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To: Goose94 who wrote (176110)

9/10/2024 4:56:52 PM

From: Goose94

Read Replies (1) | Respond to of 202020

Questcorp Mining (QQQ-Cse) has a Story Tell

Signs Letter Of Intent To Acquire Interest In La Union Project, Sonora, Mexico

September 6th 2024 - NR

Questcorp Mining Inc. has entered into a letter of intent, dated effective Sept. 4, 2024, with Riverside Resources Inc., an arm's-length party, whereby the company will be granted an option to acquire a 100-per-cent interest in the La Union project located in Sonora, Mexico.

In accordance with the terms of the transaction, the company can acquire a 100-per-cent interest in the project in consideration for completion of a series of cash payments totalling $100,000, the issuance of 19.9 per cent of the outstanding common shares of the company and the incurrence of no less than $5.5-million of exploration expenditures on the project, as shown in the attached table.

"La Union represents an excellent opportunity to acquire a significant asset as we continue work to build shareholder value in the company," commented Questcorp president and chief executive officer Saf Dhillon. "We are extremely pleased to team up with the expertise of John-Mark Staude and the Riverside technical team to unlock the full potential of the La Union project," he continued.

La Union project has high grades of gold (highlight grab samples of 83.2 and 59.4 grams per tonne (g/t)) and of zinc (highlight grab samples of 30 per cent and 21.4 per cent) with previous underground near-surface mine operations. Riverside has identified over eight targets, with the three highest-priority targets hosting past mining activity. These targets demonstrate intriguing potential for large gold discoveries potentially above an even larger porphyry copper (Cu) district potential. The objectives of the first phase of further exploration will be to expand the mineralization footprints at these targets.

Questcorp cautions investors grab samples are selective by nature and not necessarily indicative of similar mineralization on the property.

President and CEO of Riverside John-Mark Staude stated: "We are excited to work with Questcorp to carry out further exploration work on La Union's multiple targets we have worked up through extensive field activity. Riverside has consolidated the mineral tenure into an aggregated district play and worked with surface owners to obtain access and set up the project for immediate advancement."

Riverside will remain the program operator for the project during the term of the option using its local team based in Hermosillo, Sonora. Following exercise of the option, Riverside will retain a 2.5-per-cent net smelter returns royalty on commercial production from the project.

No finders' fees or commissions are payable in connection with the transaction, although finders' fees may be paid in connection with the concurrent financing. No changes to the board or management of the company are contemplated in connection with the transaction. In connection with completion of the transaction, the company intends to undertake a non-brokered private placement. Further information regarding the concurrent financing and the applicable terms will be provided as soon as available.

Completion of the transaction remains subject to a number of conditions, including the completion of satisfactory due diligence, the negotiation and finalization of definitive documentation, completion of the concurrent financing for gross proceeds of no less than $1.5-million, receipt of any required regulatory, shareholder and third party consents, approval of the Canadian Securities Exchange, and the satisfaction of other customary closing conditions.

Readers are cautioned that the letter of intent does not bind the company to complete the transaction and will automatically terminate after 45 days in the event a definitive agreement cannot be reached. The transaction cannot close until the required approvals are obtained and the foregoing conditions satisfied. There can be no assurance that the transaction will be completed as proposed or at all.

The technical content of this news release has been reviewed and approved by R. Tim Henneberry, PGeo (B.C.), a director of Questcorp and a qualified person under National Instrument 43-101.

About Questcorp Mining Inc.

Questcorp Mining is engaged in the business of the acquisition and exploration of mineral properties. The company holds an option to acquire an undivided 100-per-cent interest in and to mineral claims totalling 1,168.09 hectares comprising the North Island copper property, on Vancouver Island, British Columbia, subject to a royalty obligation. The company's secondary objective is to locate and develop economic precious and base metals properties of merit.

Contact Information

Questcorp Mining Corp.
Saf Dhillon, President & CEO
Email: saf@questcorpmining.ca
Telephone: (604) 484-3031