Puma Exploration closes $750,000 private placement

Dec 18, 2020

2020-12-17 14:36 ET – News Release

Mr. Marcel Robillard reports

PUMA EXPLORATION CLOSES $750,000 PRIVATE PLACEMENT

Puma Exploration Inc. has closed the fully subscribed current ordinary units private placement for an amount of $750,000. The company issued five million units at the price of 15 cents per unit. Each unit comprises one common share and one common share purchase warrant. Each warrant gives its holder the right to purchase one common share at a price of 25 cents per share until Dec. 17, 2022.

In connection with the private placement, the company has paid cash finders’ fees totalling $15,315 and issued 364,200 finders’ warrants, each entitling the holder to acquire one additional common share of Puma at a price of 15 cents for 24 months. All securities issued to purchasers and finders under the offering are subject to a four-month holding period from the date of issuance of the securities, pursuant to applicable securities legislation and the policies of the TSX Venture Exchange. The placement has received the conditional approval of the TSX Venture Exchange. The company will use the proceeds of the offering for working capital purposes, and to explore its current flagship Triple Fault gold project.

The technical team is still on site on the Williams Brook gold property to finalize the summer exploration program, which currently includes the trenching and stripping of the new discoveries made during the initial phase of exploration.

The net proceeds from the offering will be mainly used for the exploration of the flagship Triple Fault gold project in New Brunswick, including, but not limited to, proceeding with district-scale heli-borne geophysics surveys, to initiate the first drilling program on the Williams Brook property, to begin the drilling program on its Chester copper project, as well as for general corporate purposes.

O’Neil gold trend

The first phase of the 2020 summer exploration program lead to the discovery of the gold O’Neil Showing with the presence of a significant and pervasive potential gold trend over five kilometres along the O’Neil gold trend. The O’Neil showing consists of an altered and brecciated rhyolite injected with quartz veins and quartz stockworks. The altered and brecciated rhyolite is open in all directions.

The highest gold sample, grading 128 grams per tonne gold, is part of the main quartz vein (ranging from 30 centimetres to 50 centimetres) followed and sampled, so far, over 10 metres in length. The average gold grade sample of the vein of 30.86 g/t Au over 10 metres (128 g/t Au, 35.2 g/t Au, 18 g/t Au, 14.5 g/t Au, 10.25 g/t Au, 8.33 g/t Au and 1.74 g/t Au), was estimated from chip and grab samples collected continuously every 1.5 metres on the main vein.

Following the hand and shovel cleaning of the main vein, surrounding quartz stockworks and veinlets within the rhyolite were found, sampled and reported respectively high-grade gold of 16.9 g/t Au, 8.24 g/t Au, 6.14 g/t Au, 3.57 g/t Au, 2.2 g/t Au and 1.14 g/t Au.

Triple Fault gold project

The Triple Fault gold project includes three properties, named Williams Brook, Jonpol gold, and Portage Lake, covering more than 19,147 hectares of favourable gold exploration land package. The project is located about 60 kilometres west of Bathurst with the paved road cross-cutting the property.

Puma is currently focusing its field work on its first priority, the Williams Brook property. The Williams Brook property includes selected drill results of 11.2 g/t over 2.8 m, 2.1 g/t Au over nine metres, and one g/t over 23 m, gold occurrences grading up to 109 g/t Au, 50.8 g/t Au, 38.9 g/t Au in bedrock, numerous gold soil anomalies and extremely anomalous till samples with up to 508 gold grains that occur over an area approximately 12 kilometres by three kilometres.

There has been very limited drilling and exploration in the area mapped to be part of the Dunnage zone hosting major gold deposits and gold occurrences in siluro-devonian rocks and considered as an emerging gold exploration and development district.

Qualified persons

Dominique Gagne, PGeo, independent qualified person as defined by Canadian National Instrument 43-101 standards, has reviewed and approved the geological information reported in this news release. Neither TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release. Mr. Gagne is independent of the company.

Quality assurance/quality control

Rock samples were bagged, sealed and sent to the facility of ALS Chemex in Moncton, N.B., where each sample is dried, crushed and pulped. The samples were crushed to 70 per cent less than two millimetres, riffle split off one kilogram, pulverize split to better than 85 per cent passing 75 microns (Prep-31B). A 30-gram subsplit from the resulting pulp was then subjected to a fire assay (Au-ICP21). Rock sample ICP results with gold greater than one g/t were subjected to a metallic screening (Au-SCR24) one-kilogram pulp screened to 100 microns. Other screen sizes available. Duplicate 50-gram assay on screen undersize. Assay of entire oversize fraction.

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 in New Brunswick, Canada. 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 shares dilution.

We seek Safe Harbor.

http://explorationpuma.com/en/