Base Metals

Latin Metals and AngloGold Enter into Definitive Option Agreement Regarding Gold Exploration Projects, Salta Province, Argentina

Latin Metals and AngloGold Enter into Definitive Option Agreement Regarding Gold Exploration Projects, Salta Province, Argentina

TSXV: LMS, OTCQB: LMSQF) announces that it has entered into a binding option agreement (the " Option Agreement ") with AngloGold Argentina Exploraciones S.A. ("AngloGold"), a wholly owned subsidiary of AngloGold Ashanti Ltd. (NYSE: AU, JSE: ANG, ASX: AGG) made as of May 27, 2022. Subsequently, AngloGold provided notice that all conditions precedent have been satisfied, and as a result the Option Agreement's commencement date (the " Commencement Date ") has been established as June 2, 2022. Under the terms of the Option Agreement, Latin Metals granted to AngloGold the option to earn up to an 80% interest in the Company's Organullo, Ana Maria, and Trigal Gold projects (the " Projects ") located in Salta Province, northwestern Argentina ( Figure 1 ).

"We are delighted to welcome AngloGold as an option partner. AngloGold Ashanti is the fourth largest gold producer globally, with operations across four continents," said Keith Henderson, President and CEO of Latin Metals. "AngloGold's investment of up to USD $12.575 million for a 75% ownership interest in the Projects is a significant investment and, if AngloGold were to exercise its top-up right for an aggregate 80% ownership, additional investments by AngloGold would include delivery of a Mineral Resource estimate and further cash payments commensurate with defined ounces to Latin Metals."

Mr. Henderson added, "I am particularly pleased to have concluded this agreement so soon after completing a similar deal with Barrick Gold Corporation in February. Securing high-quality, technically excellent, and financially capable partners is a very important part of our prospect generator model and we hope to conclude additional deals as we continue to market our project portfolio."

Option Agreement Terms

Under the terms of the Option Agreement ( Table 1 ), AngloGold has been granted the option to earn an initial 75% interest in the Projects (the " Option ") by making cash payments to Latin Metals in the aggregate amount of USD $2,575,000 and spending an aggregate amount of USD $10,000,000 on exploration expenditures related to the Projects within five years of the Commencement Date (the " Option Period "). During the Option Period, Latin Metals will receive exploration results and data from AngloGold on a quarterly basis.

Upon the fulfilment of the payment obligations and exploration expenditures set forth above, and the delivery by AngloGold to Latin Metals of a notice of exercise of the Option (the " Option Exercise Date ") and subject to the exercise of Top-Up Right (as defined below), AngloGold and Latin Metals will be deemed to have formed a joint venture (the " Joint Venture ") for the continued exploration, development and, if warranted, commercialization of the Projects, in respect of which the initial participating interests of the parties will be, AngloGold as to 75% and Latin Metals as to 25%.

Upon the exercise of the Option, AngloGold may give notice to Latin Metals of its intention to increase its interest in the Projects to 80% (the " Top-Up Right "). The Top-Up Right may be exercised within 150 days of the Option Exercise Date by AngloGold:

(i) preparing and delivering to Latin Metals an independent Measured and Indicated Mineral Resource estimate prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (" NI 43-101 ") on one or more deposits contained within the Projects; and

(ii) paying to Latin Metals an amount of USD $4.65 per gold equivalent ounce contained within the Measured and Indicated Mineral Resource estimate.

Upon the exercise of the Top-Up Right, the parties' interests in the Joint Venture will be adjusted such that the participating interests of the parties will be AngloGold as to 80% and Latin Metals as to 20%.

If and when the parties form the Joint Venture, the provisions of the agreement governing the Joint Venture will be negotiated and settled by the parties and will provide, among other things, that if the participating interest of either party falls below 10%, the interest of such party shall be converted to a 2% net smelter returns royalty, half of which (being 1%) can be purchased by the other party for USD $5,000,000 at any time until the date that is three (3) months after a production decision concerning one or more of the Projects has been made.

Table 1: Option Terms

Date Cash Payments
(USD)
Expenditure
Commitments

(USD)
On or before June 17, 2022 $275,000 -
On or before June 2, 2023 $100,000 -
On or before June 2, 2024 $150,000 $2,000,000
On or before June 2, 2025 $200,000 -
On or before June 2, 2026 $850,000 $4,000,000
On or before June 2, 2027 $1,000,000 $4,000,000
Total $ 2,575,000 $ 10,000,000

About The Projects

The Projects are in Salta Province, in northwest Argentina ( Figure 1 ). Latin Metals currently holds a 100% interest in each of the Projects. The Projects are located within the Argentine Puna region; the southern extension of the Altiplano of southern Peru.

Organullo Project

The Organullo project was historically explored and mined on a small scale at the Julio Verne Mine in the 1930's, producing copper, bismuth and gold. Subsequent explorers include Triton Mining Corporation, Northern Orion Exploration, Newmont Corporation, Cardero Resources Corp., Latin Metals and most recently Yamana Gold Inc. (2018 to 2020). Historical exploration includes 28 diamond drill holes (5,872m), 30 reverse circulation drill holes (5,107m), 3,158 rock samples, as well as extensive surface geochemistry and geophysical surveys. The project is well known as a gold-focused project with locally high-grade gold outcropping at surface, but exploration shows juxtaposed epithermal and porphyry mineralization, and evidence for multiple copper-gold endowed magmatic hydrothermal centers. The project has a large alteration and mineralization footprint with multiple untested epithermal gold and copper porphyry targets. The project is accessed via existing roads and is located just 20 km south of a regional center called San Antonio de Los Cobres.

Ana Maria Project

The Ana Maria project was acquired by Latin Metals through staking and consists of three mining claims partially contiguous with the more advanced Organullo Project. The project has not been subject to prior detailed exploration. The area is prospective for epithermal gold deposits and associated mineralization. The area was covered by a BLEG sampling program, which was undertaken in partnership with Newmont in 2008.

Trigal Project

The Trigal project is a gold and silver exploration project, which was first identified as having potential following a BLEG sampling program undertaken by the Company in partnership with Newmont Corporation. The project is contiguous with the El Quevar project owned by Golden Minerals Company, an advanced exploration-stage silver exploration project, with an indicated and inferred mineral resource. In April 2020, the El Quevar project was optioned by Barrick Gold Corporation.

Readers are cautioned that the mines and deposits described above are adjacent properties and Latin Metals has no interest in or right to acquire any interest in the properties outside of the Projects. Mineral deposits on adjacent properties and any production therefrom or economics with respect thereto, are not in any way indicative of mineral deposits on the Projects or the potential production from, or cost or economics of, any future mining on the Projects. The adjacent properties are described to highlight the potential of the belt and certain properties contained within it.

About Latin Metals

Latin Metals is a mineral exploration company acquiring a diversified portfolio of assets in South America. The Company operates with a Prospect Generator model focusing on the acquisition of prospective exploration properties at minimum cost, completing initial evaluation through cost-effective exploration to establish drill targets, and ultimately securing joint venture partners to fund drilling and advanced exploration. Shareholders gain exposure to the upside of a significant discovery without the dilution associated with funding the highest-risk drill-based exploration. Latin Metals has recently concluded deals to option out exploration properties to Barrick Gold Corporation, and Libero Copper and Gold.

Qualified Person

Keith J. Henderson P.Geo is the Company's qualified person as defined by NI 43-101, and has reviewed and approved for disclosure the scientific and technical information contained in this news release. Mr. Henderson is not independent of the Company, as he is an employee of the Company and holds securities of the Company.

On Behalf of the Board of Directors of

Latin Metals Inc.

" Keith Henderson "

President & CEO

For further details on the Company readers are referred to the Company's web site ( www.latin-metals.com ) and its Canadian regulatory filings on SEDAR at www.sedar.com .

For further information, please contact:

Keith Henderson
Suite 890
999 West Hastings Street
Vancouver, BC, V6C 2W2
Phone: 604-638-3456
E-mail: info@latin-metals.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

This news release contains forward-looking statements and forward-looking information (collectively, "forward-looking statements") within the meaning of applicable Canadian and U.S. securities legislation, including the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding the exercise of the Option and the Top-Up Right by AngloGold, the entering into of the Joint Venture, future exploration of the Projects, anticipated exploration program results from exploration activities, the discovery and delineation of mineral deposits/resources/reserves, and the anticipated business plans and timing of future activities of the Company, are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Often, but not always, forward looking information can be identified by words such as "pro forma", "plans", "expects", "may", "will", "should", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "potential" or variations of such words including negative variations thereof, and phrases that refer to certain actions, events or results that may, could, would, might or will occur or be taken or achieved. In making the forward-looking statements in this news release, the Company has applied several material assumptions, including without limitation, that it will obtain TSX Venture Exchange acceptance, if applicable, and the required corporate approvals for the proposed transaction, that market fundamentals will result in sustained precious metals demand and prices, the receipt of any necessary permits, licenses and regulatory approvals in connection with the future development of the Company's Argentine projects in a timely manner, the availability of financing on suitable terms for the development, construction and continued operation of the Company's projects, and the Company's ability to comply with environmental, health and safety laws.

Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements expressed or implied by the forward-looking information. Such risks and other factors include, among others, operating and technical difficulties in connection with mineral exploration and development and mine development activities at the Projects, estimation or realization of mineral reserves and mineral resources, requirements for additional capital, future prices of precious metals and copper, changes in general economic conditions, changes in the financial markets and in the demand and market price for commodities, possible variations in ore grade or recovery rates, possible failures of plants, equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining industry, delays or the inability of the Company to obtain any necessary permits, consents or authorizations required, including of the TSX Venture Exchange, financing or other planned activities, changes in laws, regulations and policies affecting mining operations, currency fluctuations, title disputes or claims limitations on insurance coverage and the timing and possible outcome of pending litigation, environmental issues and liabilities, risks relating to epidemics or pandemics such as COVID-19, including the impact of COVID-19 on the Company's business, risks related to joint venture operations, and risks related to the integration of acquisitions, as well as those factors discussed under the heading "Risk Factors" in the Company's latest Management Discussion and Analysis and other filings of the Company with the Canadian Securities Authorities, copies of which can be found under the Company's profile on the SEDAR website at www.sedar.com .

Readers are cautioned not to place undue reliance on forward looking statements. Except as otherwise required by law, the Company undertakes no obligation to update any of the forward-looking information in this news release or incorporated by reference herein.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/87de163f-df48-4f56-8cf9-0f4c32a2e68d


Primary Logo

News Provided by GlobeNewswire via QuoteMedia

LMS:CA
Latin Metals Reports High Grade Copper Mineralization at Auquis Project, Peru

Latin Metals Reports High Grade Copper Mineralization at Auquis Project, Peru

TSXV: LMS) OTCQB: LMSQF) is pleased to announce results of a recently completed rock sampling program at its 100% own Auquis project (the " Property ") located in the Coastal Copper Belt, Peru. A total of 234 rock chip samples were collected to follow up on anomalous soil samples collected earlier in the year (see NR22-06, April 2022). Rock chip sampling has highlighted copper grades ranging from 22 ppm to 12.8% copper across the Property ( Figures 1 and 2 ).

Figure 1. Map highlighting areas where recent rock chip sampling was completed over several peak soil anomalies at Auquis Property, Coastal Copper Belt, Peru. Area defined by red square shows very consistent copper mineralization over 1km x 1km extent is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/22d3ff98-e59e-49c3-a351-7ed150fd0405

News Provided by GlobeNewswire via QuoteMedia

Keep reading...Show less
Latin Metals Reports IP Survey Results at Lacsha Project, Peru

Latin Metals Reports IP Survey Results at Lacsha Project, Peru

TSXV: LMS) OTCQB: LMSQF) is pleased to announce the results of the Induced Polarization (" IP ") survey at its 100% own Lacsha project, located in the Coastal Copper Belt, Peru. The objective of the recently completed survey was to determine the distribution of potentially copper bearing sulphides (IP chargeability), distribution of alteration (IP resistivity and ground magnetics) to frame the Lacsha copper target in the context of an upright, intact porphyry copper system and identify drill targets. The responses in general correlate well with generally accepted porphyry exploration models and the result is four high-priority targets areas ( Figures 1 and 2 ).

News Provided by GlobeNewswire via QuoteMedia

Keep reading...Show less
Latin Metals Inc. Invites Shareholders and Investment Community to visit them at Booth 3142 at PDAC 2022 in Toronto, June 13-15

Latin Metals Inc. Invites Shareholders and Investment Community to visit them at Booth 3142 at PDAC 2022 in Toronto, June 13-15

Latin Metals Inc. (TSXV: LMS) invites you to visit them at Booth #3142 at The Prospectors & Developers Association of Canada Convention (PDAC) at the Metro Toronto Convention Centre (MTCC) on Monday June 13 to Wednesday June 15, 2022.

About Latin Metals Inc.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
Latin Metals Discovers High-Grade Copper Mineralization, Auquis Project, Peru

Latin Metals Discovers High-Grade Copper Mineralization, Auquis Project, Peru

TSXV: LMS) OTCQB: LMSQF) is pleased to announce positive exploration results from its 100%-owned Auquis copper project (" Auquis " or the " Project "), located in the Coastal Copper Belt, where soil sampling results define high-grade anomalous copper over a 3km x 2km area.

Auquis Copper Project

News Provided by GlobeNewswire via QuoteMedia

Keep reading...Show less
Latin Metals Provides Update on Barrick Earn-In Agreement for Exploration Projects, Santa Cruz Province, Argentina

Latin Metals Provides Update on Barrick Earn-In Agreement for Exploration Projects, Santa Cruz Province, Argentina

TSXV: LMS, OTCQB: LMSQF) provides an update on its previously announced earn-in agreement (the " Earn-In Agreement ") with a wholly-owned subsidiary of Barrick Gold Corporation (" Barrick "), whereby Latin Metals granted to Barrick the option to earn-up to an 85% interest in the Cerro Bayo, Cerro Bayo Sur and Flora Este properties, located in Santa Cruz Province, Argentina (the " Properties ") (see news release dated February 7, 2022).

Latin Metals announces that it and Barrick have entered into an agreement with the underlying owner of the Properties as of February 25, 2022 (" Effective Date "). Under the terms of the agreement, the underlying owner of the Properties has acknowledged Barrick's rights under the Earn-In Agreement and authorized Barrick to conduct operations on the Properties. Under the terms of the Earn-In Agreement, Barrick is now obligated to incur at least USD $1,000,000 in exploration expenditures on the Properties by the second anniversary of the Effective Date. Latin Metals has now also received the US$150,000 cash payment from Barrick that was due on the Effective Date.

News Provided by GlobeNewswire via QuoteMedia

Keep reading...Show less
PAN GLOBAL ANNOUNCES FULLY FUNDED 20,000-METER ESCACENA PROJECT DRILL PROGRAM

PAN GLOBAL ANNOUNCES FULLY FUNDED 20,000-METER ESCACENA PROJECT DRILL PROGRAM

  • Board of Directors approves 20,000-meter, multi-target drill program at the Escacena Project for 2023
  • Plan includes La Romana drilling expansion and resource delineation
  • Drilling underway at La Romana, Romana Deep, and Zarcita
  • La Romana metallurgical studies continuing

Pan Global Resources Inc. ("Pan Global" or the "Company") (TSXV: PGZ) (OTC: PGNRF) is pleased to announce that the Board of Directors of the Company has approved plans for a fully funded 20,000-meter drill program at the Company's flagship Escacena Project ("Escacena"). Escacena is located approximately 35 kilometers northwest of Seville on the Iberian Pyrite Belt in southern Spain a prolific volcanogenic massive sulphide (VMS) district and tier one mining jurisdiction with a number of significant producing copper and polymetallic mines.

Pan Global Resources Inc. logo (CNW Group/Pan Global Resources Inc.)

Pan Global's President and CEO Tim Moody noted: "Escacena has been the focus of Pan Global's exploration since the recent copper/tin/silver discovery at the La Romana target. To the end of 2022, we completed approximately 140 drill holes at La Romana with mineralization in almost every hole. Our 2023 plan is expected to include more than 50 additional drill holes at Escacena. This includes a 10-hole stepout and infill drill program at La Romana that is already underway targeting electromagnetic anomalies, further testing the continuity and potential down-dip extensions of the mineralization."

Catalysts for 2023 include:

  • Assay results from the ongoing exploration drilling at La Romana, the Romana Deep target (electromagnetic anomaly on the down-dip projection of the La Romana mineralization) and Zarcita target (located 4 km north of La Romana)
  • Gaining access to the west and east of La Romana to continue testing extensions of the geophysics target
  • Ongoing La Romana metallurgy testwork
  • Assay results from drilling on additional exploration targets

Mr. Moody added: "With a fully funded program for 2023, and three drill rigs currently operating on three targets at La Romana, Romana Deep, and Zarcita, plus exploration advancing on a number of other targets, we are well set up for an exciting year ahead at Escacena."

Annual incentive grant approved

The Pan Global Board of Directors has approved grants under the Company's shareholder-approved Omnibus Equity Incentive Compensation Plan (the "Plan") of a total of 2.165 million incentive stock options; 0.55 million Restricted Share Units (RSUs); and 0.65 million Deferred Share Units (DSUs) to officers, directors, employees, and consultants to the Company.

The incentive stock option entitles the holder to purchase the equivalent number of common shares of the Company at a price of $0.44 per common share for a period of five years from the date of grant. The options will vest as follows: 25% on grant, followed by additional 25% on each of 6-month, 12-month, and 18-month anniversaries from date of grant. The RSUs and DSUs will vest over two years from the effective date of grant, with one-third vesting 12 months after the effective date, and one-third vesting on each of the 18-month and 24-month anniversaries.

About the Escacena Project

The Escacena Project comprises a large, contiguous, 5,760-hectare land package controlled 100% by Pan Global in the east of the Iberian Pyrite Belt. The project is located near operating mines at Las Cruces and Riotinto and is immediately adjacent to the former Aznalcóllar and Los Frailes mines where Minera Los Frailes/Grupo Mexico is in the final permitting stage with mining anticipated to restart in late 2023. The Escacena Project hosts the La Romana copper-tin discovery and a number of other prospective targets, including Zarcita, Hornitos, La Jarosa, Romana Deep, Bravo, Barbacena, El Pozo, and San Pablo.

Pan Global Resources Inc. is actively engaged in base and precious metal exploration in southern Spain and is pursuing opportunities from exploration through to mine development. The Company is committed to operating safely and with respect to the communities and environment where we operate.

On behalf of the Board of Directors

www.panglobalresources.com

Statements which are not purely historical are forward-looking statements, including any statements regarding beliefs, plans, expectations or intentions regarding the future. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. The Company believes that the expectations reflected in the forward-looking information included in this news release are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking information should not be unduly relied upon. Risks and uncertainties include, but are not limited to, economic, competitive, governmental, environmental and technological factors that may affect the Company's operations, markets, products and prices. Readers should refer to the risk disclosures outlined in the Company's Management Discussion and Analysis of its audited financial statements filed with the British Columbia Securities Commission.

The forward-looking information contained in this news release is based on information available to the Company as of the date of this news release. Except as required under applicable securities legislation, the Company does not intend, and does not assume any obligation, to update this forward-looking information.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Cision View original content to download multimedia: https://www.prnewswire.com/news-releases/pan-global-announces-fully-funded-20-000-meter-escacena-project-drill-program-301733072.html

SOURCE Pan Global Resources Inc.

News Provided by PR Newswire via QuoteMedia

Keep reading...Show less
TSX Venture Exchange Stock Maintenance Bulletins

TSX Venture Exchange Stock Maintenance Bulletins

TSX VENTURE COMPANIES

CENTURY LITHIUM CORP. ("LCE ")
[formerly CYPRESS DEVELOPMENT CORP. ("CYP ")]
BULLETIN TYPE: Name Change
BULLETIN DATE: January 26, 2023
TSX Venture Tier 2 Company

News Provided by Canada Newswire via QuoteMedia

Keep reading...Show less
Getchell Gold Corp.: Invitation to VRIC Booth 135

Getchell Gold Corp.: Invitation to VRIC Booth 135

Getchell Gold Corp. (CSE: GTCH) (OTCQB: GGLDF) is pleased to announce that it will be attending the Vancouver Resource Investment Conference (VRIC) to be held at the Vancouver Convention Centre West (1055 Canada Place, Vancouver) on Sunday January 29 - Monday January 30, 2023. All attending investors are cordially invited to visit the Getchell Gold team at Booth #135.

Notable VRIC keynote speakers include former Premier of BC Christy Clark and former Premier of Saskatchewan, Brad Wall. Other keynote speakers will include dozens of globally respected economists, legendary money managers, and investors.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
EMP METALS TESTS UP TO 148 MG/L LITHIUM AT MANSUR PROJECT, SASKATCHEWAN

EMP METALS TESTS UP TO 148 MG/L LITHIUM AT MANSUR PROJECT, SASKATCHEWAN

EMP Metals Corp. (CSE: EMPS) (OTCQB: EMPPF) ("EMP Metals" or the "Company ") is pleased to announce positive results from the recently completed flow test of its second test well, 14-36-009-13W20, in the Mansur permit area located in southeast Saskatchewan ( Figure 1 ).  Third-party laboratory testing returned lithium concentrations in the Duperow formation up to 148 mgl. 1

The flow test confirmed high lithium concentrations ranging from 77 to 148 mg/l within 3 zones targeted for future development within the Duperow beds ( Figure 2 ).
The Wymark C zone tested 147 to 148 mg/l from a 11.6 m thick zone with average porosity of 10.4%.
The Wymark E zone tested 101 to 106 mg/l from a 4.9 m thick zone with average porosity of 12.7%.
The Wymark B zone tested 77 mg/l from a 16.9m thick zone with average porosity of 13.8%.

News Provided by Canada Newswire via QuoteMedia

Keep reading...Show less
Power Nickel Retains Karbon-X to Offset their 2023 Drill Program of up to 40,000 metres, with Voluntary Carbon Offsets

Power Nickel Retains Karbon-X to Offset their 2023 Drill Program of up to 40,000 metres, with Voluntary Carbon Offsets

Power Nickel Inc. (the "Company" or "Power Nickel") (TSXV:PNPN)(OTCQB:CMETF)(Frankfurt:IVVI) announced today that the company has retained Karbon-X Corp (OTCQB:KARX) to retire 159 high quality Verra VCU carbon offsets, in the name of Power Nickel Inc. These 159 carbon offsets will counteract 159 tonnes of greenhouse gas (GHG) emitted by the burning of 60,000 litres of diesel in their exploratory drilling operations and represents Power Nickel's commitment to offsetting their drilling program in the years to come

"These offsets will neutralize the Diesel fuel we will use to drill approximately 40,000 metres of drilling. It symbolizes our goal of creating the world's first carbon neutral Nickel mine at our Nisk Project in Nemaska Quebec. Karbon X and it's DrillGreen.ca initiative makes a lot of sense to us. Miners are amongst the most environmentally friendly people I know and we need to start showing the world we can and will find responsible ways to find the materials needed to power the greening of our economy. This is a modest first step for us and I would hope other miners will follow our lead" said Power Nickel CEO, Terry Lynch.

News Provided by ACCESSWIRE via QuoteMedia

Keep reading...Show less
World Copper Agrees to Sell Shares of Electric Royalties Ltd.

World Copper Agrees to Sell Shares of Electric Royalties Ltd.

World Copper Ltd. (TSXV: WCU) (OTCQX: WCUFF) (FSE: 7LY0) ("World Copper" or the "Company"), announces that it has entered into a share purchase agreement (the "Share Purchase Agreement") with Wealth Minerals Ltd. ("Wealth") whereby the Company will sell to Wealth 2,000,000 common shares in the capital of Electric Royalties Ltd. (each, an "ELEC Share") for a purchase price of $0.25 per ELEC Share for the aggregate amount of $500,000 cash (the "Transaction"), subject to acceptance for filing by the TSX Venture Exchange (the "TSXV").

As Wealth holds more than 10% of the issued and outstanding common shares of the Company (and is a Non-Arm's Length Party (as defined in TSXV policies)), the Transaction constitutes a related party transaction pursuant to Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company is relying on Sections 5.5(a) and 5.7(1)(a) of MI 61-101 for an exemption from the formal valuation and minority shareholder approval requirements, respectively, as at the time the Share Purchase Agreement was entered into neither the fair market value of the ELEC Shares, nor the fair market value of the consideration to be provided by Wealth for same, exceeded 25% of the Company's market capitalization. The Company also notes that the ELEC Shares to be sold to Wealth will be under a contractual restriction on resale until March 2, 2023.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less

Latest Press Releases

Related News

×