Cartier Iron to Acquire a Silver Project in the Potosi Department, Bolivia; To Proceed With Share Consolidation and Name Change to Cartier Silver Corporation

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TORONTO, Oct. 26, 2022 (GLOBE NEWSWIRE) — Cartier Iron Corporation (CSE:CFE) (“Cartier iron” or the “company“) is pleased to announce that it has signed a letter of intent on October 25, 2022 (the “approval”) to earn a 100% interest in the Chorrillos Project, which comprises two separate properties known as the Gonalbert Mining District and the Felicidad Mining District located in southern Bolivia approximately 15 to 20 km southeast of Eloro Resources Ltd.’s Iska Iska- Silver tin lie polymetallic project.

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The agreement

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Under the terms of the Agreement, the Company’s 98% owned Bolivian subsidiary, Minera Cartier Bolivia SRL (“Cartier Bolivia‘) has been granted the right to earn a 100% interest in the Chorrillos Project by making staged payments totaling $4.5 million to the vendors and titleholders as follows:

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The Chorrillos Project

The “GONALBERT” mining district consists of 10 grids extending over 2.5 km² and located 15 km southeast of Iska Iska. A small artisanal mine operates on the property producing silver from a galena vein. Geologically, the property underlies the Miocene dacitic domes and veins that have intruded Ordovician bedrock sediments and likely represent a collapsed caldera 1-2 km in diameter. Alteration is widespread on the property with sulphide mineralization occurring in the form of veins, vein breccias, stockwork, veinlets and disseminations. Near the surface, the rocks are heavily oxidized. The mineralization appears to be part of an extensive epithermal medium to high sulfidation silver-lead-zinc system associated with volcanism and caldera formation. Deposits of tin and tungsten have been reported in the valley. The property has had limited modern exploration and never been drilled.

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The “FELICIDAD” mining district consists of 4 grids covering 1 km² and is located approximately 5 km southeast of the Gonalbert mining district. At Felicidad, the main structural feature is a conical hill that is heavily leached and oxidized, known by locals as the “pequeño Cerro Rico” or small Rich Hill. Historically, artisanal mining has unearthed silver-rich galena veins and vein breccias. The geology is similar to that of the Gonalbert Mining District with an intensely mineralized medium to high sulphidation epithermal system and a prominent oxidized cap. The property was never drilled.

Cartier Iron is planning a program of geological mapping, geophysical surveys, sampling of historical workings and trenching followed by diamond drilling on both properties.

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Share consolidation and name change

At the Annual General Meeting and Extraordinary General Meeting of the Company on June 30, 2021 (the “To meet”), its shareholders approved a proposed consolidation of the number of issued and outstanding common shares of Cartier Iron on a basis of one (1) new common share for up to five (5) current common shares outstanding (the “consolidation”), with the actual consolidation ratio to be determined by the Board of Directors of the Company. The Board of Directors believes that the Consolidation will facilitate Cartier Iron’s ability to pursue financing for working capital and the exploration and development of its properties and has resolved to issue the Company’s common shares on a basis of one new common share for every five (5) to consolidate old common stock currently outstanding. Upon the effective date of the Consolidation, the 140,081,138 current issued and outstanding common shares as of the date of this disclosure would be consolidated into approximately 28,016,227 issued and outstanding common shares post-consolidation.

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The Company intends to submit amendments to the Articles of Incorporation pursuant to Commercial Corporations Act (Ontario) to complete the consolidation and make a name change to Cartier Silver Corporation immediately upon obtaining all necessary regulatory approvals. For those Shareholders who hold their Shares through investment dealers and other intermediaries, the consolidation will be performed automatically through those dealers and intermediaries. In return, for shareholders holding shares registered in their own name (each a “Registered Shareholder”), the Company will send letters of transmission for use by registered shareholders in submitting their share certificates to the Company’s registrar and transfer agent, TSX Trust Company for new certificates representing the number of post-consolidation common shares to which that shareholder will be entitled as a result of the consolidation. No delivery of a new share certificate will be made to a holder of record until the holder of record has returned its currently issued certificates of common stock. Pending redemption, each share certificate formerly representing Old Common Shares will, for all purposes, be deemed to represent the number of post-consolidation common shares to which that holder is entitled as a result of the Consolidation.

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No fractional shares will be issued in connection with the Consolidation; If a shareholder is entitled to a fraction of a share as a result of the Consolidation, that fraction will be canceled and the shareholder will receive a number of post-consolidation common shares rounded down to the nearest whole number of post-consolidation common shares.

The consolidation will not result in a capital gain or capital loss Income Tax Act (Canada) for a shareholder holding common stock as a capital property. The total adjusted cost basis to the shareholder of his or her new common stock immediately after the Consolidation equals the total adjusted cost basis of his or her common stock immediately prior to the Consolidation.

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The company will retain the same ticker symbol after the merger.

Qualified Person

dr Bill Pearson, P.Geo., Chief Technical Advisor for Cartier Iron and a Qualified Person (“QP“), as defined in National Instrument 43-101 (“NI 43-101‘), has reviewed and approved the geological and technical content of this news release.

About Cartier Iron Corporation

Cartier Iron is an exploration and development company focused on discovering and developing significant iron ore resources in Quebec, a gold property in the province of Newfoundland and Labrador and a silver property in Bolivia. The Company’s iron ore projects include Gagnon Holdings in the south Labrador Trough region of east-central Quebec. The Big Easy Gold Property is located in the epithermal gold belt of the Burin Peninsula in the Avalon Zone of eastern Newfoundland and the Company recently announced that it is proceeding with the acquisition of a silver property, the Chorrillos Project, in southern Bolivia.

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Please visit Cartier Iron’s website at www.cartieriron.com.

For more information please contact:

The CSE has not reviewed this press release and does not accept responsibility for the adequacy or accuracy of this press release. Statements in this press release that are not historical facts are “forward-looking statements.”
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