Solstice Provides Update on Royalty and Property Portfolio Enhances Lithium Asset Package with Two New Projects
Solstice Provides Update on Royalty and Property Portfolio
Enhances Lithium Asset Package with Two New Projects
VANCOUVER, British Columbia, May 31, 2022 - Solstice Gold Corp. (TSXV: SGC) (“Solstice”, “we”, “our” or the “Company”)
is pleased to provide an update on the Company’s royalty and property portfolio with assets located in Ontario and
Quebec. The portfolio was acquired in October 2021 as part of the Company’s strategy of value creation for shareholders,
to decrease the Company’s financial risk and to potentially generate funding for our exploration activities at our core
properties. This acquisition also resulted in our Red Lake Extension (RLX) project in the Red Lake Camp being 100% owned
and royalty free.
The potential cash inflows from option payments are expected to be approximately $2.4 million over the next 30 months
and will partially offset certain corporate costs over that timeframe. In addition, shareholders get exposure to potential
windfall gains from new discoveries by project partners as well as exposure to multiple “hot” markets such as the current
global interest in Ontario lithium (Li), other rare earth element (REE) assets and copper (Cu) exploration properties.
Today we are also announcing the option to acquire the exciting Raven-Furniss Lithium project as well as the formation of
the highly prospective Lightspeed Lithium project, both located near Thunder Bay, Ontario. These 2 projects bring our
100% owned Lithium portfolio to 13 distinct assets.
Mike Timmins, Solstice CEO stated, “ Solstice is unique in that we have an extensive, cash generating gold and battery
metal portfolio that, to date, has demonstrated the ability to fund certain areas of our business. We have harvested over
a million dollars of cash and share payments since its acquisition and added two new gold royalties. The Company continues
to develop new plans to generate increased value for shareholders by the potential monetization of certain assets as larger
property packages that may include the available gold exploration properties in Quebec or our current stand-alone royalty
suite. We have recently added two exciting new lithium projects to enhance that area of the portfolio, the Raven-Furniss
and Lightspeed Lithium projects. The Company expects to take advantage of the current interest in lithium by leveraging
this asset package in future deals.”
Recent Portfolio Highlights
Since the acquisition in October 2021:
▪ Solstice has received ~$1.2 million in option payments (cash and shares) from the portfolio
▪ Two Ontario gold exploration property packages were sold creating two new stand-alone gold royalties
▪ One Ontario copper (Cu) exploration property was optioned to a newly formed exploration company
▪ Four Ontario lithium properties were optioned to an international lithium explorer
Royalty and Property Asset Summary
▪ 82 royalties and exploration assets located in Ontario and Quebec
▪ 43 currently optioned to partners generate cash inflows and on exercise, new royalties
▪ 22 properties in Ontario and Quebec available for purchase or option earn-in partnerships
▪ 10 fully earned stand-alone royalties (9 gold and 1 Li)
▪ Asset split of 75% Gold and 25% Green Metals (Cu, Li and REE)
Option Agreement to Acquire the Raven-Furniss Lithium Property in Ontario
The Company announces that it has entered into an Option Agreement dated May 30, 2022, with Gravel Ridge Resources
Ltd. (“Gravel”), 1544230 Ontario Inc. (“1544230”) and 2873454 Ontario Inc. (“2873454” and together with Gravel and
1544230, the “Optionors”) to purchase an option (the “Option”) to acquire the Optionors 100% interest in certain mining
claims known as the Raven-Furniss Project (the “Claims”).
In consideration for the grant of the Option, Solstic e has agreed to pay the Optionor s $24,200 in cash (the “Initial Cash
Payment”) and issue 450,000 Common Shares (the “Initial Share Payment”). To exercise the Option, the Company must
make the following cash payments to the Optionor s: (i) $24,000 by May 30, 2023; (ii) $30,000 by May 30, 2024; and (iii)
$45,000 by May 30, 2025. Following exercise of the Option, the Claims will be subject to a 1.5% NSR royalty in favour of
the Optionors, 0.75% of which may be repurchased by Solstice for $1,000,000 any time after the exercise of the Option.
No finder’s fees are payable in connection with the transaction and the issuance of the Initial Share Payment is subject to
approval of the TSX Venture Exchange.
Solstice Forms Lightspeed Lithium Project
The Company has recently staked mining claims totalling approximately 17.1km2 in the Thunder Bay mining district based
on an internal review of the battery metal potential and the activity of other lithium explorers in the region . The newly
acquired property is located approximately 27 km north of Ignace in NW Ontario and covers an area of previous
government mapping in 1974 1 which identified ten pegmatite occurrences from lakeshore mapping. Subsequent lake
sediment sampling in 2003 by the OGS 2 in the Ignace area (total samples = 2214) show that, of the 48 lake sediment
samples from the Lightspeed property, 79% of these have Li contents which exceed the 90th percentile (11.6 -35.7 ppm Li)
of the entire sample (N=2214). Furthermore, 31% of the 48 samples exceed the 98th percentile of data for the entire survey
(21.8-35.7ppm Li). The elements rubidium (Rb) and cesium (Cs), which are typically associated with known Li-pegmatites
in the region are also strongly elevated in lake sediment samples from the staked claims. More details on this project will
be provided in the coming months.
1 Sage, R.P., Breaks, F.W., Stott, G.M., Williams, G.M. and Atkinson, S. 1974. Operation Ignace-Armstrong, Ignace-Graham Sheet,
Districts of Thunder Bay, Kenora and Rainy River; Ontario Div. of Mines, Preliminary Map P.964.
2MRD 118 Lake Sediment Geochemical data from the Ignace Area, Northwestern Ontario; by J.E. Jackson, 2003.
About Solstice Gold Corp.
Solstice is an exploration company with quality, district-scale gold projects in established mining regions of Canada. Our
180 km2 Red Lake Extension (RLX) and New Frontier projects are located at the northwestern extension of the prolific Red
Lake Camp in Ontario and approximately 45km from the Red Lake Mine Complex owned by Evolution Mining. The
Company is funded for phase one drilling at RLX. Our newly formed 322km2 Atikokan Gold Project is approximately 23km
from the Hammond Reef Gold Project owned by Agnico Eagle Mines Limited and is fully funded for a robust field program
in 2022. Our Qaiqtuq Gold Project which covers 886 km2 with certain other rights covering an adjacent 683 km 2, hosts a
10 km2 high grade gold boulder field, is fully permitted and hosts multiple drill-ready targets. Qaiqtuq is located in Nunavut,
only 26 km from Rankin Inlet and approximately 7 km from the Meliadine Gold Mine owned by Agnico Eagle Mines Limited.
An extensive gold and battery metal royalty and property portfolio of over 80 assets was purchased in October 2021 .
Approximately $1.2 million in value and two new royalties have been generated since the acquisition.
Solstice is committed to responsible exploration and development in the communities in which we work. For more details
on our core properties or the recently acquire d royalty and property portfolio, please see visit our website at
www.solsticegold.com.
David Adamson was a co -award winner for the discovery of Battle North Gold Corporation's Bateman Gold deposit and
was instrumental in the acquisition of many of the district properties in the Battle North portfolio during his successful 16
years of exploration in the Red Lake.
Sandy Barham, M.Sc., P.Geo., Senior Geologist, is the Qualified Person as defined by NI 43-101 standards responsible for
reviewing and approving the technical disclosures of this news release.
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.
On Behalf of Solstice Gold Corp.
Mike Timmins, Chief Executive Officer
For further information on Solstice Gold Corp., please visit our website at www.solsticegold.com or contact:
Phone: (604) 283-7234
Forward-Looking Statements and Additional Cautionary Language
This news release contains certain forward -looking statements (“FLS”) including, but not limited to the potential cash
inflows that are expected from the portfolio, the ability of the portfolio to continue to fund certain areas of our business
and the Company’s plans to potentially monetize certain asset packages and leverage its lithium assets in Ontario. FLS can
often be identified by forward -looking words such as “approximate or (~)”, “emerging”, “goal”, “plan”, “intent”,
“estimate”, “expects”, “potential”, “scheduled”, “may” and “will” or similar words suggesting future outcomes or other
expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. There
is also no guarantee that continued explora tion at Solstice exploration projects, all of which are at an early stage of
exploration, will lead to the discovery of an economic gold deposit. Factors that could cause actual results to differ
materially from any FLS include, but are not limited to, un foreseen delays related to drilling, the future impacts of the
COVID 19 pandemic and government response to such pandemic, the ability of the Company to continue exploration at its
projects during the pandemic and the risk of future lack of access to the p rojects as a result thereof, delays in obtaining or failures to
obtain required TSXV, governmental, environmental or other project approvals, inability to locate source rocks, inflation, changes in
exchange rates, fluctuations in commodity prices, delays i n the development of projects, regulatory approvals and other factors. FLS
are subject to risks, uncertainties and other factors that could cause actual results to differ materially from expected resu lts.
Potential shareholders and prospective investors sh ould be aware that these statements are subject to known and unknown risks,
uncertainties and other factors that could cause actual results to differ materially from those suggested by the FLS. Shareho lders are
cautioned not to place undue reliance on FLS. By their nature FLS involve numerous assumptions, inherent risks and uncertainties,
both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will
not occur. Solstice undertakes no obligation to update publicly or otherwise revise any FLS whether as a result of new information,
future events or other such factors which affect this information, except as required by law.
This news release contains information with respect to adjacen t or other mineral properties in respect of which the Company has no
interest or rights to explore or mine or acquire. Readers are cautioned that mineral deposits on adjacent or similar properti es are not
indicative of mineral deposits on the Company’s pro perties, nor is there certainty that Solstice’s projects will contain economic
mineralization. This news release mentions other companies that are unrelated to Solstice, and this does not imply any agreem ents,
partnerships, or rights with respect to any of these companies or their properties other than where explicitly defined. Past
performance is no guarantee of future performance, and all investors are urged to consult their investment professionals befo re
making an investment decision.