VANCOUVER, BC, Nov. 20,
2024 /CNW/ - Scottie Resources Corp.
("Scottie" or the "Company") (TSXV: SCOT) (OTCQB:
SCTSF) (FSE:SR8) is pleased to announce that, in anticipation of
pursuing a more aggressive marketing strategy to attract new
shareholders, the Company will consolidate its common shares at a
ratio of six pre-consolidation shares to one post-consolidation
share (the "Consolidation"). The consolidation will also be coupled
with the initiation of an extensive technical program focused on
fast-tracking mining through engineering studies, economic
modelling, and permit advancement. The release of the planned
maiden Mineral Resource Estimate (expected late Q1 2025) will
represent the first deliverable item in the pathway towards clearly
demonstrating the economic viability and optionality of the
deposit. Representing 16% ownership of the company, Scottie
management and advisors are aligned with shareholders and believe
that the consolidation is a beneficial step in creating value.
Upcoming Marketing and Technical Catalysts:
- Post 6:1 Share consolidation resulting in ~ 50 million
outstanding shares
- Strong cash position ~ $7.5M CAD
in hard dollars
- Release of the remaining 2024 Scottie Gold Mine Project drill
results
- Completion of the maiden NI 43-101 Mineral Resource Estimate
(MRE) for the Blueberry and Scottie Gold Mine Deposits
- Technical study to outline permitting requirements, viability
and timeline for potential mining of the historic Scottie Mine
tailing piles
- Initiate technical and market studies for the direct ship ore
(DSO) sales and tolling through the Stewart export terminal for Asian markets
- Evaluate divesture options for the Georgia Project in order to
capture value of the asset
- Initiation of a U.S. marketing campaign
President and CEO, Brad Rourke commented: "After 5 years of
aggressive exploration and land acquisition, and our discovery of
the Blueberry Contact Zone, this share consolidation will allow us
to improve our marketing initiatives to U.S. retail investors by
reducing their incremental cost of share acquisition. We feel that
the timing of the consolidation, prior to the release of our maiden
Mineral Resource Estimate and commencement of the mining focused
technical program, will allow us to capture the attention of new
investors and build momentum. 2025 will be a transformational for
the Company as we begin to explore an array of value enhancing
opportunities over and above growing the mineral resources through
our highly successful exploration programs. We welcome everyone to
join our Webinar on November
25th to discuss in more detail."
Consolidation Arrangement
The Company currently has 299,819,618 common shares issued and
outstanding. Upon completion of the Consolidation, the Company will
have approximately 49,970,000 common shares issued and outstanding.
Fractional shares of 0.5 or greater will be rounded up to the
nearest whole number of common shares and fractional shares of less
than 0.5 will be rounded down to the nearest whole number of
Shares. Some slight variance is expected due to fractional
rounding. As is customary, to reflect the Consolidation, all
outstanding warrants and incentive stock options will be adjusted
to increase their exercise price by a factor of six and to reduce
the number of common shares issued upon exercise by dividing by
six.
Subject to Scottie receiving all required approvals, including
the approval of the TSX Venture Exchange (the "TSXV"), the
Consolidation is expected to take effect on or about November 27, 2024.
Holders of shares of the Company who hold uncertificated shares
(that is shares held in book-entry form and not represented by a
physical share certificate), either as registered holders or
beneficial owners, will have their existing book-entry account(s)
electronically adjusted by the Company's transfer agent or, in the
case of beneficial shareholders, by their brokerage firms, banks,
trusts or other nominees that hold in street name for their
benefit. Such holders generally do not need to take any additional
actions to exchange their pre-consolidation shares for
post-consolidation shares. If you hold your shares with such a
bank, broker or other nominee, and if you have questions in this
regard, you are encouraged to contact your nominee.
Registered shareholders holding share certificates will be
mailed a letter of transmittal advising of the Consolidation and
instructing them to surrender the share certificates representing
pre-consolidation shares for replacement certificates or a direct
registration advice representing their post-consolidation shares.
Until surrendered for exchange, each share certificate formerly
representing pre-consolidation shares will be deemed to represent
the number of whole post-consolidation shares to which the holder
is entitled as a result of the Consolidation.
Technical Program
In the coming months the Company plans to initiate a number of
engineering and economic studies to support the development of a
Preliminary Economic Assessment (PEA) built on the upcoming maiden
MRE and allow the evaluation of multiple mining scenarios. Studies
will address metallurgy, viability of ore-sorting, as well as
underground and open-pit mine design.
Georgia Project Divesture
The Georgia Project is a 100% owned high-grade gold deposit
located on the Portland Canal tidewater, 16 kilometres south of the
town of Stewart, BC, in the
prolific Golden Triangle. It was acquired through the merger with
AUX Resources in 2021 and boasts numerous high-grade gold
intercepts from a quartz vein system. The most recent
documented, unclassified historical resource estimate for the SW
Vein of the Georgia River Mine was completed in 1990 (BC Assessment
Report 1983) and estimated 276,403 tonnes of 27.6 g/t gold and 20.9
g/t silver. The estimate was based on 50 drill holes and considers
a minimum mining width of 1.22 metres. The SW Vein historical
estimate does not comply with CIM Definition Standards on Mineral
Resources and Mineral Reserves as required by NI 43-101 and has no
comparable resource classification. The reliability of the
historical estimate is considered reasonable, but a qualified
person has not done sufficient work to classify the historical
estimate as a current mineral resource and the Company is not
treating the historical resource as a current resource.
Due to the focus on the recent discovery of the Blueberry Zone
and the overall advancement of the Scottie Gold Mine Project, the
18,000 ha Georgia River Project has been overshadowed and
underexplored in recent years. The Company will be evaluating
multiple options relating to its divesture, including spinning out
a new exploration company, taking a joint venture partner, and sale
of the property.
Webinar
Scottie management will be hosting a live Webinar on
November 25, 1:30 PM (PST) to discuss and answer questions –
link to the webinar can be found here:
https://6ix.com/event/scottie-resources-or-corporate-update
Quality Assurance and Control
Results from samples taken during the 2024 field season were
analyzed at SGS Minerals in Burnaby,
BC. The sampling program was undertaken under the direction
of Dr. Thomas Mumford. A secure
chain of custody is maintained in transporting and storing of all
samples. Gold was assayed using a fire assay with atomic absorption
spectrometry and gravimetric finish when required (+9 g/t gold).
Analysis by four acid digestion with multi-element ICP-AES analysis
was conducted on all samples with silver and base metal over-limits
being re-analyzed by emission spectrometry.
Dr. Thomas Mumford, P.Geo., a
qualified person under National Instrument 43-101, has reviewed the
technical information contained in this news release on behalf of
the Company.
ABOUT SCOTTIE RESOURCES CORP.
Scottie owns a 100% interest in the Scottie Gold Mine Property
which includes the Blueberry Contact Zone and the high-grade,
past-producing Scottie Gold Mine.
Scottie also owns 100% interest in the Georgia Project which
contains the high-grade past-producing Georgia River Mine, as well
as the Cambria Project properties and the Sulu and Tide North
properties. Altogether Scottie Resources holds approximately 58,500
hectares of mineral claims in the Stewart Mining Camp in the Golden
Triangle.
The Company's focus is on expanding the known mineralization
around the past-producing mines while advancing near mine
high-grade gold targets, with the purpose of delivering a potential
resource.
All of the Company's properties are located in the area known as
the Golden Triangle of British
Columbia which is among the world's most prolific
mineralized districts.
Forward Looking Statements
This news release may contain forward‐looking statements.
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" and similar expressions, or
that events or conditions "will", "would", "may", "could" or
"should" occur. Although the Company believes the expectations
expressed in such forward‐looking statements are based on
reasonable assumptions, such statements are not guarantees of
future performance and actual results may differ materially from
those in forward looking statements. Forward‐looking statements are
based on the beliefs, estimates and opinions of the Company's
management on the date such statements were made. The Company
expressly disclaims any intention or obligation to update or revise
any forward‐looking statements whether as a result of new
information, future events or otherwise.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of TSX Venture
Exchange) accepts responsibility for the adequacy of accuracy of
this release.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/scottie-resources-announces-share-consolidation-and-upcoming-2025-technical-and-marketing-programs-302311161.html
SOURCE Scottie Resources Corp.