XXIX Closes Acquisition of 100% Ownership of Roger Gold Project in Chibougamau, Quebec
XXIX Closes Acquisition of 100% Ownership of
Roger Gold Project in Chibougamau, Quebec
Toronto, Ontario--(Newsfile Corp. - December 30, 2024) - XXIX Metal Corp. (TSXV: XXIX)
(QCCUF:OTCQB) ("XXIX" or the "Company") is pleased to announce that it has closed its arm's length
acquisition of the remaining 50% ownership interest in the Roger Gold-Copper Project ("Roger" or the
"Project"), located in the prolific Chibougamau mining district of Quebec. XXIX is acquiring the interest
in the Project pursuant to option to purchase agreement dated October 18, 2023, as amended
December 12, 2024 (the "Agreement") between the Company and SOQUEM Inc., a subsidiary of
Investissement Québec ("SOQUEM").
Roger Project Highlights
Roger spans 987-hectares and is located 5km from the historic mining center of Chibougamau, Quebec.
It is easily accessible via all-season road, and has access to power. Roger is an advanced-stage project
and has gone through multiple drill campaigns totaling 58,000 metres.
Additionally, underground
exploration in 1988 included 1,177 metres of development, 1,433 metres of underground drilling and
over 1,000 metres of chip sampling. The Project features an existing NI 43-101 compliant mineral
resource estimate, completed in August 2018.
In August 2023, the Company released favourable and
encouraging metallurgical results from the Project based on metallurgical compatibility with Opemiska.
Roger neighbours major deposits, including Northern Superior's (NSUP.V) Croteau Est deposit
immediately to the north, which hosts a 43-101 compliant inferred resource of 640,000 ounces of gold.
Additionally, Roger is also contiguous with Dore Copper Mining Corp. (CMDC.V) (Cygnus Metals'
(CY5.AX)) Gwillim project, which is contiguous to the west.
Link to Roger Location Map
Link to QC Copper and Gold Webinar - Strategic Acquisition of Roger Project
Roger Project Resources:
Classification
Contained AuEq (oz)
AuEq (g/t)
AuEq Cut-off (g/t)
Tonnes (kt)
Au (g/t)
Contained Au (oz)
Indicated
333,000
0.95
0.45
10,900
0.85
297,000
Inferred
202,000
0.96
0.45
6,569
0.75
159,000
Table 1) 2018 Roger mineral resource estimate.
This resource estimate is constrained in a conceptual open pit shell. The 2018 updated mineral resource
estimate was prepared by GéoPointCom of Val-d'Or, Quebec. At a cut-off grade of 0.45 g/t gold
equivalent, the Indicated Resource is estimated at 10,900,000 metric tonnes at a grade of 0.85 g/t of
gold, 0.80 g/t of silver and 0.06% of copper for a total of 333,000 ounces of gold-equivalent, while the
Inferred Resource is estimated at 6,569,000 metric tonnes at a grade of 0.75 g/t of gold, 1.18 g/t of silver
and 0.11% of copper for a total of 202,000 ounces of gold equivalent. The following metal prices were
used in the calculation of gold-equivalent: 1,240 US$ for Au (ounce), 16.528 US$ for Ag (ounce) and
6.549 US$ Cu (Kg). The Technical Report is available at
www.sedar.ca
.
Development Optionality
Owning 100% of Roger provides the Company optionality to incorporate Roger into the future
development plans of Opemiska, or to conversely develop Roger as a standalone project, given its
strategic location, favourable geology and significant resource upside.
Terms of the Agreement
Pursuant to the Agreement, XXIX has paid initial compensation to SOQUEM of $75,000. Pursuant to the
Agreement, to maintain the option to acquire the interest in the Project, XXIX will have to make further
payments to SOQUEM as follows:
$450,000 in common shares in the capital of XXIX ("
Common Shares
") on or before the first
anniversary of the closing date;
$425,000 in Common Shares on or before the second anniversary of the closing date;
$375,000 in Common Shares on or before the third anniversary of the closing date; and
$350,000 in Common Shares on or before the fourth anniversary of the closing date.
The number of Common Shares to be issued to SOQUEM will be calculated on the basis of the higher
of: (i) an issue price per Common Share equal to the volume-weighted average price for the 10 days
preceding the issue date, subject to the maximum discount permitted under the policies of the TSX
Venture Exchange or; (ii) $0.05 per Common Share. In no event shall the amount of Common Shares to
be issued to SOQUEM under the Agreement exceed 17,777,778 Common Shares (the "Share Cap"). In
the event that the Share Cap is reached, the Issuer shall make all remaining payments owed to
SOQUEM in cash.
In connection with the Agreement, the Company has also granted SOQUEM a 2.0% net smelter royalty in
respect of the Project (the "NSR"). The Issuer may repurchase 1% of the NSR by paying $1,500,000 to
SOQUEM in cash. The Issuer may re-purchase the remaining 1% by paying $3,000,000 to SOQUEM in
cash.
Cooke-Robitaille Amending Agreement
Additionally, XXIX is pleased to announce that it entered into and has closed an amending agreement
(the "Amending Agreement") to the option agreement dated February 26, 2020 (the "Option
Agreement") between the Company and 2736-1179 Quebec Inc., Ovalbay Geological Services Inc. and
Melissa Darveau (together, the "Optioners"), under which XXIX holds the option to acquire a 100%
interest in the Cooke-Robitaille property located immediately east of the town of Chapais, Quebec (the
"Property"). Pursuant to the Amending Agreement, the Company has extended the date by which XXIX
must complete its final $1,500,000 in work obligations on the Property.
As consideration for entering into the Amending Agreement, the Company has issued a total of 500,000
common shares in the capital of the Company ("Common Shares") to the Optioner. As a result of the
Amending Agreement, the new date by which XXIX must complete the final $1,500,000 in work
obligations on the Property is July 14, 2026.
There are no finders fees payable in connection with the Amending Agreement. The Common Shares
issued to the Optioners are subject a four-month and one-day hold period, in accordance with applicable
securities laws.
QP Statement
The technical information contained in this news release has been reviewed and approved by Charles
Beaudry, P.Geo and géo., Director and Vice President Exploration for XXIX Metal Corp., a Qualified
Person, as defined in "National Instrument 43-101, Standards of Disclosure for Mineral Projects."
About XXIX Metal Corp.
XXIX is advancing its Opemiska and Thierry Copper projects, two significant Canadian copper assets.
The Opemiska Project, Canada's highest-grade copper resource, spans 13,000 hectares in Quebec's
Chapais-Chibougamau region, with strong infrastructure and nearby access to the Horne Smelter. A
January 2024 resource update reported a 16% increase in contained Copper Equivalent (CuEq) and a
10% grade boost, including 87.3 million tonnes at 0.93% CuEq (Measured & Indicated) and additional
Out of Pit resources. The Thierry Project hosts two past-producing open pits that transitioned to
underground mining-producing 5.8Mt @ 1.13% Cu, 0.14% Ni between 1976 - 1982 by UMEX Inc.
Historically, copper concentrate was shipped to the Horne Smelter in Rouyn-Noranda, QC.
For further information, please contact:
Stephen Stewart, Chief Executive Officer
Phone: 416.644.1567
Email:
Forward-Looking Statements
This news release contains certain forward-looking information. All statements included herein, other
than statements of historical fact, are forward-looking information and such information involves various
risks and uncertainties. In particular, this news release contains forward-looking information in relation to:
the anticipated benefits of the acquisition of the Project to XXIX and its shareholders; and the ability of
XXIX to satisfy the future conditions of the Agreement to maintain the option in the Property. There can
be no assurance that such information will prove to be accurate, and actual results and future events
could differ materially from those anticipated in such information. This forward-looking information
reflects the Company's current beliefs and is based on information currently available to the Company
and on assumptions the Company believes are reasonable. These assumptions include, but are not
limited to: the current share price of the XXIX Shares; the Company's current and initial understanding
and analysis of its projects; the Company's general and administrative costs remaining constant; market
acceptance of the Company's business model, goals and approach; and the feasibility and
reasonableness of conducting exploration on and developing any of the Company's projects. Forward-
looking information is subject to known and unknown risks, uncertainties and other factors which may
cause the actual results, level of activity, performance or achievements of the Company to be materially
different from those expressed or implied by such forward-looking information. Such risks and other
factors may include, but are not limited to: there is no certainty that work programs will result in significant
or successful exploration and development of the Company's properties; uncertainty as to the actual
results of exploration and development or operational activities; uncertainty as to the availability and
terms of future financing on acceptable terms; uncertainty as to timely availability of permits and other
governmental approvals; the Company may not be able to comply with its ongoing obligations regarding
its properties; the early stage development of the Company and its projects; general business,
economic, competitive, political and social uncertainties; capital market conditions and market prices for
securities, junior market securities and mining exploration company securities; commodity prices; the
actual results of current exploration and development or operational activities; competition; changes in
project parameters as plans continue to be refined; accidents and other risks inherent in the mining
industry; lack of insurance; delay or failure to receive board or regulatory approvals; changes in
legislation, including environmental legislation or income tax legislation, affecting the Company;
conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. A
description of additional risk factors which may cause actual results to differ materially from forward-
looking information can be found in the Company's disclosure documents on the SEDAR+ website at
www.sedarplus.ca
. Although the Company has attempted to identify important factors that could cause
actual results to differ materially from those contained in forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should
not place undue reliance on forward-looking information. The Company does not undertake to update
any forward-looking information except in accordance with applicable securities laws.
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
news release.
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https://www.newsfilecorp.com/release/235458