Business
Global Energy Metals Secures Significant Endorsement of Australian Projects through Non-Dilutive Financing from Sale of Royalties to Electric Royalties Ltd.
(via TheNewswire) Vancouver, BC - TheNewswire - February 27, 2020 - Globa...
About this update from Global Energy Metals Corp
[{"type":"text","content":"Global Energy Metals Secures Significant Endorsement of Australian Projects through Non-Dilutive Financing from Sale of Royalties to Electric Royalties Ltd.(via TheNewswire)\n \n \nVancouver, BC - TheNewswire - February 27, 2020 - Global Energy Metals Corporation (TSXV:GEMC) | (OTC:GBLEF) | (FSE:5GE1) (\"Global Energy Metals\", the \"Company\" and/or \"GEMC\") is pleased to announce that it has entered into a letter of intent (\"LOI\") with Electric Royalties Ltd. (\"Electric Royalties\") for the sale of royalties on Global Energy's 100% owned Millennium Cobalt Project, the Mt. Dorothy Cobalt Project and the Cobalt Ridge Project (the \"Royalty Portfolio\") located in Queensland, Australia (the \"NSR Sale\").\n\n\n \nPresident & CEO, Mitchell Smith commented:\n\n\n \n\"This commitment by Electric Royalties is a significant endorsement of the Millennium and Mount Isa projects by a mine finance firm focused on minerals core to the new energy economy. This royalty sales provides Global Energy Metals with an attractive form of financing and short term investments equal to our market cap through the spin-out of a small royalty on a portion of our Australian projects. It also provides an option to fund future development at Millennium in a non-dilutive manner to the company and create an opportunity for cross marketing promotion with a strong royalty partner.\"\n\n\n \nElectric Royalties CEO & Director, Brendan Yurik said:\n\n\n \n\"We are pleased to have the opportunity to collaborate with Global Energy Metals on the development of the Millennium and Mount Isa Projects and the royalties will be an excellent addition to our diversified portfolio of battery mineral royalties. The acquisition of this package is consistent with Electric Royalties' objective in establishing a new royalty company with the potential to add considerable value for its shareholders. As this represents our first cobalt royalties we are extremely encouraged by the potential Millennium has in becoming a source of critical material needed to feed the electric revolution.\"\n\n\n \nInitial Royalty\n\n\n \nPursuant to the terms of the LOI, in consideration for a 0.5% gross metal royalty (the \"Royalty\") on Millennium and the Mount Isa Projects, Electric Royalties will issue to Global Energy Metals 1.15 million shares (the \"Consideration Shares\") in Electri...