Barksdale Announces Plan to Increase Sunnyside Project Ownership to 67.5%

Rhea-AI Summary

Barksdale Resources (OTCQB: BRKCF) has announced plans to increase its ownership in the Sunnyside project from 51% to 67.5%. The company has completed required expenditures and drilling for its initial 51% stake, pending confirmation from Regal Resources to release $1.0 million cash and 5.0 million shares held in escrow.

The company plans an additional 7,620 metres fall drilling program to achieve 67.5% ownership. Preliminary Spring drilling results confirmed copper mineralization up to 0.78% Cu over 4.6 metres. The Sunnyside project contains extensions of South32's Taylor and Peake deposits, along with a copper porphyry deposit and near-surface chalcocite target.

Additionally, Barksdale announced its transition from OTCQX to OTCQB market due to not meeting minimum bid requirements.

Positive

• Successful completion of requirements for 51% ownership stake in Sunnyside project
• Spring drilling confirmed significant copper mineralization of up to 0.78% Cu
• Drilling costs reduced to $78.00 per foot, lower than previous programs
• Strategic location next to South32's deposits with potential underground mining access
• Project comparable to major mining districts like Pima District and Bingham Canyon District

Negative

• Downgrade from OTCQX to OTCQB market due to not meeting minimum bid requirements
• Additional capital requirements for fall drilling program
• Pending confirmation from Regal Resources for ownership stake

Received Preliminary Spring Drilling Assays and Plans for Fall Campaign

All financial amounts listed in Canadian dollars.

Vancouver, British Colombia--(Newsfile Corp. - June 26, 2025) - Barksdale Resources Corp. (TSXV: BRO) (OTCQB: BRKCF) (FSE: 2NZ) ("Barksdale" or the "Company") is pleased to announce that it has completed all expenditures and drilling footage required to maintain a 51% interest in Sunnyside and is awaiting confirmation from Regal Resources ("Regal") to pay the $1.0 million cash and release the 5.0 million Barksdale shares held in escrow.

The Company also announces its decision to increase its ownership of the Sunnyside property to 67.5%. As a result, the Company plans to complete another 7,620 metres (25,000 feet) to surpass the Phase 2 earn-in requirements with Regal. The fall 7,620 metre drill program is expected to start after the rainy season this year and be completed before year-end.

"We are excited to move towards 67.5% ownership of the Sunnyside project for our shareholders as the project contains not only the extensions of South32's Taylor and Peake deposits but both a large, undefined copper porphyry deposit and the near surface chalcocite target," said Barksdale CEO William Wulftange.

"A review of the historical drilling by ASARCO revealed both the near surface and deeper copper/base metal targets that returned very impressive intercepts of copper mineralization (Figure 1, Table 1), which have largely been ignored until now. These undeveloped targets offer low risk and high reward, warranting careful testing and resource estimation. Mining of these deposits could proceed with underground mining methods, avoiding surface disturbance, similar to the South32 complex," added Mr. Wulftange.

The following highlights provide foundational support to the Company's decision to move beyond its initial 51% ownership in the Sunnyside project:

• The Patagonia District is comparable in size and potential to the Pima District in Arizona or the Bingham Canyon District in Utah.

• The discovery of the Clarke, Taylor, and Peake deposits by South32 are important discoveries but are not the only mineral deposits to explore in the Patagonia District.

• The porphyry system responsible for South32's deposits is entirely located on Barksdale's Sunnyside property, along with the extensions of the Taylor and likely Peake deposits (Figure 1).

• The development of the Hermosa Property adds value to Sunnyside and can provide underground access to the porphyry deposits.

• Drilling by ASARCO on the intrusive porphyry at Sunnyside reveals not only a deep large porphyry target but also a near surface Chalcocite Zone (Table 1). Both targets have returned impressive intercepts of copper mineralization.

• Preliminary Spring drilling assays on the Chalcocite Zone target confirm copper mineralization 375 metres (1,230 feet) to the East of the ASARCO drilling (Table 2). Drilling costs of the program were $78.00 per foot representing a substantial reduction in drilling costs over past programs.

Figure 1. 

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Geological cross section of the Sunnyside and South32 properties shows results from recent Barksdale and historical ASARCO drill campaigns with possible copper mineral body outlines in tan. Also, outlines of the Taylor deposit on both properties and projected Peake deposit beneath the Taylor deposit are shown in light purple and green outlines. The view is to the north.

Table1. 

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Average copper intervals and percentages from historical ASARCO drill campaigns.

Spring Drill Program

The Spring Drill Program results presented in Table 2 below confirm copper mineralization up to 0.78% Cu over 4.6 metres (15 feet) with lower grade values and broader, open-ended intervals dispersed throughout the entire zone. The drilling was done approximately 375 metres east of the ASARCO drilling which significantly extends the known mineralized zone. The results also show a transition from copper rich mineralization at the surface to zinc and lead dominated mineral systems at depth, possibly influenced by the deeper CRD base metal mineralization. Additional samples to extend the mineralized intervals are being prepped for analysis at ALS Chemex with results expected in July.

Table 2.

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Select intervals from the Spring 2025 Sunnyside drilling. Based on open ended intervals, additional samples were sent for analysis, and results are expected in July 2025.

The Company believes it has completed all drill footage and spend requirements under the Phase 1 agreement with Regal to maintain 51% ownership of the Sunnyside Project. The Company has provided all documentation on expended costs and drill footage and has the required $1.0 million payment and 5.0 million shares in escrow. Once acknowledgement is received from Regal, the Company then has 20 days to elect to go to 67.5% ownership of the Sunnyside Project.

Fall Drill Campaign

The Company is planning a Fall Drill program to further test the central and western extents of the near-surface Chalcocite Zone and the first of two copper porphyry bodies directly beneath it.

The objectives of the program are twofold: (1) to begin establishing a mineral resource and (2) to complete over 7,620 metres (25,000 feet) of drilling to fulfill the Phase II earn-in drill footage requirements with Regal. Achieving these objectives will result in the Company acquiring 67.5% ownership of the property, along with fulfilling the necessary cash and stock payments. After completing the successful and low-cost spring drilling, the Company is now able to budget the fall program and is in talks with global drilling companies about financing it through Barksdale equity instead of cash.

Corporate Updates

The Company announced that it has transitioned from the OTCQX market to the OTCQB market in the United States. This move is due to the Company no longer meeting the minimum bid requirements of the OTCQX platform. Barksdale continues to trade on the OTC Markets under the symbol "BRKCF' and the change does not affect trading.

In Barksdale's news release dated May 13, 2025, the Company announced that Ira M. Gostin, of Reno, Nev., had joined Barksdale as the head of investor relations but neglected to mention that Mr. Gostin does not have any interest, directly or indirectly, in Barksdale nor its securities, and does not have any right or intent to acquire such an interest. Further, he is not receiving shares of the Company as compensation.

Qualified Person

William Wulftange, Reg.Mem. SME, a Qualified Person under National Instrument 43-101, has reviewed and approved the technical content of this release. He is the CEO and a director of Barksdale.

About Barksdale Resources Corp.

At Barksdale, our mission is to drive long-term shareholder value through the strategic acquisition, exploration, and advancement of high-quality critical, base, and precious metal projects across the Americas.

We are focused on the metals essential to the global energy transition and modern infrastructure-particularly copper, zinc, and other critical minerals-at a time when secure, domestic and regional sources are more important than ever.

With a sharp focus on critical metals and a commitment to responsible growth, Barksdale is positioned to play a key role in meeting tomorrow's resource needs.

On Behalf of Barksdale Resources Corp:

William Wulftange
Chief Executive Officer and Director
info@barksdaleresources.com
604-398-5385

Ira M. Gostin
Investor Relations
604-398-5385 x3
ir@barksdaleresources.com

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 news release.

Forward Looking Statements:

This news release contains certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable securities legislation. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. All statements, other than statements of historical fact, included herein, without limitation, statements relating to the potential of a Fall 2025 drill program and results therefrom are forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.

Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by Barksdale, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements and the Company has made assumptions and estimates based on or related to many of these factors. All forward-looking statements contained in this news release are qualified by these cautionary statements and those in the Company's continuous disclosure filings available on SEDAR+ at www.sedarplus.ca. Readers should not place undue reliance on the forward-looking statements contained in this news release concerning these items. Barksdale does not assume any obligation to update the forward-looking statements if beliefs, opinions, projections, or other factors, should change, except as required by applicable securities laws.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/256814

FAQ

What is Barksdale Resources' (BRKCF) new ownership target for the Sunnyside project?

Barksdale plans to increase its ownership in the Sunnyside project from 51% to 67.5% through an additional 7,620 metres fall drilling program.

What were the key findings from Barksdale's Spring 2025 drilling program at Sunnyside?

The Spring drilling program confirmed copper mineralization up to 0.78% Cu over 4.6 metres, extending the known mineralized zone 375 metres east of previous ASARCO drilling.

Why did Barksdale Resources move from OTCQX to OTCQB in 2025?

Barksdale transitioned to OTCQB because it no longer met the minimum bid requirements of the OTCQX platform, though it continues trading under the symbol BRKCF.

What is required for Barksdale to complete its 51% ownership stake in Sunnyside?

Barksdale needs confirmation from Regal Resources to pay $1.0 million cash and release 5.0 million Barksdale shares held in escrow.

What are the main targets at Barksdale's Sunnyside project?

The project contains extensions of South32's Taylor and Peake deposits, a large copper porphyry deposit, and a near-surface chalcocite target.