt, in particular porphyry and intrusive
related systems, have large district -scale alteration and geochemical halos or footprints
surrounding them.
The Company typically completes a series of short diamond drill holes into bedrock rather than
just one or two deep and more expensive diamond drill holes. Multiple data points gained from
alteration and mineral geochemistry is then being used to vector additional deeper holes. This is
a proven exploration strategy in the covered segments of the Macquarie Arc having been directly
responsible for the discovery of the Northparkes and Cowal deposits.
Qualified Person and Sampling Quality Control:
The scientific and technical information contained in this news release has been reviewed and
approved by Mr. Carl Swensson (FAusIMM), a “Qualified Person” (“QP”) as defined in National
Instrument 43-101 – Standards of Disclosure for Mineral Projects.
Drilling is conducted using a truck -mounted multi-purpose drill rig. Mud rotary drilling is utilised
to drill through the cover sequence before transitioning to diamond drilling using NQ sized core at
the unconformity. Core is logged at the Company’s field office, photographed and marked before
being cut to the Company’s specified sample intervals. Half core samples are placed in bags with
internationally certified blanks and standards inserted. Samples are dispatched to ALS
Laboratories in Orange NSW, an accredited analytical laboratory meeting ISO/IEC 17025:2005
and ISO 9001:2015. Samples are prepared by crushing and grinding via ALS methods CRU-21
and PUL-32 respectively. The pulps are then assayed for 48 elements via ALS method ME-MS61
using a 25g sample after a four acid near total digest with an ICP-MS finish. Gold is assayed by
fire assay using ALS meth od Au-AA23 using a 30g sample charge and AAS finish. Laboratory
standards and QA -QC are monitored by the Company. Coarse rejects from the sample
preparation are subjected to spectral analysis.
References:
Wood, D., 2012a - Discovery of the Cadia deposits, NSW. Australia (Part 1): in SEG Newsletter,
Jan. 2012, No. 88 pp. 1, 13-18.
Wood, D., 2012b - Discovery of the Cadia deposits, NSW. Australia (Part 2): in SEG Newsletter,
Apr. 2012, No. 89 pp. 1, 17-22.
Wilson, A. J., 2003. The geology, genesis and exploration context of the Cadia gold -copper
porphyry deposits, New South Wales, Australia. Unpublished Ph.D. dissertation, University of
Tasmania, 320 p.
About Inflection Resources Ltd. Inflection is a copper -gold focused mineral exploration
company listed on the Canadian Securities Exchange under the symbol “AUCU”, on the OTCQB
under the symbol “AUCUF” and on the Frankfurt Stock Exchange under the symbol “5FJ”, with
projects in New South Wales, Australia. For more information, please visit the Company website
at www.inflectionresources.com.
About AngloGold Ashanti Plc. AngloGold Ashanti Plc is a global gold mining company with a
diverse, high -quality portfolio of operations, projects and exploration activities across eleven
countries and four continents. Headquartered in Denver, in the United States, AngloGold Ashanti
has its primary listing on the New York Stock Exchange and secondary listings in South Africa
and Ghana. For more information, please visit the company website at
www.anglogoldashanti.com.
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NewQuest Capital Group. Inflection is part of the NewQuest Capital Group which is an
entrepreneurial, discovery-driven investment group that builds value through the incubation and
financing of early -stage mineral exploration projects globally. Further information about
NewQuest can be found at www.nqcapitalgroup.com
On behalf of the Board of Directors
Alistair Waddell
President and CEO
For further information, please contact:
Brennan Zerb
Investor Relations Manager
+1 (778) 867-5016
Forward-Looking Statements: This news release includes certain forward -looking statements and
forward-looking information (collectively, "forward -looking statements") within the meaning of applicable
Canadian securities legislation. All statements, other than statements of historical fact, included herein
including, without limitation, statements regarding future exploration expenditures by AngloGold Ashanti ,
amount of drilling, commencement and cost of exploration programs in respect of the Company's proj ects
and mineral properties, AngloGold Ashanti’s anticipated funding of the Phase II Exploration Expenditures
and timing thereof, and the anticipated business plans and timing of future activities of the Company, are
forward-looking statements. Although the Company believes that such statements are reasonable, it can
give no assurance that such expectations will prove to be correct. Often, but not always, forward looking
information can be identified by words such as "pro forma", "plans", "expects", "may", "should", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "potential" or variations of such
words including negative variations thereof, and phrases that refer to certain actions, events or results that
may, could, would, might or will occur or be taken or achieved. Forward -looking statements involve known
and unknown risks, uncertainties and other factors which may cause the actual results, performance or
achievements of the Company to differ materially from any futur e results, performance or achievements
expressed or implied by the forward -looking statements. Such risks and other factors include, among
others, statements as to the anticipated business plans and timing of future activities of the Company,
including the Company's exploration plans. the proposed expenditures for exploration work thereon, the
ability of the Company to obtain sufficient financing to fund its business activities and plans, delays in
obtaining governmental and regulatory approvals (including of the Canadian Securities Exchange), permits
or financing, changes in laws, regulations and policies affecting mining operations, the Company's limited
operating history, currency fluctuations, title disputes or claims, environmental issues and liabilities, as well
as those factors discussed under the heading "Risk Factors" in the Company's prospectus dated June 12,
2020 and other filings of the Company with the Canadian Securities Authorities, copies of which can be
found under the Company's profile on the SEDAR+ website at www.sedarplus.ca. Readers are cautioned
not to place undue reliance on forward -looking statements. The Company undertakes no obligation to
update any of the forward-looking statements, except as otherwise required by law.