Azincourt Uranium Announces Option Agreement to Acquire a 70% Interest in the East Preston Uranium Project in the Athabasca Basin.
1430 – 800 West Pender Street
Vancouver, BC V6C 2V6
www.azincourturanium.com
Azincourt Uranium Announces Option Agreement to Acquire a 70%
Interest in the East Preston Uranium Project in the Athabasca Basin.
Vancouver B.C., March 28, 2017 - AZINCOURT URANIUM INC. (“Azincourt” or the “Company”;
TSXV: AAZ) has entered into an agreement with Skyharbour Reso urces Ltd and Clean
Commodities Corp. (collectively the “Property Owner s”) whereby Azincourt may acquire an
undivided seventy per cent (70%) interest in the Pr operty Owners East Preston Project located in
the highly prospective western Athabasca basin (the “East Preston Project”).
East Preston Project highlights:
• Azincourt may acquire a 70% interest the Eastern portion of the Preston Project consisting of
approximately 25,329 contiguous hectares.
• The Preston Project is one of the largest tenure la nd positions in the Paterson Lake region and
currently consists of 121,148 hectares strategicall y located near NexGen Energy Ltd’s high-
grade Arrow deposit, Fission Uranium Corp’s Triple R deposit and AREVA/Cameco/Purepoint’s
joint venture (Spitfire).
• AREVA recently optioned 49,635 hectares of the Pres ton Project for up to $7.3 million in
exploration expenditures (see Skyharbour News Release dated March 9, 2017).
• Over CDN$2 million in exploration expenditures on the East Preston Project over the past three
years.
• Several high priority drill targets identified within multiple prospective exploration corridors
delineated through recent geophysics and ground evaluation.
Paul Reynolds, CEO of Azincourt commented, “We are excited to option the East Preston uranium
project. Azincourt now has two properties located i n the western part of the Athabasca Basin, one
of the most compelling high-grade uranium regions i n the world. Given the historical work that was
previously completed on this project, as well as it being adjacent to the Preston Project in which
AREVA Resources Canada can earn up to 70% through $ 7.3 million in exploration we feel we
have potential to extract significant value for our shareholders.”
Proposed Acquisition of the East Preston Project
Under the terms of an option agreement (the “Option Agreement”) entered into with the Property
Owners, Azincourt has been granted the option to ac quire a seventy per cent (70%) interest in the
East Preston Project by incurring an aggregate of C DN$2,500,000 of staged expenditures and
paying an aggregate of CDN$1,000,000 in staged cash payments as follows:
Date
Consideration
Work Obligation
On execution of Option Agreement $150,000 Nil
On or before March 27, 2018 $150,000 $250,000
On or before March 27, 2019 $300,000 $750,000
On or before March 27, 2020 $400,000 $1,500,000
TOTAL $1,000,000 $2,500,000
Additionally Azincourt has agreed to issue to the P roperty Owners an aggregate of 4,500,000
common shares upon receipt of regulatory approval t o the Option Agreement. These common
shares will be subject to a restriction on resale f or a period of approximately one year from their
date of issuance.
There is an underlying 2% NSR on commercial product ion from the East Preston Project and
AREVA Resources Canada will retain a Right of First Refusal on the any future proposed sale of
East Preston.
The parties’ obligations to close the Option Agreem ent are subject to the satisfaction of the usual
conditions precedent including the receipt of all n ecessary approvals of the TSX Venture
Exchange.
Azincourt has agreed, subject to TSX Venture Exchan ge acceptance, to the payment of a finder’s
fee to an arms length third party for introducing Azincourt to the Property Owner’s.
About the East Preston Project
The significant potential of the western Athabasca Basin has been highlighted by recent
discoveries in the area by NexGen Energy (Arrow), F ission Uranium (Triple R) and a joint venture
consisting of Cameco Corp., AREVA Resources Canada Inc. and Purepoint Uranium Group Inc.
(Spitfire). In excess of $4.7 million in expenditur es on the Preston Project have been incurred to
date, including over $2.0 million on the East Prest on Project. Exploration on East Preston has
consisted of ground gravity, airborne and ground el ectromagnetics, radon, soil, silt, biogeochem,
lake sediment, and geological mapping surveys, as w ell as an exploratory drill program (discussed
below). Several high priority drill target areas as sociated with multiple prospective exploration
corridors (see above map) have been successfully de lineated on the East Preston Project through
this methodical, multi-phased exploration initiativ e, which has culminated in an extensive,
proprietary geological database for the East Preston Project area.
In March 2014, Skyharbour and Clean Commodities com menced an inaugural diamond-drilling
program on the East Preston Project. Three initial target areas, out of a growing target base were
selected for drilling based on encouraging fieldwor k results and coincident anomalies. This drill
campaign represented the first modern-day drill exp loration program on the East Preston Project
and consisted of approximately 1,500 metres of dril ling in seven holes. The majority of these
holes intersected broad, hydrothermally altered and reactivated, structural zones with several of
the holes returning elevated radioactivity and inte rsecting multiple graphitic units within sheared
and altered basement lithologies. The Property Owner’s technical team considered the se findings
in the early stages of the first drill program to b e a significant breakthrough towards locating
shallow uranium mineralization.
The Company will provide a detailed follow up news release summarizing the proposed work
program on the East Preston Project once determined.
Qualified Person
The technical information in this news release has been prepared in accordance with the Canadian
regulatory requirements set out in National Instrum ent 43- 101 and reviewed on behalf of the
company by Ted O’Connor, P.Geo. a director of Azinc ourt Uranium Corp., as well as a qualified
person.
About Azincourt Uranium Inc.
Azincourt Uranium Inc. is a Canadian based resource company specializing in the strategic
acquisition, exploration and development of uranium properties based out of Vancouver, British
Columbia. The Company’s Patterson Lake North Prope rty (“PLN”), also located in the western
Athabasca Basin, lies adjacent and to the north of the Patterson Lake South property (Arrow
deposit), owned by Fission Uranium Corp. The compa ny owns a 10% working interest in PLN and
Fission 3.0 owns a 90% interest. In addition, the Company is currently evaluating additional
uranium properties to acquire or joint venture.
ON BEHALF OF THE BOARD OF AZINCOURT URANIUM INC.
“Paul Reynolds”
Paul Reynolds, CEO
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 accuracy of this release.
This press release includes “forward-looking statem ents” that are subject to a number of assumptions, risks
and uncertainties, many of which are beyond the con trol of Azincourt. Investors are cautioned that an y such
statements are not guarantees of future performance and that actual results or developments may differ
materially from those projected in the forward-look ing statements. Specifically, there is no assuranc e the
Company will be able to exercise the option or acquire any interest in the East Preston Project.
For further information please contact: Paul Reynolds|Tel:604-638-8063| [email protected]