Conquest Announces Exercise of Royalty Option

Rhea-AI Summary

Conquest Resources (TSXV: CQR) has announced the commencement of a 3,000 m diamond drill program on its Belfast TeckMag Project near Sudbury, Ontario. This follows the exercise of a Royalty Option Agreement by VDI Resources , a subsidiary of VerAI Discoveries Inc. VerAI has been granted a 1.5% net smelter return royalty on certain target areas, with an additional 1.5% NSR in exchange for funding the drill program.

The program will test four high-priority targets identified by VerAI's proprietary AI technology. These targets are located near where Conquest previously discovered anomalous hydrothermal copper mineralization in 2021 and 2022. The AI analysis has identified seven separate areas with signatures similar to the geological setting of the past-producing Copperfields Mine.

Positive

• Commencement of a 3,000 m diamond drill program on the Belfast TeckMag Project
• Funding secured for the drill program through royalty agreement with VerAI
• Identification of seven high-priority target areas using AI technology
• Potential for iron-oxide-copper-gold (IOCG) ore and affiliated deposits

Negative

• Granting of additional royalties may reduce future revenue potential for Conquest

VerAI Drill Program to Commence on High Priority AI Targets

Toronto, Ontario--(Newsfile Corp. - September 17, 2024) - Conquest Resources Limited (TSXV: CQR) ("Conquest" or the "Company") is pleased to announce that following the exercise of a Royalty Option Agreement by VDI Resources LLC, a subsidiary of VerAI Discoveries Inc. ("VerAI"), a 3,000 m diamond drill program is scheduled to commence this month on the Belfast TeckMag Project located northeast of Sudbury, Ontario.

In April 2024, Conquest entered into a Royalty Purchase and Sale Agreement with VerAI, to which Conquest agreed to grant VerAI a 1.5% net smelter return royalty on certain target areas with recommended drilling locations generated by VerAI, utilizing its proprietary artificial intelligence ("AI") technology. Conquest also agreed to grant VerAI an additional 1.5% NSR in return for funding a drill program for testing four targets identified by VerAI on the Belfast TeckMag Project.

Multiple high priority drill targets have been generated using VerAI's proprietary AI technology. The targets are located proximal to where Conquest discovered highly anomalous hydrothermal copper mineralization through drilling in 2021 and 2022 (See news release dated October 20, 2021). This mineralization and associated alteration in drill core was interpreted to be related to a hydrothermal system capable of forming iron-oxide-copper-gold (IOCG) ore and affiliated deposits.

Thomas Obradovich, CEO of Conquest stated, "VerAI has completed a thorough analysis covering our Belfast TeckMag Project using their AI technology incorporating our own data into their proprietary model. The work has identified seven separate areas that have a similar signature to the geological setting at the past-producing Copperfields Mine. Drilling will commence later this month on four of the highest priority targets identified by VerAI."

QUALIFIED PERSON

The technical information presented in this news release has been reviewed and approved by Joerg Kleinboeck, P.Geo., a qualified person as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects.

ABOUT CONQUEST

Conquest Resources Limited, incorporated in 1945, is a mineral exploration company that is exploring for base metals and gold on mineral properties in Ontario.

Conquest holds a 100% interest in the Belfast-TeckMag Project, located in the Temagami Mining Camp at Emerald Lake, Ontario, which is believed to have exceptional exploration upside for magmatic sulphide deposits (Cu-Ni-PGE), volcanic massive sulphides, IOCG, iron formation hosted Au and Paleo-placer Au. The Belfast-TeckMag Project is the Company's flagship property, evolved from the Golden Rose Project, which was initially acquired in December 2017, and significantly augmented through the acquisition of Canadian Continental Exploration Corp. ("CCEC") in 2020 and subsequent additional claim staking and purchases in its adjacent Belfast Copper Project and TeckMag Property.

Conquest now controls over 300 square kilometers of underexplored territory in the Temagami Mining Camp, including the past producing Golden Rose Mine at Emerald Lake.

Conquest also holds a 100% interest in the Alexander Gold Property located immediately east of the Red Lake and Campbell mines in the heart of the Red Lake Gold Camp along the important "Mine Trend" regional structure. Conquest's property is almost entirely surrounded by Evolution Mining landholdings.

In addition, the Company holds interests in the Smith Lake Gold Property and Lake Nipigon Basin Property.

About VerAI Discoveries, Inc.

VerAI Discoveries ("VerAI") is an AI-powered mineral discovery business revolutionizing the way concealed deposits are discovered. VerAI's mission is to discover the critical minerals essential to the green-energy transition by working with industry partners to target mineral deposits in underexplored covered terrain. By deploying its novel proprietary AI/ML Discovery Platform, VerAI is dramatically increasing the probability of discovering substantial deposits of different commodities in various geological jurisdictions, shortening targeting time, reducing exploration costs, and minimizing the exploration environmental footprint. For more information, visit https://ver-ai.com/.

FOR FURTHER INFORMATION CONTACT:
general@ConquestResources.com
www.ConquestResources.com
Tom Obradovich
President & Chief Executive Officer
416-985-7140

Forward-looking statements. This news release may include certain "forward-looking statements". These statements relate to future events or our future performance. The use of any of the words "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", "potential", "should", "believe" and similar expressions is intended to identify forward-looking statements. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the release of escrowed funds, future cash on hand, potential mineralization, resources and reserves estimates, exploration results, and future plans and objectives of Conquest, are forward-looking statements that involve various risks and uncertainties. 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. Important factors that could cause actual results to differ materially from Conquest's expectations are exploration risks detailed herein and from time to time in the filings made by Conquest with securities regulators. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law. Neither the TSXV nor its Regulation Services Provider (as defined in the policies of TSXV) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/223512

FAQ

What is the size of the drill program announced by Conquest Resources (TSXV: CQR)?

Conquest Resources (TSXV: CQR) has announced a 3,000 m diamond drill program on its Belfast TeckMag Project.

How many high-priority target areas did VerAI's AI technology identify for Conquest Resources (TSXV: CQR)?

VerAI's AI technology identified seven separate high-priority target areas for Conquest Resources (TSXV: CQR) on the Belfast TeckMag Project.

What type of mineralization is Conquest Resources (TSXV: CQR) exploring for on the Belfast TeckMag Project?

Conquest Resources (TSXV: CQR) is exploring for iron-oxide-copper-gold (IOCG) ore and affiliated deposits on the Belfast TeckMag Project.

What royalty did Conquest Resources (TSXV: CQR) grant to VerAI for the Belfast TeckMag Project?

Conquest Resources (TSXV: CQR) granted VerAI a 1.5% net smelter return royalty on certain target areas, with an additional 1.5% NSR in exchange for funding the drill program.