Puma cancels purchase deal for Murray Brook

Feb 26, 2020

2020-02-26 11:18 ET – News Release

Mr. Marcel Robillard reports

PUMA PROVIDES UPDATE ON MURRAY BROOK

Puma Exploration Inc. has terminated the amended and restated asset purchase agreement signed on Oct. 5, 2016, as amended thereafter, with Votorantim Metals Canada. Pursuant to the purchase agreement, Puma was granted the right to earn up to a 67.86-per-cent interest in the Murray Brook deposit held by Votorantim Metals Canada.

Due to unfavourable equity market conditions and the current zinc price, sitting at its three-year low, Puma has been unsuccessful in completing the financing required to complete the transaction and its efforts to attract a partner to the project have also been unsuccessful.

Puma remains confident in the merit of the Murray Brook deposit, as demonstrated by maintaining the purchase agreement in good standing with El Nino Ventures Inc. until June 30, 2020, to secure a 32.14-per-cent minority interest in the deposit. This will lead to the creation of a joint venture (JV) partnership between Puma Exploration (32.14 per cent) and Votorantim Metals Canada (67.86 per cent) for the exploration and the development of the Murray Brook project until June 30, 2020, and beyond if Puma elects to finalize the purchase agreement with El Nino Ventures.

The main exploration efforts of the company for 2020 will be directed toward the Chester copper deposit, where it plans to drill five to 10 high-potential targets and on the 100-per-cent-held Portage Lake, Jonpol Gold (adjacent to Gold Terra Resources), Legacy (adjacent to X-Terra Resources) and Murray Brook West. More news will come shortly on Puma’s properties. The main objectives of the 2020 drill programs are to generate further new major discoveries in the New Brunswick Bathurst mining camp (BMC). Puma has been exploring in the BMC for over 15 years and has acquired numerous highly prospective drill ready properties, many focused on copper and gold.

About Puma Exploration Inc.

Puma Exploration is a Canadian-based mineral exploration company with precious and base metals projects in early to advanced stages located in the Famous Bathurst mining camp. Great efforts will be made by the company in the coming years to deploy its DEAR strategy (development, exploration, acquisition and royalties) in order to generate maximum value for shareholders with low share dilution.

Qualified persons and quality control/quality assurance (QC/AC)

Technical information provided in this news release was prepared and reviewed by Marcel Robillard, professional geoscientist, qualified person as defined by National Instrument 43-101.

We seek Safe Harbor.

http://explorationpuma.com/en/