Berkwood acquires additional surface graphite properties.
2200 – 1250 Rene Levesque Blvd. Montreal QC H3B 4W8
Phone: (438) 469-0705
2410 – 610 Granville Street Vancouver BC V6C 3T3
Phone: (604) 343-7740
Email: [email protected]
Website: www.berkwoodresources.com
Berkwood acquires additional surface graphite properties.
September 10, 2019, VANCOUVER, B.C. Berkwood Resources Ltd. (TSX-V: BKR, FSE: BK2, WKN:
A110N3) (“Berkwood” or the “Company”) is pleased to announce that it has acquired additional ground adjacent
to its Lac Guéret South project as it has determined that a long- term graphite production strategy is best served by
evaluating multiple proximally located bedded graphite deposits (comparable to its centrally located Zone 1 project)
to feed a future, centrally located processing facility. The model is amenable to graphite production from multiple
shallow, low strip ratio open pit mining locations surrounding the Company’s existing proj ect.
To advance the current project model the Company has acquired six new blocks of claims and has further assessed
the historic sampling of known graphite exposure on ground currently held. The review isolated a number of high
priority targets, some of which have returned high grade samples during previous work by the SOQUEM - QUINTO
joint venture, Esbec, Mason Graphite, and Focus Graphite. Concurrent with the acquisition, an ongoing field sampling
campaign will immediately sample selected areas of the newly acquired tenement.
The newly acquired land title comprises six (6) selected groups of claims consisting of 58 claims covering 3,116Ha.
Berkwood holds a 100% interest in the properties, following their acquisition from 1215616 BC Ltd., a Company held
by Contigo Resources Ltd (“Cont igo”) and Graeme Sewell (“Sewell”, together, “the Vendors ”). These six groups of
claims occur either directly adjacent to or within a few kilometers of Berkwood’s existing claims, and each has either
known graphite showings or geological extensions of known graphite bearing formations over which geophysical
conductive anomalies have been surveyed.
Consideration for the acquisition of the new claims comprises the payment to the Vendors of $20 and 1,950,000
common shares of Berkwood, wherein $10 and 450,000 shares are paid to Contigo and $10 and 1,500,000 shares a re
paid to Sewell.
The ongoing sampling and shallow geophysics program will focus on high priority targets on the newly acquired claim
blocks with immediate effect. Among the targets is Zone 06, where previously reported surface samples of high grade
graphite (maximum of 41.1% Cgr in a single sample) were recorded by previous workers. The target zone locations
being prospected are ranked on the strength of airborne geophysical anomalies (2003 regional GeoTEM time domain
EM survey and 2012 airborne magnetics flown by government ), proximity to the core Zone 1 project, a nd ease of
access to each location.
The current program accesses the projects using existing roads and forest trails, and excludes further access
development as part of the present program.
Lac Guéret South Property, Quebec
Lac Guéret South is located in Cote Nord, Quebec, a three hour drive from Baie -Comeau in an area of very good
infrastructure. The Project directly borders Mason Graphite’s (TSX -LLG) advanced Lac Guéret Project to the
South. With a market capitalisation of ove r $40 million Mason owns one of the largest high grade graphite deposits
in the world and is planning on building a new graphite mine and processing plant.
Lac Guéret South’s Zone 1
Two distinct electromagnetic conductors appear to occur over a two kilometer l ength and 50 meters to 600 meters in
width as defined by airborne EM geophysics (see the Berkwood news release dated February 10, 2015). The western
2
part of this zone was further defined by ground VLF and EM surveys: four VLF and 22 contiguous PhiSpy EM
conductors have been detected over an apparent 800 meters length and up to a 300 meters width. This western area is
now recognised to comprise a significant graphite zone interlayered within the hinge of a complex fold. The apparent
fold limbs thin to some 50 meters in width further to the east.
Four separate drill programs have been executed on the western extent of Berkwood’s Zone 1 Graphite Body for a
total of 45 holes and 6,091.7 m completed between August 2017 and December 2018. One hole of 6.1 m was
incorrectly collared and did not intersect graphite. The Company intersected visual Graphite in every other hole drilled
(44), with significant Cgr (Carbon as graphite) intercepts being observed in 41 holes. These programs have provided
the data and assays for completion and announcement of an in-pit constrained resource totalling 1,755,300 tonnes of
indicated resources at 17.00 % Cgr and 1,526,400 tonnes in inferred resources at 16.39 % Cgr (refer NR of June 16th,
2019).
Tom Yingling, President and CEO states, “Berkwood is in the process of demonstrating a viable conceptual hub
resource location at its Zone 1, Lac Guéret South prospect location. The coarse nature of the naturally occurring
graphite, and the compelling reported resource , has stimulated our determination to rapidly locate and evaluate
certain nearby zones of Zone 1 lookalike graphite occurrences. By acquiring property which hosts additional known
surface-exposed graphite proximal to our existing ground, we substantially increase the number of prospects that
could support our hub-and-spoke mining feed model, which envisions an integrated graphite production scenario that
depends upon shallow production from multiple podiform deposits . The model offers maximum optionality in
production scheduling and extended resource life to build upon our recently reported Zone 1 resource.”
Edward Lyons PGeo (BC, QC, NL) is a Qualified Person under the definition of Canadian National Instrument 43 -
101, and has approved the technical information in this news release. Ed has worked extensively on the Lac Guéret
Property, now owned by Mason, and neighbouring graphite properties since 2000.
About the Company: Berkwood is engaged in exploration for the commodities that enable the modern revolution in
essential technologies. These technologies are dependent upon the ethical mining and supply of naturally occurring
elements an d minerals that enhance the performance of energy storage systems and permit the development and
miniaturization of new electronics and structural components for the new suite of innovative tools. The Company is
led by a team with collectively over 100 years experience and whose members have been involved with the discovery
of several producing mines.
On Behalf of the Board of Directors
Berkwood Resources Ltd.
‘Thomas Yingling’
President, CEO & Director
FOR MORE INFORMATION, PLEASE CONTACT:
Investor Relations:
[email protected] or 1-778-945-2935 www.berkwoodresources.com
Disclaimer for Forward-Looking Information:
Certain statements in this release are forward-looking statements, which reflect the expectations of management. Forward-looking statements
consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the
future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from
those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if
they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management’s current views and are
based on certain expectations, estimates and assumptions, which may prove to be incorrect.
Neither 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.