Jourdan Resources Inc. (TSXV: JOR) (" Jourdan " or the " Company ") is pleased to announce that it has entered into an option agreement (the " Option Agreement ") effective March 1, 2021 (the " Effective Date "), pursuant to which the Company is entitled to acquire a property known as the La Corne lithium property (" LaCorne "). LaCorne is located north of Val d'Or, Quebec and is adjacent to the Company's other Quebec lithium mining properties.
Rene Bharti, CEO of Jourdan, stated, "We are very pleased to announce the expected strategic acquisition of LaCorne, which borders our current land position. LaCorne has several pegmatite showings with spodumene (lithium-bearing pyroxene) occurrences. These showings were mapped and partially drilled in the past. Increasing Jourdan's large land position in such a prolific lithium region takes us one step closer to realizing our ambition of becoming a leading Canadian hard rock lithium producer."
Terms of the Transaction
Pursuant to the Option Agreement, Jourdan is entitled to acquire a 100% interest in LaCorne (the " Acquisition ") by completing staged payments of cash and/or shares totalling C$100,000 and 1,500,000 Jourdan common shares (the " Common Shares ") over a 12-month period following the Effective Date, as follows: 1.5 million Common Shares on the transfer of LaCorne to Jourdan and on the date that falls 12 months following the Effective Date, C$100,000 in cash or, at Jourdan's sole option, Common Shares based on the greater of (A) $0.10 and (B) the 5-day volume weighted average price of the Common Shares on the TSX Venture Exchange (" TSXV ") for the period immediately prior to the date of issuance.
In addition, Jourdan has agreed to grant the vendors of LaCorne a 2.0% net smelter returns royalty (" NSR ") on the claims comprising LaCorne, of which Jourdan is entitled to, at any time, acquire one-half of the NSR for C$1,000,000, payable in cash or Common Shares in Jourdan's sole discretion.
Dr. Andreas Rompel, Chairman of Jourdan, stated: "With the resurgence of the lithium price, we are very happy to announce that we are adding further ground to our already extensive land package north of the Quebec mining hub of Val d'Or. We can now add several spodumene-bearing pegmatites to the ones we have already delineated. This acquisition is expected to considerably enlarge the strike kilometres of our known pegmatites and increase the potential for drill targets."
The Common Shares issuable in connection with the Acquisition will be subject to a statutory four month and one day hold period. Closing of the Acquisition is anticipated to be in March 2021. The Acquisition is an arm's length transaction for the purposes of the policies of the TSXV and the Company understands that the Acquisition qualifies as an "Expedited Acquisition" under TSXV Policy 5.3. Jourdan is not paying any finder's fees in connection with the Acquisition.
The scientific and technical information contained herein has been reviewed and approved by Stephane Amireault, an independent consultant that is a "qualified person" as defined in National Instrument 43-101 – Standards of Disclosure for Mineral Projects .
Jourdan also invites shareholders to visit its updated website at www.jourdaninc.com , at which they can find the latest company news and most recent corporate presentation.
About Jourdan Resources
Jourdan Resources Inc. is a Canadian junior mining exploration company trading under the symbol JOR on the TSX-V and 2JR1 on the Stuttgart Stock Exchange. The Company is focused on the acquisition, exploration, production, and development of mining properties. The Company's properties are in Quebec, Canada, primarily in the spodumene-bearing pegmatites of the La Corne Batholith, around North American Lithium's producing Quebec Lithium Mine. This mine is part of Contemporary Amperex Technology Co. Limited (CATL), China's largest automotive battery manufacturer.
For more information:
Rene Bharti, Chief Executive Officer and President
Phone: (416) 861-1685
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the business and operations of the Company, and the Company's ability to execute its business plan, including its ambition to become a leading Canadian lithium producer, and the Acquisition, including the expected timing of closing and the TSXV's approval of the issuance of the Common Shares in connection therewith. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Jourdan to be materially different from those expressed or implied by such forward-looking information, including but not limited to: receipt of necessary approvals; general business, economic, competitive, political and social uncertainties; future mineral prices; accidents, labour disputes and shortages and other risks of the mining industry. Although Jourdan has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Jourdan does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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