Nevada Clean Magnesium Renegotiates Joint Venture Terms with Scanmag

Nevada Clean Magnesium Inc. (TSXV:NVM,FWB:M1V) has revised the original joint venture terms of an October 15, 2013 agreement with ScanMag AS of Norway.

The renegotiated terms include a total contribution of US$5 million by ScanMag to Nevada Clean Magnesium and an advance of US$150,000 for Nevada Clean Magnesium upon signing the joint venture agreement. The boards of directors of both companies have approved the new terms, and Nevada Clean Magnesium expects final execution of the agreement to occur in May.

As quoted in the press release:

Nevada Clean will have the right to either agree to an extension or terminate the agreement if the total $5 million USD payment is not received by October 15, 2014. As a point of clarification per the “Binding Letter of Agreement” previously announced, ScanMag AS has agreed not to purchase NCM common stock on the open market until such time as the Joint Venture Agreement has been finalized.

Edward Lee, CEO of Nevada Clean Magnesium CEO, said:

We have worked very hard to come to terms on the JV Agreement and while the discussions between our two parties have been extensive, it was well worth the work. This partnership provides our technical staff with the platform to develop and operate the process within their facility, which will significantly lower the technical and investment risks associated with the development of the Tami–Mosi Project. This will be a very exciting time for not only both companies, but for the shareholders of Nevada Clean Magnesium as well. I look forward to what the future holds for our two companies.

Click here to read the Nevada Clean Magnesium Inc. (TSXV:NVM,FWB:N1B) press release.