Silver Quest Acquires Strategic Claims in Dawson Range


Silver Quest Resources Ltd. has entered into a mineral claims sales agreement to acquire 11 claim blocks, comprising 234 quartz mineral claims (49 square kilometres), from Atac Resources Ltd., located in the Dawson Range, Yukon Territory.

Under the terms of the Agreement, the Company will acquire a 100% interest in the 11 claim blocks, by making a one time cash payment of $115,000 and issuing 250,000 common shares. The claims were initially staked by ATAC based on anomalous gold silt and soil geochemical surveys undertaken by Archer, Cathro & Associates (1981) Limited, the Yukon Geological Survey and the Geological Survey of Canada. The Agreement is subject to regulatory acceptance and the securities issued pursuant to the Agreement will be subject to a four month hold period trading restriction from the date of issuance.

The Company has recently staked two additional claim blocks (232 mineral claims) in the Dawson Range. The claims, on Wolf Creek (the “Flow Property”) and Independence Creek (the “Solitude Property”), are subject to a bonus share clause under the Company’s July 20, 2009 Option Agreement (the “Boulevard Agreement”) with Rimfire Minerals Corporation (“Rimfire”), a wholly-owned subsidiary of Kiska Metals Corporation, and Northgate Minerals Corporation (“Northgate”) (see News Release July 23, 2009). Under the terms of the Boulevard Agreement the Company will issue 100,000 common shares, subject to a four month hold period trading restriction, to each of Rimfire and Northgate.

The Company has assembled one of the largest land packages in the Dawson Range, controlling approximately 236 square kilometres of mineral claims.

A detailed geochemical sampling and trenching exploration program is currently being planned for these properties.

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