CRES Announces Mineral Property Acquisitions and Management Changes
CREST RESOURCES INC.
S u i t e 11 00 - 5 95 H o w e S t re e t , V a n c o u v e r , B C V6 C 2 T 5
T ( 6 0 4) 681 - 3 1 7 0, F ( 6 0 4 ) 681 -3552
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NEWS RELEASE
CREST RESOURCES INC. ANNOUNCES MINERAL PROPERTY ACQUISITIONS AND
MANAGEMENT CHANGES
Vancouver, B.C. – March 11, 2020 ‐ Crest Resources Inc. (CSE: CRES) (the “Company” or “Crest”) is pleased
to announce that it has entered into property purchase and sale agreements to acquire interests in two
gold properties located in Central Newfoundland and Labrador through the Company’s 60% owned
subsidiary, 1240297 B.C. Ltd. The gold properties are known as Jonathan’s Pond and Mt. Peyton.
The Jonathan’s Pond and Mt. Peyton gold properties are located approximately 22.5 kilometers northeast
and 11.5 kilometers west respectively of Newfound Gold Corp’s recent discovery, where diamond drilling
at its 100% owned Queensway gold property returned values of 92.86 g/t gold over 19.0 meters including
285.2 g/t over six meters (see Newfound Gold Corp’s News Release dated January 28-2020).
Jonathan’s Pond
On February 13, 2020, 1240297 B .C. Ltd. entered into a property purchase and sale agreement with
certain vendors to acquire a 100% interest, subject to a 3% net smelter returns royalty of which the
purchaser may repurchase 1.5% of the NSR for $1,000,000 at any time, in the Jonathan’s Pond gold
property (the “JP Property”) for consideration of $50,000 cash and 2,000,000 common shares of 1240297
B.C. Ltd. payable over a four month period. One of the vendors of the JP Property is Nicholas Rodway,
the Vice President of Business Development of the Company, who will receive 300,000 shares of 1240297
B.C. Ltd. in the transaction.
The JP Property consists of three mineral licences (14 claims) encompassing a land area of approximately
3.5 km². The JP Property is located 14 km north of the town of Gander, Newfoundland and Labrador. The
JP Property is accessible by traveling north on Highway 330 (Gander Bay Road) where the JP Property
transects the highway at kilometer 18. The JP Property has existing power lines running on its easternmost
side.
Exploration efforts on the JP Property date back to the early 1970’s when International Mogul Mines Ltd.
flew an airborne magnetic and VLF survey over the JP Property. In the la te 1970’s the Newfoundland
Geological Survey discovered a gold/arsenopyrite bearing rock assaying 6.0 g/t gold , later to be named
the Westfield Showing. In the early 1980’s Westfield Minerals Ltd. conducted prospecting and trenching
that returned 8.9 g/t Au over two meters, including a grab sample of 12.8 g/t go ld. From 2002 -2004
Rubicon Minerals Corp. conducted a prospecting program consisting of soil, rock sampling and trenching
uncovering soil samples of up to 698 ppb Au and a quartz rich boulder that assayed 50 g/t gold. In 2014,
trenching was completed on b ehalf of a local prospector as follow up to the collection of elevated till
samples that assayed up to 5.5 g/t gold in the north easternmost part of the claims . Additionally, 11
trenches were dug and assayed, none of which proved the source of the elevated gold in till and float grab
samples. In 2017 Newfound Gold Corp. conducted a prospecting program which revealed elevated till
samples of up to 9217 ppb in the southern part of the JP Property.
The geology of the JP Property as mapped by the Newfoundland and Labrador Geologic Survey is late
Cambrian to early Ordovician in age and surficial exposure consists of fine to medium- grained gabbro of
the Gander River Complex. A weak north-northeast penetrative fabric has been developed in the gabbro’s
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and is bounded by siliciclastic sediments of the Ten Mile Lake Formation to the e ast and west.
Serpentinized and talc-carbonate altered ultramafic rocks are exposed in a trench to the north and are
interpreted to be in fault contact with the gabbro. The JP Property is bounded to the east by a thrust fault
that runs northeast from Gander Lake.
Mt. Peyton
On February 13, 2020, 1240297 B .C. Ltd. entered into a property purchase and sale agreement with
certain vendors to acquire a 100% interest, subject to a 3% net smelter returns royalty of which the
purchaser may repurchase 1.5% of the NSR for $1,500,000 at any time, in the Mt. Peyton property (the
“MP Property”) for consideration of $75,000 cash and 3,000,000 common shares of 1240297 B .C. Ltd.
payable over a three month period. One of the vendors of the MP Property is Nicholas Rodway, the Vice
President of Business Development of the Company, who will receive 450,000 shares of 1240297 B.C. Ltd.
in the transaction and retain a 0.45% NSR on the claims.
The MP Property consists of 15 licenses (94 claims), with a total land area of 23.5 km². The MP Property
is located approximately 16 km west of the town of Glenwood, Newfoundland and Labrador and is
accessible via the Trans Canada Highway and ATV trails.
There has been a long history of exploration on the MP Property, dating back to the late 1980’s including
the 1990 drilling of the Hurricane Prospect by a Noranda -Noront joint venture, where diamond drilling
returned gold values of 7.9 g/t over one meter and 6.3 g/t over two meters at shallow depths (<20 meters).
A geophysical survey was also conducted during this program . From 2001-2003, Rubicon Minerals Corp.
conducted a general reconnaissance program that returned rock grab samples of up to 18.9 g/t gold from
float boulders, the source of which was never located. In 2005, Rubicon Minerals Corp. conducted a n
induced polarization and resistivity survey on a portion of the property. In 2008, a 260-meter drilling
program was conducted by Paragon Minerals Corp. returning 0.70 meters of 8.83 g/t gold and a
geochemical sampling program that assayed float boulders with up to 30.0 g/t gold.
The Mt. Peyton area has been mapped by the Newfoundland and Labrador Geologic Survey as being
underlain by fine to medium grained rocks of the Mount Peyton Intrusive Suite that are Cambrian to
Ordovician in age. The northernmost claims contain mafic plutonic rocks, which are gabbroic to dioritic in
composition. The central part of the property consists of both mafic and felsic plutonic rocks. Most of the
felsic rocks are granitic in composition and there is a wide range of felsic plutonic rocks. Siliciclastic
sediments of the Ten Mile Lake Formation bound the property on the far northeastern margins.
Exploration Plans
Crest’s technical team has immediately begun compiling a geological database in order to create more
layers to better delineate the next plans of action for the two projects. Crest plans to utilize a wide range
of geological a nd geophysical methods including more detailed ground surveys (IP, soil, rock,
geobotanical, trenching and channel sampling surveys) with intentions to initiate diamond drilling in mid-
summer 2020. Since there is so much historical data available on the two properties, Crest has also begun
looking into the potential to utilize some more modern techniques used in exploration, including artificial
intelligence and geostatistics, to locate additional unexplored targets on the properties.
The 2020 exploration program is predicted to start immediately following exploration approval.
The Company is investigating additional acquisition opportunities in the area.
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The technical portion of this news release was reviewed and approved by Mr. Nicholas Rodway, P.Geo., a
qualified person as defined under definition of NI 43-101.
Management Changes
The Company is pleased to announce that Garry Stock has been appointed to the Board of Directors of
the Company. The Company has received the resignation of Owen King from the Board of Directors to
pursue other professional opportunities. The Company would like to thank Mr. King for his service and
wish him well in his future endeavours.
The Company further announces that Emma Fairhurst, a director of the Company, has been appointed
the Chief Operating O fficer of the Company and Nicholas Rodway, P.Geo. has been appointed the Vice
President of Business Development of the Company.
ABOUT CREST RESOURCES INC.
Crest Resources Inc. is a proud British Columbia company listed on the Canadian Securities Exchange
under the symbol CRES . The Company’s principal business activity is the acquisition, exploration and
evaluation of mineral property assets and the investment in mineral exploration and mining technology
companies of merit with potential for favourable return on investment. The Company’s mineral property
assets are the Chala Copper property in Peru (65% owned) , the Lion’s Den property in Northern British
Columbia (100% owned), the Red Metal Ridge property o n Vancouver Island, British Columbia (51%
owned and 49% under further option) , and the Jonathan’s Pond and Mt. Peyton properties in
Newfoundland and Labrador ( under option). At the Company’s annual general meeting held November
25, 2019, the Company’s shar eholders approved a resolution authorizing the Company to expand its
corporate objectives including to become an investment issuer.
FOR FURTHER INFORMATION CONTACT:
Michael Collins
President and CEO
Crest Resources Inc.
Telephone: 604-681-3170
The Canadian Securities Exchange has neither approved nor disapproved the contents of this news release and
accepts no responsibility for the adequacy or accuracy hereof.
Forward-Looking Statements
This news release contains certain forward-looking statements, which relate to future events or future performance
and reflect management’s current expectations and assumptions. Such forward -looking statements reflect
management’s current beliefs and are based on assumptions made by and inf ormation currently available to the
Company. Readers are cautioned that these forward -looking statements are neither promises nor guarantees, and
are subject to risks and uncertainties that may cause future results to differ materially from those expected including,
but not limited to, market conditions, availability of financing, actual results of the Company’s exploration and other
activities, environmental risks, future metal prices, operating risks, accidents, labor issues, delays in obtaining
governmental approvals and permits, and other risks in the mining industry. All the forward -looking statements
made in this news release are qualified by these cautionary statements and those in our continuous disclosure filings
available on SEDAR at www.sedar.com. These forward-looking statements are made as of the date hereof and the
Company does not assume any obligation to update or revise them to reflect new events or circumstances save as
required by applicable law.