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VANCOUVER, British Columbia, Nov. 13, 2024 (GLOBE NEWSWIRE) -- AZINCOURT ENERGY CORP. (“Azincourt” or the “Company”) (TSX.V: AAZ, OTC: AZURF), is pleased to announce that it has begun historic data compilation on it’s recently acquired Snegamook uranium project, located in the Province of Newfoundland and Labrador.
The Project is strategically located to the southeast of Snegamook Lake within Labrador’s Central Mineral Belt and less than 1 km south of the Two Time Zone (Indicated and Inferred resource of 5.55 Mlb U3O8, June 2008)*, formerly held by Silver Spruce Resources Inc. as part of a larger land package, and consists of a mineral licence block comprised of 17 contiguous claims covering 423 hectares.
The Central Mineral Belt in Labrador also hosts Paladin Energy Limited’s recently acquired Michelin deposit (Measured and Indicated resource of 82.2Mlb U3O8).* Uranium was first discovered in the Central Mineral Belt in 1951. Readers are cautioned that past results or discoveries on properties in proximity to the Project are not necessarily indicative of the presence of similar mineralization on the Project.
Exploration work conducted on the Project by Silver Spring Resources Inc. between 2006 and 2008 consisted of airborne radiometric and magnetic surveys, follow-up prospecting, lake sediment and soil sampling, radon gas surveys, geological mapping, trenching, and diamond drilling. The exact number of diamond drill holes completed within the current Project has not yet been verified.
Drilling to follow up a radon gas anomaly identified the “Snegamook Zone” uranium occurrence located 1.3 km along strike to the southeast of the Two Time Zone. 17 drill holes intersected a 20 to 50 m wide section of uranium bearing brecciated and altered monzodiorite with moderate to strong chlorite, hematite and carbonate alteration, the same geological setting as the Two Time Zone. The Snegamook Zone is located near several large-scale uranium discoveries including the Two Time, Moran, Kitts, and Jacques Lake deposits.
Four mineralized lenses were traced over a strike length of 300 meters and to a vertical depth of 200 meters. The lenses are shallow dipping (15 to 20 degrees west) and vary in width from five to 53 meters with values ranging from 225 to 771 ppm U3O8. Individual one meter sample values range from 50 to 1,110 ppm U3O8, with the widest section in drill hole SN-08-8 averaging 206 ppm U3O8 over 73 meters. Mineralization and related hydrothermal alteration appears to be structurally controlled within lineaments cross-cutting the host intrusive gneissic units. The zones appear to be disrupted to the south and down dip by steeply dipping fault structures that displace the basement gneiss but remain open to the north.
Two drill holes (SN-08-18 and SN-08-20) tested a radon gas anomaly 500 meters to the south of the Snegamook Zone. They intersected nine meters (210 to 219 m) of 552 ppm U3O8 and five meters (191 to 196 m) of 224 ppm U3O8. Higher grade zones, 0.11% U3O8 over 3 m and 0.11% U3O8 over 2 m, were located within the highlighted zone in SN-08-18.
No work has been conducted on the land currently within the Snegamook Project since 2008, with the mineral licences being allowed to lapse in 2017. Despite a recent increase in activity and discoveries in the Central Mineral Belt, the project area remains relatively underexplored. The initial focus for Azincourt is a compilation of all available information and data for the historical exploration work in the area. Much of the data available is from assessment reports filed with the Government of Newfoundland and Labrador, and therefore must be digitised to be useful in a 3D-GIS environment. Once this is complete, any available historical drill core can be examined, and a drill program can be developed to confirm and expand the historical mineralization.
Snegamook Project Location Map – Central Mineral Belt, Labrador, Canada.
Figure 1: Snegamook Project Location Map – Central Mineral Belt, Labrador, Canada.
Snegamook and Two Time Zone mineralization map
Figure 2: Snegamook and Two Time Zone mineralization map
Non-Brokered Private Placement
The company also announces that its non-brokered private placement to raise gross proceeds of up to C$1,000,000 (see news release dated October 29, 2024) will now consist of both flow-through units (the “FT Units”) and non-flow through units (the “NFT Units”) offered at a price of $0.015 per NFT Unit (the “Offering”).
Each FT Unit will be comprised of one flow-through common share (a “FT Share”) and one common share purchase warrant (a “Warrant”) and each NFT Unit will be comprised of one common share (a “Share”) and one Warrant. Each Warrant will be exercisable at a price of $0.05 into one common share for a period of 36 months from the date of issue.
The gross proceeds of the Private Placement will be used for general working capital and exploration work on the Company’s Snegamook Project. The gross proceeds will not be used for any payments to non-arm’s length parties of the Company nor for any payment relating to persons conducting investor relations activities.
In connection with the Private Placement, the Company may pay finders’ fees to eligible third parties that have assisted in introducing subscribers to the Company. All Common Shares to be issued in connection with the Private Placement will be subject to a four-month-and-one-day statutory hold period in accordance with applicable securities laws. Completion of the Private Placement remains subject to the approval of the Exchange. It is expected that the Private Placement will not result in the creation of a new control person of the Company.
The FT Shares will qualify as “flow-through shares” (within the meaning of subsection 66(15) of the Income Tax Act (Canada) (the “Tax Act”)). An amount equal to the gross proceeds from the issuance of the FT Shares will be used to incur eligible resource exploration expenses which will qualify as (i) “Canadian exploration expenses” (as defined in the Tax Act), and (ii) as “flow-through critical mineral mining expenditures” (as defined in subsection 127(9) of the Tax Act) (collectively, the “Qualifying Expenditures”). Qualifying Expenditures in an aggregate amount not less than the gross proceeds raised from the issue of the FT Shares will be incurred (or deemed to be incurred) by the Company on or before December 31, 2025 and will be renounced by the Company to the initial purchasers of the FT Shares with an effective date no later than December 31, 2024.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
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 C. Trevor Perkins, P.Geo., Vice President, Exploration of Azincourt Energy, and 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. The Company has been a uranium explorer for over a decade and is currently active at its majority-owned joint venture East Preston uranium project located in the Athabasca Basin, Saskatchewan.
*The historical interpretation and drill intersections described here in have not been verified and are extracted from news releases issued by Silver Spruce Resources Inc on April 24, 2008, and August 12, 2008, as well as annual Management Discussion and Analysis documents filed on www.sedarplus.ca, and disclosure published on the website for Paladin Energy Limited (www.paladinenergy.com.au). The Company has not completed sufficient work to confirm and validate any of the historical data from the Snegamook occurrence. The Company considers the historical work a reliable indication of the potential of the Project and the information may be of assistance to readers.
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 relating to the use of proceeds and completion of the Private Placement.
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, 2023, dated January 24, 2024, and also include the risks that the Offering does not complete as contemplated, or at all; that the Company does not complete any further offerings; 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 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.
Photos accompanying this announcement are available at:
