VANCOUVER, British Columbia, Oct. 19, 2023 (GLOBE NEWSWIRE) -- AZINCOURT ENERGY CORP. (“Azincourt” or the “Company”) (TSX.V: AAZ, OTCQB: AZURF), is pleased to announce that it has entered into a mineral property purchase and sale agreement (the “Purchase Agreement”), dated effective October 18, 2023 with Atlantis Battery Metals Corp. (“Atlantis”), pursuant to which the Company will acquire additional ground adjacent to the Company’s Big Hill Lithium Project, located in southwestern Newfoundland, Canada (the “Acquisition”).
The newly acquired ground consists of 2 mineral licences, 035707M and 035708M, consisting of 153 and 151 claims, respectively, with each mineral claim covering 25 hectares. The combined lands package for these two licences covers a total of 7,600 hectares, which will double the existing Big Hill project from 7,500 hectares to 15,100 hectares. The new licences lie approximately 25km eastward and 6.5km south of the Benton/Sokoman Kraken Lithium discovery.
Three high quality targets have been located on the newly acquired licences. These targets include, the NE-trending, dike system, the Moly Zone, and the Connoire Bay Brook Zone.
Pursuant to the terms of the Purchase Agreement, the aggregate purchase price payable by Azincourt to Atlantis consists of 5,000,000 common shares of the Company (the “Consideration Shares”). The Company will also be issuing 500,000 common shares of the Company to an arms-length third-party as a finder’s fee in connection with the Acquisition (the “Finder Shares”). The Company and Atlantis are at arms-length. Upon issuance, the Consideration Shares and the Finder Shares will be subject to a four month hold period as prescribed by applicable securities laws. Completion of the Acquisition remains subject to the approval of the TSX Venture Exchange.
“We’re pleased we will be able to double the size of Big Hill,” said president and CEO, Alex Klenman. “With the recent discovery of the previously unidentified pegmatite field we felt it was a good time to increase the size of the project ground. This is a significant exploration opportunity, in the right neighborhood, with compelling geological attributes. We’re excited to move forward with exploration plans and will announce the next phase of work shortly,” continued Mr. Klenman.
The Company recently announced the discovery of a significant pegmatite field at Big Hill which spans for ~400m trending NNE (see the Company’s previous news release dated September 26, 2023). The Big Hill claims are underexplored for lithium, and thanks to the highly impactful Kraken find, the Company feels the area is prospective for additional discoveries. The project has size, numerous priority targets, and the potential for many more. With year-round access, this project gives Azincourt the ability to be active throughout the year.
Image 1: Azincourt’s Big Hill Lithium Project, with additional licenses in red, Newfoundland
All of the known target areas have potential for spodumene-bearing pegmatites near the marginal areas of the Burgeo Granite Intrusive Suite, including gold mineralization like Marathon Gold’s Valentine Lake deposit located north of the Hermitage Flexure.
A recommended next phase exploration program (Phase I) would include any and all of the following: (a) additional helicopter supported prospecting, mapping, and sampling, (b) rapid analytical field analyses (portable XRF/spectrometer), and a Phase II program consisting of (c) till sampling for spodumene where cover masks the bedrock, (d) high-resolution drone-based geophysics including, but not limited to, radiometric and lidar surveys, (e) a high-resolution drone photographic survey, and (f) targeted trenching where lithium-bearing pegmatites are verified, followed by a Phase II limited diamond drill program (1,500 meters).
Figure 2: Selected photos from Big Hill Lithium Project area, (a) large, silicified pegmatite boulder (b, c, d) in situ quartz-tourmaline±pyrite veins, (e) brecciated quartz vein, (f) silicified pegmatite boulder.
Based on the Newfoundland mineral occurrence database, W, Mo, Pb, F, Zn, Cu, Au, Ag, Sn, Ba, Bi, and U mineralization is common throughout the project region and may also be conducive for LCT pegmatite formation. The discovery of spodumene-bearing pegmatites at the Kraken prospect opens the potential of more widespread lithium pegmatite mineralization throughout the area.
The regional presence of widespread mineralization, the discovery of the Kraken Li deposit, and the general lack of historical exploration provides an opportunity to find new mineralization. The five mineral licenses of the Big Hill project have potential for lithium, molybdenum, fluorite, tin, tungsten, uranium, tantalum, and other rare metals.
About the Big Hill Lithium Project
The Big Hill Lithium Project is a 15,100-hectare Lithium-Cesium-Tantalum (“LCT”) exploration property located in southwestern Newfoundland, Canada, along the south side of the Hermitage Flexure, approximately five kilometres south of the Benton/Sokoman JV partnership (“the Alliance”) discovery of the Kraken Lithium Pegmatite Field (1.04% Li2O over 15.23m, 8.4m of 0.95% Li2O, and 5.5m of 1.16% Li2O*). The Benton/Sokoman JV partnership has also discovered the cesium-tantalum-rubidium-lithium Hydra Dyke which is located 12 kilometres northeast of the Kraken Lithium Pegmatite Field. Channel samples returned results as high as 8.76% Cs2O, 0.41% Li2O, 0.025% Ta2O5, and 0.33% Rb2O over 1.20m*.
The Kraken Lithium Pegmatite discovery features numerous granitic dykes and unmapped pegmatites in a variety of rock types with a strike length up to 40 kilometres in length. The Big Hill Lithium Property is host primarily in the Burgeo granite with large enclaves of older mafic paragneiss. The boundary between the two properties is marked by the Hermitage Flexure, which in part appears to be locally segmented by sub-parallel fault segments, and the intrusive contact between the Burgeo granite and older stratigraphy. Similar structural controls are recognized within the global tectonic boundary stretching from the Carolina Tin-Spodumene Belt, through Avalonia in Nova Scotia, to Newfoundland, and then on to Laurentia (Leinster) on the east side of the Atlantic Ocean.
At the Big Hill Lithium Project numerous granite dykes can be seen cutting the Burgeo granite. Coarse-grained pegmatite dykes greater than 2 meters wide and 20 meters long occur south of the property and are anticipated to be present on the Big Hill exploration licences.
Recent preliminary prospecting at Big Hill has identified four known target areas, based on extrapolation of bedrock geology, structural disaggregation of stratigraphic blocks, and apparent folding and late shear faulting. Similar structural elements are observed in the Kraken Lithium Pegmatite field although host rocks differ. These targets are known as the River, Road, MK, and Ridge Targets and will be the focus the initial exploration.
The area around the Big Hill Lithium Project has seen extensive mineral exploration over the past several decades. The Peter Snout mineral occurrences immediately east of the Kraken Lithium Pegmatite discovery and the White Bear River area further to the northeast have seen exploration for many years for polymetallic mineralization, but not for lithium until 2021.
* Sokoman Minerals Corp., news release March 28, 2023
Qualified Person
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed on behalf of the company by Paul K. Smith, a Qualified Person as defined by National Instrument 43-101.
About Azincourt Energy Corp.
Azincourt is a Canadian-based resource company specializing in the strategic acquisition, exploration, and development of alternative energy/fuel projects, including uranium, lithium, and other critical clean energy elements. The Company is currently active at its joint venture East Preston uranium project located in the Athabasca Basin, Saskatchewan, and the Big Hill lithium project, located in southwestern Newfoundland.
ON BEHALF OF THE BOARD OF AZINCOURT ENERGY CORP.
“Alex Klenman”
Alex Klenman, President & CEO
For further information please contact:
Alex Klenman, President & CEO
Tel: 604-638-8063
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Azincourt Energy Corp.
1430 – 800 West Pender Street
Vancouver, BC V6C 2V6
www.azincourtenergy.com
Cautionary Statement Regarding Forward-Looking Statements
This news release contains “forward-looking statements” or “forward-looking information” (collectively, “forward-looking statements”) within the meaning of applicable securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as of the date of this news release. Forward-looking statements include, but are not limited to, statements regarding the Acquisition, and the Company's business and plans, including with respect to completing the Acquisition, carrying out exploration activities in respect of its Big Hill Lithium Project, timing of the Company’s exploration programs, the Company’s next phase of exploration, additional discoveries and mineralization, and estimates of market conditions.
Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those expressed or implied by forward-looking statements contained herein. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Certain important factors that could cause actual results, performance or achievements to differ materially from those in the forward-looking statements are highlighted in the “Risks and Uncertainties” in the Company’s management discussion and analysis for the fiscal year ended September 30, 2022, dated January 30, 2023, and also include the risks that the Acquisition does not complete as contemplated, or at all; that the Company does not complete any further acquisitions; that the Company does not carry out exploration activities in respect of its mineral project as planned (or at all); and that the Company may not be able to carry out its business plans as expected.
Forward-looking statements are based upon a number of estimates and assumptions that, while considered reasonable by the Company at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies that may cause the Company’s actual financial results, performance, or achievements to be materially different from those expressed or implied herein. Some of the material factors or assumptions used to develop forward-looking statements include, without limitation: the future price of minerals; anticipated costs and the Company’s ability to raise additional capital if and when necessary; volatility in the market price of the Company’s securities; future sales of the Company’s securities; the Company’s ability to carry on exploration and development activities; the success of exploration, development and operations activities; the timing and results of drilling programs; the discovery of mineral resources on the Company’s mineral properties; the costs of operating and exploration expenditures; the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous populations; availability of increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); uncertainties related to title to mineral properties; assessments by taxation authorities; fluctuations in general macroeconomic conditions.
The forward-looking statements contained in this news release are expressly qualified by this cautionary statement. Any forward-looking statements and the assumptions made with respect thereto are made as of the date of this news release and, accordingly, are subject to change after such date. The Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.
Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/062f0dee-9cd2-44e0-837f-3564314f0ca4
https://www.globenewswire.com/NewsRoom/AttachmentNg/5fe895b4-ee1d-4717-ab6f-64d425267e2a
