Vatic Qualifies FOR Graduation to Tier 2 of the TSX Venture Exchange, Closes Financing
VATIC VENTURES CORP.
VATIC VENTURES CORP.
1400-1040 WEST GEORGIA STREET
VANCOUVER, BC V6E 4H1, CANADA
EMAIL: [email protected]
TEL: 604-307-8745
VATIC QUALIFIES FOR GRADUATION TO TIER 2 OF THE TSX VENTURE
EXCHANGE, CLOSES FINANCING
Vancouver, B.C., April 20, 2022 – Vatic Ventures Corp. (the "Company" or "Vatic") (NEX:
VCV.H; FRA: V8V3) is pleased to announce that it has received approval from the TSX Venture
Exchange (the “Exchange”) to graduate to the TSX Venture Exchange as a Tier 2 Mining Issuer
by way of a fundamental acquisition. The Company has entered into an option agreement (the
“Hansen Property Agreement”) to acquire up to a 100% interest in the Hansen propert y.
Additionally, and in order to meet Exchange Continued Listing requirements, the Company will
be conducting a private placement financing for aggregate proceeds of up to $600,000.
Effective at the open of trading on April 22, 2022, the Company’s listing will transfer from the
NEX Board of the Exchange to the TSX Venture Board with trading symbol VCV.V
Hansen Property
Summary
Vatic has an option to acquire a 100% interest in a gold exploration property known as the Hansen
prospect located in the Chibougamau area of northern Quebec, which consists of 20 contiguous
mining claims representing a total area of 1,113.98 hectares is a pproximately 15 kilometers
southeast of the Chapais-Opemiska Mine Complex (Springer, Perry and Cooke Copper -Gold
mines). The Property is located in the northeast corner of the Matagami-Chibougamau Greenstone
Belt of the Abitibi Sub province of the Archean Superior Structural Province. The geology is
dominated by massive and pillowed mafic to intermediate lava flows of the Obatogamau
Formation.
The Property is underlain by andesitic volcanic and altered rocks containing iron carbonate, pyrite,
graphite and micro gabbro. The most prominent structural features in the area of the Property are
northwest trending faults and shear zones along which the historic Hansen drilling programs
intersected gold values. These structural elements provide the dominant structural control hosting
most of the mineralized zones on the property. Gold mineralization and quartz veining on the
property is associated with these northwest structural elements.
Previous stripping and drilling exploration programs delineated a mineralized zone (Hansen Zone)
15 meters wide over a strike length of 250 meters. The Hansen Zone was evaluated with the deepest
hole intersecting the zone at a depth of 175 meters. Past and recent mineral exploration programs
on the property have outlined favorabl e geological environments for high grade gold
mineralization represented by surface showings and diamond drilling results.
Historic Hansen Prospect
The Hansen prospect is a gold prospect that was discovered in 1952, located at GPS: 519630 E-
5503278 N, NTS Map sheet 32G/10. It is a vein type deposit, marked by a mineralized zone
measuring 250 meters in length and up to 15 meters in width. It is known to exist from the surface
down to a vertical depth of 175 meters and is oriented at N150° with a steep dip towards the
southwest.
Gold mineralization is associated with altered iron carbonatized rocks associated with northwest-
southeast oriented shear zones. Mineralization is composed of visible gold in smoky quartz veins
parallel to the shear and pyrite disseminated in the iron carbonate alteration zone, often within a
graphitic envelope. Mineralization is associated with northwest-southeast trending shear structures
of varying widths to 15 meters containing ankerite alteration zones.
Gold assay results from surface sampling and diamond drilling showed exceptional results such as
a grab sample of 112.5 g/t Au by Almar Mining Corp. (Quebec Gov. Assessment Files GM.04836).
Prospector Larry Desgagné reported surface grab samples of 33.25 g/t Au, 34.92 g/t Au, 31.63 g/t
Au, 33.25 g/t Au, and 12.04 g/t Au in 2008. He also reported intersections of 12.8 g/t Au over 1.05
meters, 7.94 g/t Au over 1.05 meters and 75.29 g/t Au across 0.3 meters from a small diamond
drill program (Quebec Gov. Assessment Files GM.64102).
The Company has filed a NI 43-101 Technical Report on the Property which can be found on the
Company's SEDAR page (NI 43-101 Technical Report: Hansen Property, Brongniart Township,
Eeyou Istchee - Baie James Territory, Quebec, Canada, NTS 32G10, January 24, 2022, Mitchell
E. Lavery P.Geo.).
Hansen Option Agreement Terms
On September 22, 2021, the Company announced that it had entered into an option agreement with
Shadow Ventures Corp. (“Shadow”) to acquire a gold exploration property known as the Hansen
prospect located in the Chibougamau area of northern Quebec (the “Property”).
Shadow acquired the right to acquire the Property from Fayz Yacoub and Ramy Yacoub (the
“Underlying Optionors”) pursuant an agreement dated October 1, 2020, an amending agreement
dated April 8, 2021, and a second amending agreement dated August 9, 2021, a third amending
agreement dated August 30, 2021, a fourth amending agreement dated October 1, 2021, and a fifth
amending agreement dated October 31, 2021 (together, the “Underlying Option Agreement”).
Vatic has agreed, pursuant to its option agreement with Shadow (the “Vatic Option Agreement”)
to option the rights and obligations from Shadow as provided for in the Underlying Option
Agreement by satisfying the requirements of the Underlying Option Agreement and by providing
Shadow with additional consideration.
In order to satisfy the requirements of the Underlying Option Agreement and the Vatic Option
Agreement the Company will issue the shares, make the cash payments and complete the
exploration expenditures as follows:
Shares
a) At the option of the Company either issue 500,000 shares or issue such number of shares
equal to Cdn$100,000 (based on the 10 day volume weighted average price of the
Company’s shares prior to October 1, 2021) to the Underlying Optionors;
b) On closing issue 7,000,000 shares which will be issued pro rata to the shareholders of
Shadow;
c) On the date that a National Instrument 43-101 Technical Report on the Property is
submitted to the Exchange at the option of the Company either issue an additional 500,000
shares or such number of shares equal to Cdn$100,000 (based on the 10 day volume
weighted average price of the Company’s shares prior to the date of issuance ) to the
Underlying Optionors.
d) On or before October 1, 2022 a further 750,000 shares to the Underlying Optionors;
e) On or before October 1, 2023 a further 1,000,000 shares to the Underlying Optionors; and
f) On the declaration of proven reserves supported by a National Instrument 43-101 Technical
Report reserve calculation report that Shadow deems economically feasible to continue
developing the Property a further 500,000 shares to the Underlying Optionors.
Cash
a) $40,000 on closing to Shadow;
b) $25,000 paid October 6, 2021, with the balance of $15,000 payable on receipt of regulatory
approval to the Underlying Optionors;
c) $45,000 on October 1, 2022 to the Underlying Optionors; and
d) $50,000 on October 1, 2023 to the Underlying Optionors.
Expenditures
a) $50,000 has been spent to March 31, 2022;
b) A further $200,000 on or before October 31, 2022; and
c) A further $500,000 on or before October 31, 2023.
Private Placement
The Company has received Exchange approval to close its private placement financing (see
February 24, 2022 news release) and will now issue 3,050,000 $0.20 units, each Unit being
comprised of 1 common share of the Company and one half of a common share purchase warrant
(the “Warrants”), with each full Warrant being exercisable for an additional common share of the
Company at $0.30 for 24 months, for aggregate gross proceeds of $610,000. In connection with
the Financing the Company is paying finders fees in cash and broker warrants in accordance with
the policies of the Exchange. All securities issued pursuant to the Financing will be subject to a 4
month hold period. The issuance of the Units and payment of any finder’s fees are subject to the
receipt of all regulatory approvals.
Qualified Person – The technical content in this release has been reviewed and approved by
Mitchell E. Lavery, P.Geo, who is a Qualified Person as defined by National Instrument 43-101,
Standards of Disclosure for Mineral Projects. The Company's QP has not verified the technical
and scientific information from neighboring and/or established projects and has relied on the
information provided on the individual corporations’ websites.
ABOUT VATIC VENTURES CORP.
Vatic has an option to acquire a 100% interest in a gold exploration property known as the Hansen
prospect located in the Chibougamau area of northern Quebec, which consists of 20 contiguous
mining claims representing a total area of 1,113.98 hectares is approximately 15 kilometers
southeast of the Chapais-Opemiska Mine Complex (Springer, Perry and Cooke Copper -Gold
mines).
ON BEHALF OF THE BOARD OF DIRECTORS OF VATIC VENTURES CORP.
“Loren Currie”
Loren Currie
CEO & Director
604-307-8745
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.