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Saint Jean Carbon Inc. (TSXV:SJL) signed a non-arm’s length definitive agreement to acquire the Clot Property in southern Québec in exchange for 3,500,000 shares at $0.05 per share as partial consideration. Additional consideration for the Transaction included a $5,000 payment on the signing of the term sheet for the Clot Property, and a further $2,500 payment is to be made on the closing date of the transaction. The new Clot claims surround an area that was known as the past-producing Clot Mine.
As quoted in the press release:
On closing, the Company will issue 3,500,000 shares as partial consideration for the Clot Property at a deemed value of $0.05 per share. Additional consideration for the Transaction included a $5,000 payment on the signing of the term sheet for the Clot Property. A further $2,500 payment is to be made on the closing date of the transaction. The Company is required to issue an additional 1,000,000 shares for Clot Property on the first anniversary date of the Closing, subject to the
mining claims associated with the respective property producing a resource estimate with an ore quantity of 2,000,000 metric tonnes after the Company has made up to $250,000 in exploration expenditures on the property to verify same. All securities issued will be subject to a hold period of four months and one day pursuant to applicable security laws.
Saint Jean Carbon CEO, Paul Ogilvie, said:
The Clot property is on crown land and falls within the same geological and regional areas as our Walker, Wallingford and St. Jovite lump graphite properties and we are very pleased to have the
opportunity to add these new claims to our inventory of holdings which will complete our lump acquisitions. This region has a long history of graphite mining and we are looking forward to taking all steps necessary to develop our properties into operating mines.
Click here to read the Saint Jean Carbon Inc. (TSXV:SJL) press release
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