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STRIA Announces the Execution of a Definitive Agreement with Cygnus Gold Relating to its Option and Joint Venture on its Pontax-Lithium Property
(TheNewswire) OTTAWA, ONTARIO – TheNewswire - October 17, 2022 - S...
About this update from Stria Lithium Inc.
[{"type":"text","content":"STRIA Announces the Execution of a Definitive Agreement with Cygnus Gold Relating to its Option and Joint Venture on its Pontax-Lithium Property\n \n \n (TheNewswire)\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n OTTAWA, ONTARIO –\n \n \n TheNewswire -\n \n \n October 17, 2022\n \n \n - Stria Lithium Inc. (TSXV:SRA)\n \n (“\n \n Stria\n \n ” or the\n“\n \n Company\n \n ”) is pleased to\nannounce the execution of a definitive agreement (the “\n \n Definitive\n \n \n Agreement\n \n ”) with Cygnus Gold\nLimited (ASX: CY5) (“\n \n Cygnus\n \n ”) following the execution of a binding term sheet\nbetween the parties dated July 26, 2022. Pursuant to the Definitive\nAgreement, Cygnus has been granted the sole and exclusive option (the\n“Option”) to acquire up to a 70 % undivided interest in Stria’s\nPontax-Lithium property (the “Property”) under a two-stage option\nfor total cash payments of $6 million and exploration expenditure\ncommitments totalling $10 million (the “\n \n Transaction\n \n ”). Following the\nexercise of the Option, the parties will form a joint venture (the\n“\n \n Joint Venture\n \n ”) with each\nof Cygnus and Stria holding an undivided interest of 70 % and 30 %\nrespectively, with Cygnus acting as operator of the Joint Venture.\nStria’s interest in the Joint Venture will be free carried until\nCygnus delivers a feasibility study on the property.\n \n \n In consideration for the Option, Cygnus paid a cash consideration of\nCAD$1 million and subscribed for 1,400,000 common shares of the\nCompany a price of CAD$0.25 per common share, for aggregate gross\nproceeds of CAD$350,000. The shares issued to Cygnus were issued\npursuant to Canadian prospectus exemptions and are subject to a\nstatutory four month and one day hold period.\n \n \n The transactions contemplated herein remain subject to certain\nconditions including, but not limited to, the receipt of all necessary\nregulatory and other approvals, including the acceptance by the TSX-V.\n \n \n “Stria Lithium is extremely pleased to have finalized their\ndefinitive agreement with Cygnus Gold and will now direct its efforts\nto assisting Cygnus execute on their aggressive development of the\nPontax lithium deposit,” sai...