NQ Exploration Inc.
TSX VENTURE : NQE

NQ Exploration Inc.

September 29, 2014 10:00 ET

NQ Exploration Signs an Option and Joint Venture Contract With SOQUEM Inc. to Acquire a 50% Interest in the Wagosic Property

- Wagosic lies just west of the old Selbaie mine (56.5 Mt mined at 0.87% Cu, 1.85% Zn, 0.56 g/t Au and 38.1 g/t Ag)

- SOQUEM obtained excellent drill results in 2012, particularly on the Silver 2 zone

LAVAL, QUEBEC--(Marketwired - Sept. 29, 2014) - NQ Exploration Inc. ("NQ Exploration" or the "Corporation") (TSX VENTURE:NQE) is pleased to announce that it has signed an option and joint venture contract with SOQUEM Inc. ("SOQUEM") to acquire a 50% interest in the Wagosic property. The property consists of 78 mineral claims covering an area of 3,217 hectares in Brouillan Township (NTS sheet 32E 14/15), just west of the old Selbaie mine (56.5 Mt mined at 0.87% Cu, 1.85% Zn, 0.56 g/t Au and 38.1 g/t Ag) (Source: MRNF Quebec).

The contract calls for the Corporation to invest a total of $2 million in exploration work on the property over three years, as follows: $500,000 the first year, $500,000 the second year and $1,000,000 the third year. Once it has exercised its option and a resource estimate (43-101) has been done, the Corporation will have the option of becoming the project operator. There are no royalties on the property.

"This transaction allows us to both acquire a valuable asset and significantly strengthen our position in the area," said David Grondin, President and Chief Executive Officer of NQ Exploration. "The Wagosic property has the advantage of being located between the Carheil property and the Selbaie mine and has not been extensively explored to date. Furthermore, previous work indicates that the property has strong high-grade silver potential, which we intend to define through our upcoming exploration work program."

Previous Work

Billiton Metals Canada Inc. ("Billiton") discovered two important mineral showings on the Wagosic property in June 1999. According to a 1999 internal Billiton report:

  • the Silver zone, a drill-indicated silver showing in the eastern part of the property, returned intersections of 124 g/t Ag over 90.5 m, 66 g/t Ag over 120 m, 89 g/t Ag over 56.3 m, 80 g/t Ag over 47.8 m and 48 g/t Ag over 38.4 m, including 436 g/t Ag over 12 m; and
  • the Zinc zone, in the western part of the property, returned one intersection grading 3.4% Zn and 63 g/t Ag over 36.6 m, including 7.43% Zn, 257 g/t Ag and 0.6 g/t Au over 7.53 m, and another grading 1.26% Zn and 152 g/t Ag over 24.5 m, including 2.1% Zn and 224 g/t Ag over 5.5 m.

In 2012, SOQUEM drilled 17 holes ranging from 120 to 450 metres long for a total of 5,140 metres of drilling. The program was designed to test geological targets corresponding to the hypothetical extensions of mineralized intersections identified by previous drilling programs and reinterpreted by SOQUEM in 2011.

The holes were drilled on the three main silver showings identified by SOQUEM, and in particular confirmed the potential of the Silver 2 zone, as shown in the tables below:

Silver 2 Zone

Hole From To Metres Ag g/t
(no cutoff)
% Zn
(no cutoff)
Au g/t
(no cutoff)
1338-12-07
279 362 83 83.8 0.28 -
including 279 284 5 248.6 0.44 -
including 312 354 42 107.4 0.37 -
including 350 351 1 505 0.55 1.9
1338-12-08
188 354 166 77 0.36 -
including 241 354 113 95 0.45 -
including 243 251 8 387 2.23 0.16
including 249 250 1 1,065 3.7 0.63
1338-12-09 155 179 24 40 - -
262.45 280 17.55 25.8 - 0.11
330 331 1 58.8 0.11 0.2
1338-12-11
159 192 33 3.37 - -
including 174 175 1 12.1 - -
including 182 184 2 13.5 - -

Silver 1 Zone

Hole From To Metres Ag g/t
(no cutoff)
% Cu
(no cutoff)
% Zn
(no cutoff)
Au g/t
(no cutoff)
1338-12-01 257 266 9 6.5 0.25 0.6 -
1338-12-02 60 61 1 13.1 0.2 - -
62 63 1 17.3 0.4 - -
145 146 1 20.1 0.6 0.1 -
1338-12-03 128 129 1 33.7 1.9 1.3 -
150 151 1 33.3 1.6 1.0 0.27
1338-12-04 139.85 159.1 19.25 7.9 - 0.17 -
including 139.85 143.8 3.95 18.3 - - -
including 156.1 158 1.9 14 - - -
260 263 3 5.2 0.1 0.16 -
1338-12-05 66 95 29 3 - - -
231 232 1 8.7 - 0.16 -
1338-12-06 135 144 9 9.14 - - -
359 360 1 19.3 0.4 0.18 -
365 366 1 10.7 0.36 0.23 -

Silver 3 Zone

Hole From To Metres Ag g/t
(no cutoff)
1338-12-14 159 166 7 8
1338-12-15 309 321 12 9.125
1338-12-16 227 288 61 26.5
1338-12-17 56.75 61 4.25 8.8

The thicknesses shown for the mineralized zones are core length; the geometry of the zones still need to be determined.

The technical content of this press release has been reviewed and approved by André Jean, Eng., a qualified person under National Instrument 43-101.

The transaction is subject to regulatory approval.

ABOUT NQ EXPLORATION INC.

NQ Exploration Inc. is a mining exploration company with a solid portfolio of mining properties in the James Bay and Abitibi regions of Quebec. NQ Exploration Inc. is betting on Quebec's excellent mineral potential and favourable investment climate to produce new world-class gold and base metal deposits.

ABOUT SOQUEM INC. AND INVESTMENT QUÉBEC

SOQUEM INC. is a wholly-owned subsidiary of Ressources Québec, which is a subsidiary of Investissement Québec. Investissement Québec's mission is to promote growth and investment in Quebec, thereby contributing to economic development and job creation in all regions of the province. SOQUEM INC. offers businesses a full range of financial solutions, including loans, loan guarantees, and equity investments to provide support at every stage of their development. It also administers tax measures and oversees prospecting for foreign investment.

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.

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