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Conquest to Acquire Canadian Continental assets to consolidate Temagami properties

Jul 19, 2020

Conquest Resources Limited has entered into a conditional agreement with Canadian Continental Exploration Corp. to acquire an extensive package of mining claims which surrounds Conquests' Golden Rose Mine Project at Emerald Lake in the Temagami mining camp. 

The package consists of almost 10,000 hectares of mining lands highly prospective for precious and base metals and under explored. When combined with the Company's current land holdings including the past producing Golden Rose Mine, Conquest will control over 130 square kilometers making it the one of the largest land holders in the Temagami Mining Camp.

Conquest has entered into an agreement (the "Acquisition Agreement") with Canadian Continental Exploration Corp, subject to TSXV acceptance, to acquire 100% CCEC's assets which include the Teckmag1 and Eaglerock claims, as well as approximately $900,000 in cash and Osisko Metals shares, in return for the issue of 40 million post consolidated shares of Conquest to the shareholders of CCEC. 

Upon completion of the Acquisition, consolidation, and assuming a financing of $2 million, existing Conquest shareholders will own approximately 50% of the resulting shares in the enlarged company, with CCEC shareholders owning 37% and new investors approximately 13%. 

Completion of the Acquisition and financing will not result in any Person who was previously not an Insider becoming an Insider of Conquest.

Two nominees of CCEC will be invited to join the board of Conquest.

Canadian Continental

Canadian Continental Exploration Corp is a private company with approximately 100 shareholders, of which Inventus Mining Corp, holding 17%, is the largest shareholder. 

Canadian Continental Exploration Corp is the 100% owner of the TeckMag Project, which consists of 320 contiguous unpatented mining claim cells totaling approximately 6,638.8 ha, located in Afton, Macbeth, Clement and Sholes Townships, approximately 65 km northeast of Sudbury, Ontario. The Canadian Continental claims surround Conquest's Golden Rose property on three sides, north, west, and south, and are believed to hold possible extensions or repetitions of the mineralization identified at the Golden Rose Mine.

The Canadian Continental properties cover a significant portion of the Temagami Magnetic Anomaly that is visible in regional magnetic surveys as a large, approximately 60 km by 20 km buried, east-west striking, geological/geophysical feature that stretches from Lake Wanapitei to Lake Temagami.

Private Placement Financing up to $3,000,000

In conjunction with the Acquisition, and conditional thereon and subject to acceptance of the TSXV, Conquest will complete a non-brokered private placement of up to $3 million. 

The financing will consist of a combination of units at a price of 12 cents per unit, which will include a common share and a 2 year half warrant exercisable at 18 cents, and flow through shares at a price of 15 cents per share. 

The securities will be issued in the form of Subscription Receipts which will be converted to shares and warrants upon completion of the Acquisition.

Use of Proceeds - Potential for three styles of mineral deposits 

Post financing, Conquest will have approximately $3 to $4 million in funds, the flow through portion of which will be used to advance the Company's expanded Golden Rose Project. The balance of funds will ensure the Company has ample funds for general corporate purposes, working capital and future acquisitions.

Historical mining operations at the Golden Rose gold mine between 1915-1988 produced approximately 52,000 oz of gold from structurally controlled, high-grade quartz-pyrite veins, hosted within two Banded Iron Formations.

In addition to exploration for gold on the past producing Golden Rose Mine, in which gold mineralization is hosted in porphyry intruded banded iron formations, potential for two other styles of economic mineral deposits have been identified within the enlarged land package. 

There is evidence for the potential of Sudbury style Nickel-Copper- PGE and Cobalt deposits, such as the high grade Copperfields Mine located on Temagami Island which was the mine which began the storied history of Teck Resources Ltd. 


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