Business
Global Energy Metals Sells Interest in Werner Lake Project and Gains Equity Exposure to Battery and Precious Minerals Portfolio Held by CBLT Inc.
Vancouver, BC - TheNewswire - November 26, 2020 - Global Energy Metals Corporation (TSXV:GEMC) | (OTC:GBLEF) | (FSE:5GE1) ("Global Energy Metals", the "Company"
About this update from Global Energy Metals Corp
[{"type":"text","content":"Vancouver, BC - TheNewswire - November 26, 2020 - Global Energy Metals Corporation (TSXV:GEMC) | (OTC:GBLEF) | (FSE:5GE1) (\"Global Energy Metals\", the \"Company\" and/or \"GEMC\") is pleased to announce that the Company has executed an agreement with CBLT Inc. (\"CBLT\") (TSXV:CBLT) to sell the entirety of its seventy percent (70%) interest in the Werner Lake project (\"Werner\") located near the Ontario-Manitoba border in the Kenora Mining District, Ontario. The significant interest of approximately 11% on a fully diluted basis in CBLT will strengthen GEMC's equity portfolio holdings of battery mineral focused peers including positions in Marquee Resources Ltd. (ASX:MQR) and, subject to closing on its previously announced royalty transaction, a significant interest in Electric Royalties Ltd. (TSXV:ELEC). Mitchell Smith, President & CEO comments: \"This transaction will provide GEMC's shareholders exposure to CBLT's potential future growth through a meaningful equity stake in a resource focused company that is accelerating battery and precious metals exploration efforts in Ontario, Canada. GEMC will continue to look for opportunities to expand the equity holdings by the Company strengthening its exposure to the battery supply chain.\" Terms of the LOI: - $20,000 (twenty thousand dollars) immediately paid as a non-refundable cash deposit upon signing of the LOI. - $250,000 satisfied on the closing by CBLT issuing 5,000,000 (five million) shares issued at a deemed price of $0.05 (five cents) per share. The issuance of 3,500,000 (three million and five hundred thousand) common share purchase warrants each exercisable at $0.08 (eight cents) with a two year term. There is no accelerator on these warrants. A milestone payment of $500,000 (five hundred thousand dollars) payable by CBLT to GEMC upon Werner Lake reaching commercial production. Should CBLT sell or option the Asset or a portion of the Asset during the 24 months following closing, GEMC shall receive 20% of the gross proceeds of the sale. The LOI includes the delivery to CBLT of all technical data related to Werner Lake in GEMC's power, control or possession. Assuming a definitive agreement is reached, closing of such agreement would be conditional upon approval from the TSX Ventures Exchange and further due diligence by CBLT. About CBLT Inc. CBLT Inc. is a Canadian mi...