Business
Surge Closes Acquisition of Nickel Claims with Nickel Rock Resources
VANCOUVER, BC / ACCESSWIRE / November 17, 2021 / Surge Battery Metals Inc. (the "Company" or...
About this update from Surge Battery Metals Inc
[{"type":"text","content":"Surge Closes Acquisition of Nickel Claims with Nickel Rock ResourcesVANCOUVER, BC / ACCESSWIRE / November 17, 2021 / Surge Battery Metals Inc. (the \"Company\" or \"Surge\") (TSXV:NILI, OTCQB:NILIF) announces that further to its news releases dated July 8, 2021, July 13, 2021 and October 20, 2021, and the TSX Venture Exchange's conditional acceptance letter dated July 16, 2021, the Company has now closed the Fundamental and \"related-party\" transaction subject to final Exchange Acceptance.The Company entered into an option agreement with Nickel Rock Resources Inc. (\"Nickel Rock\") dated July 7, 2021 (the \"Agreement\"), to earn an undivided 80% interest in the HN4 and N100 Claims, located in Northern British Columbia (the \"Transaction\").Terms of the Transaction:Pursuant to the terms of the Agreement, the Company issued 5,000,000 common shares to Nickel Rock upon closing. In addition, Surge shall incur an aggregate of $200,000 in Exploration Expenditures on the Property on or before two years from the date of the Agreement.Upon the Company having exercised the Option, Surge will have earned an undivided 80% interest in the Property, and the parties will enter into a Commercially Reasonable and Definitive Joint Venture Agreement.All securities issued in connection with the Transaction will be subject to a four‐month and a day hold period expiring on March 18, 2022, in accordance with applicable Canadian Securities Laws.Pursuant to TSXV Policy 5.9 and Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions (\" MI 61-101 \"), the Option Agreement constitutes a \"related party transaction\" due to the fact that CFO and Corporate Secretary are also the CFO and Corporate Secretary of Nickel Rock. The Company relied on Section 5.5(a) of MI 61-101 for an exemption from the formal valuation requirement and Section 5.7(1)(a) of MI 61-101 for an exemption from the minority shareholder approval requirement of MI 61-101 as the fair market value of the transaction did not exceed 25% of the Company's market capitalization.43-101 Technical Report - HN4 and N100 Nickel ClaimsIn connection with the Transaction, Surge has filed a technical report entitled \" Technical Report for the HN4 & N100 Claim Groups, Omineca Mining Division, Takla Lake Area, British Columbia \", dated October 27, 2021,...