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Noble Signs Implementation Agreement for Consolidation and Spin-out of Crawford Nickel Project to Canada Nickel Company Inc. and Agreements to Complete Royalty Reduction
Toronto, ON - TheNewswire - November 28, 2019 - Noble Mineral Exploration Inc. (TSXV:NOB) (OTC:NLPXF) ("Noble" or the "Company") today announced that further to
About this update from Noble Mineral Exploration Inc.
[{"type":"text","content":"Toronto, ON - TheNewswire - November 28, 2019 - Noble Mineral Exploration Inc. (TSXV:NOB) (OTC:NLPXF) (\"Noble\" or the \"Company\") today announced that further to the letter of intent signed by the Company as announced on October 1, 2019, the Company has entered into the definitive agreement for that transaction on the same basis. \"This transaction will unlock significant value for Noble as we participate in advancement of the Crawford Nickel-Sulphide project in a dedicated nickel company led by Mark Selby, a recognized leader in the global nickel industry given his experience and network successfully advancing the Dumont nickel Project\" said Mr. Vance White, President & CEO of Noble. \"I look forward to future transactions utilizing our project generator model on the many nickel, copper-zinc VMS, and gold targets on our strategic Project 81 land package.\" Transaction Summary The planned consolidation of the Crawford Nickel-Sulphide Project (\"the Project\") will be put into effect under the terms of an implementation agreement dated as of November 14, 2019 (the \"Implementation Agreement\") that has been entered by Canada Nickel Company Inc. (\"Canada Nickel\"), Noble, Mark Selby (a principal of Canada Nickel), Spruce Ridge and certain private investors (the \"Investors\") based on the previous agreed terms in the binding letter of intent announced October 1, 2019. The net result for Noble of the proposed transactions under the Implementation Agreement (the \"Transactions\") is: Noble will receive $2 million cash and 12 million shares of Canada Nickel (approximately 24% of the pro forma outstanding shares of Canada Nickel) for the transfer of the Project from Noble to Canada Nickel, and at a special shareholder meeting currently scheduled for December 27, 2019, Noble will seek approval to distribute 10 of those 12 million shares to its shareholders through a share exchange by plan of arrangement (the \"Arrangement\"), with Noble retaining the other 2 million shares of Canada Nickel. Noble will issue to Spruce Ridge a $1 million promissory note, repayable following completion of the Arrangement, and 10,000,000 common share units of Noble (each unit comprised of one common share and 1/2 common share purchase warrant, with each full warrant being exercisable at $0.15 per share for three years); Noble will receive 2 millio...