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Quartz Announces Acquisition of Buck Property & Graduation to TSX Venture Exchange

November 23, 2011

VANCOUVER, Nov. 23, 2011 /PRNewswire/ – Quartz Mountain Resources Ltd. (“Quartz” or the “Corporation“) (NEX: QZM.H; OTCBB: QZMRF) announces the acquisition of an option
(the “Option“) to acquire a 100% interest in the Buck gold-silver property located
in central British Columbia (the “Buck Property“) from Hunter Dickinson Resources Ltd. (“HDRL“). Quartz has also made an application to graduate from the NEX
Exchange to Tier 2 of the TSX Venture Exchange (the “TSX-V“).

Acquisition of Buck Property

HDRL holds the Option pursuant to an option agreement (the “Option Agreement“) with the owners of the Buck Property (the “Option Grantors“) dated June 28, 2011. HDRL has agreed to sell its interest in the
Option Agreement to Quartz, pursuant to a sale agreement (the “Sale Agreement“) dated November 22, 2011.

Sale Agreement

As consideration for HDRL entering into the Sale Agreement, Quartz will:

        --  pay to HDRL $100,000 in cash and issue 1,200,000 shares in the
            capital of Quartz on the closing of the transaction;
        --  issue to HDRL 1,200,000 shares in the capital of Quartz in the
            event that Quartz completes a National Instrument 43-101
            compliant resource estimate on the Buck Property (the "First
            Milestone Shares");
        --  issue to HDRL 2,400,000 shares in the capital of Quartz in the
            event that Quartz completes a 'preliminary assessment' or a
            'pre-feasibility study' (as those terms are used in National
            Instrument 43-101) on the Buck Property (the "Second Milestone
            Shares"); and
        --  issue to HDRL 2,400,000 shares in the capital of Quartz in the
            event that Quartz completes a 'feasibility study' (as that term
            is used in National Instrument 43-101) on the Buck Property
            (the "Third Milestone Shares" and, together with the First
            Milestone Shares and the Second Milestone Shares, the
            "Milestone Consideration").

The Sale Agreement is subject to certain conditions, including the
following:

        --  HDRL completing, at its own cost, a report and work program for
            the Buck Property in accordance with the requirements of
            National Instrument 43-101 (the "Report");
        --  the graduation of Quartz from the NEX Exchange to the TSX-V;
        --  the completion by Quartz of a debt or equity financing of at
            least $5,000,000; and
        --  approval of the TSX-V and shareholder approval or the written
            consent of over 50% of the shareholders of the Corporation.

HDRL has recently completed the Report on the Buck Property and Quartz
expects to file the Report on SEDAR shortly.

Option Agreement

In order to exercise the Option, Quartz will:

        --  pay to the Option Grantors a total amount of $20,000 and issue
            to the Option Grantors a total of 100,000 shares in the capital
            of Quartz on the effective date of the Option Agreement;
        --  on the first anniversary of the effective date, pay the Option
            Grantors a total amount of $25,000 and issue a total of 150,000
            shares in the capital of Quartz;
        --  on the second anniversary of the effective date, pay the Option
            Grantors a total amount of $30,000 and issue a total of 200,000
            shares in the capital of Quartz; and
        --  on the third anniversary of the effective date, pay the Option
            Grantors a total amount of $30,000 and issue a total of 200,000
            shares in the capital of Quartz (collectively, the "Grantor
            Payments").

Following the exercise of the Option, Quartz will become the 100% owner
of the Buck Property, subject to a 3% net smelter return royalty.
Quartz will have the right at any time to reduce the royalty by 1% by
paying $500,000 to the Option Grantors. The royalty will be reduced by
a further 1% after royalty payments to the Option Grantors have
equalled or exceeded $10,000,000.

About the Buck Property

The Buck Property is an exploration project located near the Town of
Houston in central British Columbia. Historical drilling, trenching
and geological mapping has shown the presence of epithermal gold-silver
mineralization on the property, that is similar in age and character to
other BC Upper Cretaceous mineral occurrences such as New Gold’s
Blackwater-Davidson deposit (Indicated resources of 165 million tonnes
grading 1.01 g/t gold and Inferred resources of 39 million tonnes
grading 0.94 g/t; September 2011), Silverquest’s Capoose deposit
(Indicated resources of 31.2 million tonnes grading 0.38 g/t and
Inferred resources of 37.3 million tonnes grading 0.37 g/t; September
2011) and Amarc’s Newton gold prospect.

The gold-silver mineralization occurs within an alteration zone
extending at least 700 metres in an east-west direction and 600 metres
in a north-south direction, and is open for further expansion. There
is also potential for additional discoveries on the remainder of the
large 55,998.46 hectare property.

Mark Rebagliati, P. Eng., a Qualified Person as defined under National
Instrument 43-101, has reviewed the technical content in this release.

About Quartz

Quartz is a mineral exploration and development company based in
Vancouver, Canada, which is currently listed on the NEX Exchange.
Quartz Mountain is associated with Hunter Dickinson Inc. (HDI), a
diversified, global mining group with more than 25 years of mineral
development success.

On behalf of the Board of Directors

Rene G. Carrier
President and Chief Executive Officer

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 release.

This release includes certain statements that may be deemed “forward
looking statements”. All statements in this release, other than
statements of historical facts, that address exploration drilling,
exploitation activities and events or developments that the Corporation
expects are forward looking statements. Although the Corporation
believes the expectations expressed in such forward looking statements
are based on reasonable assumptions, such statements are not guarantees
of future performance and actual results or developments may differ
materially from those in the forward looking statements. Factors that
could cause actual results to differ materially from those in forward
looking statements include uncertainty related to the completion of the
required financing, the fulfillment of the conditions upon which the
transaction described herein is dependent, market prices, exploitation
and exploration successes, continuity of mineralization, potential
environmental issues and liabilities associated with exploration,
development and mining activities, uncertainties related to the ability
to obtain necessary permits, licenses and title and delays due to third
party opposition, changes in government policies regarding mining and
natural resource exploration and exploitation, continued availability
of capital and financing, and general economic, market or business
conditions. Investors are cautioned that any such statements are not
guarantees of future performance and actual results or developments may
differ materially from those projected in the forward looking
statements. For more information on the Corporation, investors should
review the Corporation’s continuous disclosure filings that are
available at www.sedar.com

SOURCE Quartz Mountain Resources Ltd.


Source: PR Newswire