TORONTO, Oct. 08, 2019 (GLOBE NEWSWIRE) -- QuestCap Inc. (“QuestCap” or the “Company”) (CSE:QSC) is pleased to announce that it has acquired a 1.0% net smelter return royalty in respect of minerals removed from the property covered by 81 mineral claims and one surveyed mining lease known as the Troilus Mine, located in Northern Quebec (the “Royalty”). The Troilus Mine is owned and controlled exclusively by Troilus Gold Corp. (“Troilus”) (TLG.TO), a Canadian company listed on the Toronto Stock Exchange. For more information on the Troilus Mine, please see the materials filed by Troilus under its profile at www.sedar.com, including Troilus’s NI 43-101 Technical Report – Technical Report on the Troilus Gold-Copper Mine Mineral Resource Estimate, Quebec, Canada dated January 1, 2019 (the “Report”). Highlights of the Troilus Mine are as follows:
- Past-producing gold and copper mine located northeast of the Val-d'Or district in Quebec, Canada, which is recognized as one of the best mining jurisdictions in the world
- Growing mineral resources: November 2018 mineral resource estimate includes 3.92 Moz AuEq @ 1.00 g/t (121.7 Mt) in the indicated resource category and 1.17 Moz AuEq @ 1.01 g/t (36.1 Mt) in the inferred resource category (see section 14 of the Report)
- Five years of production infrastructure in place, including an extensive network of roads, a sub-station and power lines, a permitted tailings facility and an operational water treatment facility
- Strong shareholder base and supportive community, government and First Nations
In consideration for the Royalty, QuestCap has agreed to pay to the vendor, a private company, $10,000,000, payable in four equal cash payments of $2,500,000 (the “Installments”). The Installments are due on the dates that fall 90, 180, 270 and 360 days from the execution date of the royalty purchase agreement (the “Agreement”), being October 8, 2019. The acquisition was an arm’s length transaction for QuestCap and no finder’s fees were paid in connection with the transaction.
QuestCap is an investment company that seeks to enhance shareholder value over the long term by opportunistically making various investments that may include, without limitation, the acquisition of equity, debt or other securities of publicly traded or private companies or other entities, financing in exchange for pre-determined royalties or distributions and the acquisition of all or part of one or more businesses, portfolios or other assets.
For additional information, please contact:
Luke Evans, a Qualified Person as defined by National Instrument 43-101, reviewed and approved the scientific and technical information contained in the Report that is included in this press release and was responsible for verifying the data therein. Luke Evans is independent of the Company.
Cautionary Note Regarding Forward-looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to QuestCap’s acquisition of the Royalty and the Troilus Mine. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company, as the case may be, to be materially different from those expressed or implied by such forward-looking information. 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. There can be no assurance that such information 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 information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER HAS REVIEWED OR ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.