Vancouver, B.C., August 17, 2020. QX Metals Corp. (TSX-V: QX) (“QX Metals” or the “Company”) is pleased to announce it has signed a share exchange agreement with 1252265 B.C. Ltd., a private B.C. company (“Numberco”) and its shareholders, pursuant to which QX Metals will acquire all of the outstanding shares of Numberco and thereby acquire 100% of the Big Balds Gold project (“Big Balds”) which is located less than 10km west of the Bald Mountain Mine. Numberco holds Big Balds which is comprised of 210 lode mining claims on BLM tenure and is located within White Pine County, Nevada, USA.
In consideration of the acquisition of Numberco, the Company will issue 10,000,000 shares of the Company to the shareholders of Numberco on a pro rata basis. Completion of the acquisition of Numberco is subject to TSX Venture Exchange (“TSXV”) approval, and satisfaction of the closing conditions in the share exchange agreement.
Following the completion of the purchase of Numberco, Cherie Leeden will be appointed President, Chief Executive Officer and Director of the Company. At that time, Vince Sorace will step down as President & Chief Executive Officer of the Company, but will remain a director. The Big Balds property is subject to a 2% NSR, of which 1% is held by a company controlled by Ms. Leeden.
QX Metals Chairman, Craig Parry commented, “I am very pleased to announce the acquisition of the Big Balds project and welcome Cherie Leeden as the Company’s new CEO upon completion of the purchase of Numberco. This project represents an immense opportunity, and this is the first step in QX Metals becoming a North American gold focused exploration and development company. We are very excited to drill this never-before-drilled project which sits less than 10km west of Kinross’ Bald Mountain deposit.”
- Big Balds consists of three priority targets (Bald Eagle, Bald Badger & Bald Cougar)
- Located on the prolific Carlin and Bida gold trends
- Project is drill ready with targets based on compelling 3D inversion geophysical anomalies (gravity and magnetics) combined with highly anomalous arsenic at surface
- Targets are under cover and have never been previously drilled
- Less than10km west of Kinross’s Bald Mountain Operating Mine (300mt @ 0.6 g/t for 5.5. M Oz Au – as per Kinross Annual Report 2019)
This news release contains information with respect to adjacent mineral properties in Nevada, which the Company has no interest in or rights to explore. Readers are cautioned that information regarding gold mineralization on adjacent or similar properties is not necessarily indicative of the presence of gold mineralization on Big Balds.
Big Balds Priority Targets:
1. Bald Cougar: regional prospective structural trend identified via geophysical data that appears to connect to regional structures proximal to Bald Mountain Mine.
2. Bald Eagle: Undercover skarn type geophysical signature with geochemistry in soil samples.
3. Bald Badger: Structural target with outcropping sinter (elevated mercury and arsenic in soil samples)Figure 1. Regional Geology map depicting location of Big Balds (in black polygons).Figure 2. Regional Geochemical map depicting Arsenic anomalism.
Geophysics paves the way forward
Nevada is one of the most prolific gold provinces on the planet, having produced over 225 million ounces of gold to date. Most of Nevada is under cover; however, the majority of the drilling that has been conducted is where there is outcrop (no sand cover). This represents a large opportunity to explore for world class deposits under cover in a gold rich geological terrain that is also a mining friendly jurisdiction.
Detailed geophysical data supports northwest trending structural corridor “Bida Trend”, that controls intrusions and gold mineralization at Bald Mountain gold mine. Geophysics data allows for interpretation of what may lie under the pediment. High priority fault zones and interpreted intrusions have been identified and secured. Significant magnetic features within the proven Bida Trend sit under pediment cover, at intersection between Bida Trend and faults which represent near term drill targets, including NW faults that based on geophysical interpretation, appear to extend from Bald Mountain. These geophysical targets have received no attention due to cover yet there is strong potential for continuation of Bald Mountain plumbing system.
Detailed Gravity data can be used to predict depth of coverin Nevadan ‘basin/range’ country. Distinct N-S and NW-SE edges have been interpreted as prospective extensional fault zones. This is important because fault zones cutting Carlin host geology can be conduits for precious and base metal mineralization. The acquired Geophysics data has defined features warranting geochemical drilling. Several gravity highs located in areas of pediment cover possibly correspond to granitoids. These are of interest because the Bald Mountain gold mineralization is recognized as being intrusive associated. The systems are usually zones, with gold mineralization occurring proximal and base metal distal to the intrusion, which also aligns with the elevated base metal that is observed in soil samples proximal.Figure 3. Gravity THD summary imageFigure 4. Magnetics summary image with regional interpretation.Figure 5. Photo taken from within Bald Cougar, facing East towards Bald Mountain Mine in the hillside.
Appointment of Cherie Leeden as President, CEO and a director, on closing of the purchase of Numberco
Cherie Leeden is a proven Resources Executive with two decades of experience, including 10 years at public company board level. She has led businesses in senior positions at publicly traded companies as well as developed and built several successful resource focused start-ups. Cherie has experience at negotiating and executing win-win business transactions with a multitude of companies ranging from start-ups to Fortune 500 companies. Cherie is experienced in capital raising, mergers & acquisitions, and complex joint venture negotiations.
Cherie has extensive technical experience from exploration through to mine construction, across a range of commodities, and has managed projects and companies in the Americas, Africa and Australasia.
Cherie holds a Bachelor of Science in Applied Geology with Honours from the Western Australian School of Mines and is a member of the American Exploration and Mining Association, the Australian Institute of Geoscientists, Nevada Mineral Exploration Coalition, and the Geological Society of Nevada.
Cherie resides in Nevada, where she is a local Director of Hog Ranch Minerals Inc. for ASX listed Rex Minerals Ltd (ASX:RSM) which is advancing a 1.4 million ounce gold project in Nevada.
In conjunction with the foregoing changes, the Company proposes to change its name to “Gold Bull Resources Corp.” and has reserved the symbol “GBRC” with the TSXV. The Company will advise of the effective date of the name change, following its required filings with the TSXV.
Stock Option Grants
The Company proposes to grant an aggregate of 1,485,000 stock options to directors, officers and consultants, exercisable at $0.25 for a period of 5 years. Certain of the stock options may be subject to vesting requirements as determined by the Board of Directors.
Rory Kutluoglu, B.Sc, P.Geo, a “Qualified Person” as defined by National Instrument 43-101, has read and approved all technical and scientific information contained in this news release. Mr. Kutluoglu is the Company’s Vice President Exploration.
About QX Metals Corp.
QX Metals Corp. is a mineral exploration company that strives to make high-reward project acquisitions in regions with proven mineral wealth. The company is focused on precious metal projects located in top-tier mineral districts that contain significant historical production, existing mining infrastructure and an established mining culture.
President and CEO, QX Metals Corp.
For further information regarding QX Metals, please visit our website at www.qxmetals.ca.
Cautionary Note Regarding Forward-Looking Statements
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.
This news release contains certain statements that may be deemed “forward-looking statements” with respect to the Company within the meaning of applicable securities laws. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential”, “indicates”, “opportunity”, “possible” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although QX Metals believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, are subject to risks and uncertainties, and actual results or realities may differ materially from those in the forward-looking statements. Such material risks and uncertainties include, but are not limited to, the Company’s ability to raise sufficient capital to fund its obligations under its property agreements going forward, to maintain its mineral tenures and concessions in good standing, to explore and develop its projects, to repay its debt and for general working capital purposes; changes in economic conditions or financial markets; the inherent hazards associates with mineral exploration and mining operations, future prices of copper and other metals, changes in general economic conditions, accuracy of mineral resource and reserve estimates, the potential for new discoveries, the ability of the Company to obtain the necessary permits and consents required to explore, drill and develop the projects and if obtained, to obtain such permits and consents in a timely fashion relative to the Company’s plans and business objectives for the projects; the general ability of the Company to monetize its mineral resources; and changes in environmental and other laws or regulations that could have an impact on the Company’s operations, compliance with environmental laws and regulations, dependence on key management personnel and general competition in the mining industry. Forward-looking statements are based on the reasonable beliefs, estimates and opinions of the Company’s management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.