Pacific Empire Signs Letter of Intent to Option the Pinnacle Copper-Gold Project
Pacific Empire Signs Letter of Intent to Option
the Pinnacle Copper-Gold Project
August 26, 2020 - Vancouver, BC, Canada - Pacific Empire Minerals Corp. (TSXV: PEMC) (OTCQB:
PEMSF) (“Pacific Empire”, “PEMC” or the “Company”) is pleased to announce it has signed a non-binding
letter of intent (the “LOI”) to grant 1111 Acquisition Corp. (“1111 Acquisition”) an exclusive option (the
“Option”) to earn up to a 70% interest in the Company’s 14,040-hectare Pinnacle Copper-Gold Project (the
“Project”) in north -central British Columbia, Canada. PEMC and 1111 Acquisition intend to execute a
definitive agreement documenting the terms of the LOI (the “Definitive Agreement”) as soon as practicable
following the date hereof.
Under the terms of the LOI, 1111 Acquisitio n can earn a 70% interest by completing $5,700,000 in
exploration expenditures on the Project , paying PEMC an aggregate of CDN$375,000 in cash payments
and issuing 3,500,000 common shares to PEMC by the fourth anniversary of the signing of the Definitive
Agreement. Following the exercise of the Option , PEMC will retain a 30% free -carried interest in the
Project up until the date that 1111 Acquisition publishes a NI 43 -101 compliant Pre -Feasibility Study
(“PFS”) on the Project. Following completion of the PFS, PEMC and 1111 Acquisition will form a joint
venture with 1111 Acquisition holding a 70% initial interest and PEMC holding a 30% initial interest . If
the total cumulative common shares granted to PEMC is less than 5% of the total issued an d outstanding
common shares of 1111 Acquisition as of the date of the PFS, 1111 Acquisition will issue to PEMC such
number of common shares which will bring PEMC’s ownership level to 5% of the total issued and
outstanding common shares of 1111 Acquisition.
“Our hybrid business model gives shareholders the opportunity to have partner-funded drilling in addition
to PEMC-funded drilling, resulting in multiple ongoing drill programs and opportunities for discovery ,”
commented Brad Peters , President and CEO of Pacific Empire. “ PEMC continues to pursue additional
opportunities for partner -funded drilling on several projects while we advance our Jean Marie, Weedon
and Worldstock projects. Drilling at Pinnacle in 1991 intersected intriguing copper and gold values at the
Aplite Creek Zone while partner-funded and PEMC -funded drilling over the last 6 years revealed
anomalous gold values over a wide area at the Elbow Zone, in addition to anomalous copper values . We
are excited to have a very strong technical group advance the project and look forward to upcoming
diamond drilling at Pinnacle in 2021.”
About the Pinnacle Copper-Gold Project
The Project is located in Central British Columbia, 50 km to the west of Centerra Gold’s Mt. Milligan Mine
and 20 km to the north of the Company’s Jean Marie Copper-Gold-Silver-Molybdenum Project.
Since 2014, the Project has seen over $2,000,000 in partner-funded exploration. During 2014, a total of 44
line-km of Induced Polarization (“IP”) surveys were completed over three target areas by previous partner
Oz Exploration Pty Ltd. ("OZE"). This program identified three are as of anomalous chargeability, two of
which (Elbow and Sooner) were prioritized for follow-up diamond drill testing in 2015. In 2015, the Elbow
and Sooner target areas were tested with diamond drilling by OZE with six holes totaling 2,493 m.
Additional drilling was completed during 2016 by ML Gold at the Elbow Zone , with three diamond drill
holes totaling 1,107 m. Similar to the 2015 drill results, anomalous gold intercepts were associated with
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sericite-biotite alteration at the Elbow Zone. Following the co mpletion of the 2016 drilling program,
historical IP data that was not released publicly was purchased and amalgamated with the existing IP dataset
from the 2014 surveys.
From 2014 through 2017, partner-funded exploration resulted in a total of 14 diamond drill holes and four
IP surveys on the Project. At the Elbow Zone, five of the six diamond drill holes were sent for laboratory
analysis and all five of these holes returned anomalous gold, highlighted by 94 metres grading 0.34 g/t gold
in DD15ELB001. At the Sooner Zone, diamond drilling in 2015 encountered broad intervals of anomalous
copper.
Figure 1 - Pinnacle Copper-Gold Project
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Qualified Person
Rory Ritchie, P.Geo., Vice President of Exploration for the Company, is a qualified person as defined by
National Instrument 43-101 – Standards of Disclosure for Mineral Projects and has approved the scientific
and technical information and disclosure contained in this news release.
About Pacific Empire Minerals Corp.
PEMC is an exploration company based in Vancouver, British Columbia, that employs a "hybrid prospect
generator" business model and trades on the TSX Venture Exchange under the symbol PEMC and on the
OTCQB Markets under the symbol PEMSF.
By integrating the project generator business model with low-cost reverse circulation drilling, the company
intends to leverage its portfolio by identifying, and focusing on, the highest quality projects for partnerships
and advancement.
ON BEHALF OF THE BOARD,
“Brad Peters”
President and Chief Executive Officer
Pacific Empire Minerals Corp.
Tel: +1-604-356-6246
www.pemcorp.ca
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.
Forward-Looking Statements
Information set forth in this news release may involve forward-looking statements under applicable
securities laws. Forward -looking statements are statements that relate to future, not past, events. In this
context, forward-looking statements often address expected future business and financial performance, and
often contain words such as "anticipate", "believe", "plan", "estimate", "expect", and "intend", statements
that an action or event "may", "might", "could", "should", or "will" be taken or occur, or other similar
expressions. All statements, other than s tatements of historical fact, included herein including, without
limitation: PEMC and 1111 Acquisition intend to execute a definitive agreement documenting the terms of
the LOI (the “Definitive Agreement”) as soon as practicable following the date hereof ; following the
exercise of the Option, PEMC will retain a 30% free -carried interest in the Project up until the date that
1111 Acquisition publishes a NI 43-101 compliant Pre-Feasibility Study (“PFS”) on the Project; following
completion of the PFS, PEMC and 1111 Acquisition will form a joint venture with 1111 Acquisition holding
a 70% initial interest and PEMC holding a 30% initial interest; and, if the total cumulative common shares
granted to PEMC is less than 5% of the total issued and outstanding common shares of 1111 Acquisition
as of the date of the PFS, 1111 Acquisition will issue to PEMC such number of common shares which will
bring PEMC’s ownership level to 5% of the total issued and outstanding common shares of 1111
Acquisition, are forward-looking statements. By their nature, forward -looking statements involve known
and unknown risks, uncertainties and other factors which may cause our actual results, performance or
achievements, or other future events, to be materially different from any fu ture results, performance or
achievements expressed or implied by such forward -looking statements. Such factors include, among
others, the following risks: the need for additional financing; operational risks associated with mineral
exploration; fluctuations in commodity prices; title matters; environmental liability claims and insurance;
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reliance on key personnel; the potential for conflicts of interest among certain officers, directors or
promoters with certain other projects; the absence of dividends; competition; dilution; the volatility of our
common share price and volume and the additional risks identified the management discussion and analysis
section of our interim and most recent annual financial statement or other reports and filings with the TSX
Venture Exchange and applicable Canadian securities regulations. Forward-looking statements are made
based on management's beliefs, estimates and opinions on the date that statements are made, and the
Company undertakes no obligation to update forward -looking statements if these beliefs, estimates and
opinions or other circumstances should change, except as required by applicable securities laws. Investors
are cautioned against attributing undue certainty to forward-looking statements.