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Options on Additional Properties in Rainy River Greenstone Belt |
Q-GOLD ACQUIRES ADDITIONAL OPTIONS ON PATENTED LANDS
IN RAINY RIVER GREENSTONE BELT
SEC 12g 3-2(b) Exemption # 82-4931
Fort Frances, Ontario, July 26, 2007, Q-Gold Resources Ltd. (TSX VENTURE:QAU) (FRANKFURT:QX9) (http://www.qgoldresources.com) is pleased to announce that it has acquired options to purchase both mining and surface rights on an additional 3,616 acres (14.6 square kilometers) of patented land in the Rainy River Mining District near Stratton, Ontario. The patents are located in Tait, Morley, and Patullo Townships and are adjacent to a group of patented lands previously optioned by Q-Gold (see Press Release June 14, 2007) and a 2,600 acre block acquired by staking earlier this year (see Press Release April 26, 2007).
Q-Gold now controls 7,854 exploratory acres (31.8 square kilometers) which are prospective for gold and base metals, located approximately 5 kilometers to the southwest of Rainy Resources Ltd’s recently announced discovery of a series of high grade gold zones in the area.
The additional options were acquired from private landowners and are valid for a period of five years. They were purchased for cash and a total of 214,728 common shares of Q-Gold at a deemed price of $0.25 per share, subject to approval of the TSX-Venture Exchange. The options will vest after a series of annual cash payments over the five year term or earlier, at Q-Gold’s election. Landowners will retain a 2% Net Smelter Return (“NSR”) royalty on all mineral production from the patents.
As stated in the earlier press releases, “The Q-Gold property also contains a significant gold-in-till anomaly determined by the OGS (Geologic Series – OGS Map P. 3110, 1987, Johns, G.W., Author) that is in proximity to underlying bedrock parallel shear structures determined by previous magnetic surveys.”
Geologic mapping, sampling and trenching on the Company’s Rainy River holdings is now in progress in preparation for a reverse-circulation drilling program anticipated to begin in early Fall to test the gold-bearing potential of the bedrock.
Q-Gold’s President and CEO, J. Bruce Carruthers II stated “With the addition of these latest options, the Company now has a very significant land position of almost 8000 acres in the vicinity of one of Canada’s more significant new gold discoveries. I look forward to an active exploration program at Rainy River throughout the remainder of 2007.”
For all future Q-Gold investor relations needs, investors are asked to visit the Q-Gold IR Hub at http://www.agoracom.com/IR/Q-Gold where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to QAU@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.
About Q-Gold Resources Ltd.
Q-Gold is a Canadian-based mineral exploration company currently exploring for precious and base metals on its extensive Ontario holdings in the historic Gold Camp at Mine Centre of over 32,000 acres and over 4,000 acres in the Rainy River greenstone belt.
The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections. The TSX Venture Exchange has not reviewed this press release and neither approved nor disapproved the information contained in this press release.
CONTACT INFORMATION
Corporate Inquiries
Q-Gold Resources Ltd.
J. Bruce Carruthers II President
1-888-779-0166
Website: www.QGoldResources.com
Investor Relations
AGORACOM Investor Relations
http://www.agoracom.com/IR/Q-Gold
QAU@Agoracom.com
