EGR Exploration Agrees to Option Out the Urban Barry Gold Property, Quebec
Trading Symbol (TSX-V: EGR)
410-325 Howe Street
Vancouver, British Columbia
Canada V6C 1Z7
Tel: (604) 687 3520
Fax: 1-888-889-4874
www.EGRExploration.com
EGR Exploration Agrees to Option Out the Urban Barry Gold Property, Quebec
Vancouver, BC, December 19, 2023 – EGR Exploration Ltd. (TSX-V:EGR) (“EGR” or
the “Company”) is pleased to announce that it has entered into an option agreement to
sell (the "Option Agreement") the Urban Barry Gold Property in Quebec to Harvest Gold
Corp. (TSXV: HVG) (“Harvest Gold”). The transaction is pending TSX Venture
Exchange (the “TSXV”) approval.
Highlights of the Agreement
Option and Sale of 122 claims and 6,879 ha, Urban Barry Gold Property located
in Urban Barry/Windfall area Quebec.
EGR will receive a total of $90,000 cash, 1,750,000 common shares of Harvest
Gold, and a 2.0% NSR Royalty. Harvest Gold is also required to spend a
minimum of $300,000 in exploration expenditures in the first two years.
EGR will receive an additional 1 million common shares upon Harvest Gold
announcing a 43-101 compliant resource estimate of 1 million ounces of gold in
the inferred category.
Value creation for EGR shareholders with discovery potential in a Quebec
focused exploration company.
CEO Comments
Daniel Rodriguez, CEO and Director of EGR comments, “This is an accretive
transaction for our shareholders. We now are shareholder in Harvest Gold, a Quebec
focused gold exploration company that will move the Urban Barry property forward. This
mining district is heating up with recent transactions, led by the 50/50 JV of Osisko’ s
Windfall property with Gold Fields Limited and infrastructure announcements with
Hydro-Quebec. Harvest Gold, whose management team is motivated, experienced, and
very strong technically, is more than capable of making a new discovery in the Abitibi
region. We look forward to their success with both their Quebec acquisitions.”
About Urban Barry Property
The Urban Barry property is in the Ralleau and Wilson townships of the James Bay
region of Quebec in the Abitibi Greenstone Belt, which is host to the Windfall gold
deposit that holds nearly 4 million ounces of gold (indicated and inferred resources).*
The Urban Barry property encompasses an area of approximately 6,900 hectares and
directly adjoins Osisko Mining Corp/Gold Field’s (50/50 JV) Windfall property, with the
Langlois base metal-silver-gold mine located approximately 30 km to the northwest.
*https://www.osiskomining.com/projects/windfall
From November 2019 to March 2020, EGR flew an airborne drone magnetic
geophysical survey over the property. Results from this survey confirm the presence of
the northwest extension of rock units and fault structures hosting the nearby Windfall
gold deposit.
Transaction Detail Summary
1) Harvest Gold will pay a total of $90,000 in cash payable in three tranches:
• First cash payment of $15,000 upon signing of the Option Agreement and TSXV
approval
• Second cash payment of $30,000 on/before July 2, 2024
• Third cash payment of $45,000 on/before July 2, 2025
2) Harvest Gold to issue 2,750,000 shares in three tranches:
• First share issuance of 1,000,000 shares upon updated claims status with
Ministère des ressources naturelles et des forêts
• Second share issuance of 500,000 shares on December 15, 2024
• Third share issuance of 250,000 shares on December 15, 2025
• Final share issuance of 1,000,000 shares if there is an NI 43-101 inferred
resource estimate of 1,000,000 oz AuEq or greater.
3) EGR will retain a 2.0% NSR Royalty on the Urban Barry Property subject to a 1.0%
(50% of Royalty) buyback for $1,000,000.
4) Harvest Gold will expend $100,000 on the property within one year of the date of
TSXV approval and an additional $200,000 on or before the second anniversary of
TSXV approval of the Option Agreement.
5) Harvest Gold is to complete two years of work commitments prior to returning any
claims.
Qualified Person Statement
The disclosure of technical or scientific information in this press release has been
reviewed and approved by Phillip Terrence Coyle, P.Geo. (OGQ 2079) for Harvest
Gold. Mr. Coyle serves as a “Qualified Person” as defined in National Instrument 43-
101, Standards of Disclosure for Mineral Projects of the Canadian Securities
Administrators. A number of mineral resources or significant occurrences disclosed
herein relate to nearby properties owned by other companies, and the data presented
have been extracted from these companies’ press releases and websites. A Qualified
Person has been unable to verify this information from the adjacent properties, and
such results are not necessarily indicative of potential quantities or grades of
mineralization on the Company’s properties.
About EGR Exploration Ltd.
EGR Exploration Ltd. is exploring for gold in the Detour-Fenelon Gold Trend
approximately 300 kilometres north of Timmins, Ontario. EGR’s 40,255 hectare Detour
West gold project is contiguous to Agnico Eagle’s property which contains the Detour
Lake Gold Mine and is approximately 20 kilometres from the mine, which is also hosted
in the Abitibi Greenstone Belt.
For further information contact:
Daniel Rodriguez
CEO & Director
Phone: (604) 353-4080
Email: [email protected]
Forward‐Looking Statement (Safe Harbor Statement): This press release contains forward-
looking statements within the meaning of applicable securities laws. The use of any of the words
"anticipate", "plan", "continue", "expect", "estimate", "objective", "may", "will", "project", "should",
"predict", "potential" and similar expressions are intended to identify forward-looking statements.
In particular, this press release contains forward-looking statements concerning the Company's
exploration plans. Although the Company believes that the expectations and assumptions on
which the forward-looking statements are based are reasonable, undue reliance should not be
placed on the forward-looking statements because the Company cannot give any assurance
that they will prove correct. Since forward-looking statements address future events and
conditions, they involve inherent assumptions, risks and uncertainties. Actual results could differ
materially from those currently anticipated due to a number of assumptions, factors and risks.
These assumptions and risks include, but are not limited to, assumptions and risks associated
with conditions in the equity financing markets, and assumptions and risks regarding receipt of
regulatory and shareholder approvals. Management has provided the above summary of risks
and assumptions related to forward-looking statements in this press release in order to provide
readers with a more comprehensive perspective on the Company's future operations. The
Company's actual results, performance or achievement could differ materially from those
expressed in, or implied by, these forward-looking statements and, accordingly, no assurance
can be given that any of the events anticipated by the forward-looking statements will transpire
or occur, or if any of them do so, what benefits the Company will derive from them. These
forward-looking statements are made as of the date of this press release, and, other than as
required by applicable securities laws, the Company disclaims any intent or obligation to update
publicly any forward-looking statements, whether as a result of new information, future events or
results or otherwise. 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.