Li-FT Power Ltd. has announced that it has entered into a definitive agreement with Power Metallic Mines Inc. for the sale of a 100% interest in 313 claims from the Rupert Project, Quebec.
In consideration for the 313 claims, Li-FT will receive:
- C$700,000 in cash on closing
- 6,000,000 shares on closing
- 3,000,000 of 6,000,000 shares issued are also subject to a contractual, time-based restriction on transfer for 12 months from the closing
- 0.5% net smelter returns (NSR) royalty (no buyback provision)
The transaction is subject to customary closing conditions, including regulatory approvals where applicable Following the completion of this transaction, Li-FT will retain a total of 2,203 claims comprising the Rupert Project in Quebec.
“This transaction unlocks value within Li-FT’s portfolio with the divesture of non-core claims and allows us to participate in the exciting discoveries that Power Metallic has made,” Francis MacDonald, CEO of Li-FT commented. “With the current lithium market conditions remaining challenging, this transaction provides optionality for a non-dilutive source of capital down the road. We look forward to seeing the progress that Power Metallic will make in the coming months.”
Qualified person
The disclosure in this news release of scientific and technical information regarding LI-FT’s mineral properties has been reviewed and approved by Don Cummings, P.Geo., OGX Member 2183 and a Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects (NI 43-101).
About Li-FT
Li-FT is a mineral exploration company engaged in the acquisition, exploration, and development of lithium pegmatite projects located in Canada. The company’s flagship project is the Yellowknife Lithium Project located in Northwest Territories, Canada. Li-FT also holds three early-stage exploration properties in Quebec, Canada with excellent potential for the discovery of buried lithium pegmatites, as well as the Cali Project in Northwest Territories within the Little Nahanni Pegmatite Group.
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