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Trillium Acquisition Announces Option Agreement
Trillium Acquisition Announces Option Agreement Toronto, Ontario CANADA, January 22, 2014 /...
About this update from Thunder Gold Corp.
[{"type":"text","content":"Trillium Acquisition Announces Option AgreementTrillium Acquisition Announces Option Agreement\n\nToronto, Ontario CANADA, January 22, 2014 /FSC/ - Trillium North Minerals Ltd. (TNM - TSX Venture),is pleased to announce that  1191557 Ontario Corp. (\"Ontario Corp.\"), a private Ontario Company has executed a letter of intent (the \"Agreement\") with Metals Creek Resources Corp. (\"Metals Creek\"), pursuant to which Ontario Corp. has been granted the option (the \"Option\") to purchase a 100% interest in the 210 claim units recently staked by the Company located in South Western Labrador prospective for Copper/Nickel/PGE mineralization (the \"Property\").\n\nUnder the Agreement, Ontario Corp. will issue to Metals Creek 1,250,000 million common shares of Ontario Corp. (the \"Compensation Shares\") and reimburse Metals Creek for its staking cost. Metals Creek will also retain a 1% net smelter return (a \"NSR\") on the Property. Ontario Corp. will have the right to buy back 0.5% of the NSR for $500,000. Upon receipt of the NSR from Ontario Corp. the Company will also grant Ontario Corp. a 1% NSR on the Property and Ontario Corp. will grant to Metals Creek a 1% NSR on certain adjacent mineral claims owned by Ontario Corp. (the \"Ontario Corp. Claims\"). Ontario Corp. will have the right to buy back 0.5% of the NSR on the Ontario Corp. Claims for $500,000.\n\nMichael Stares is a director of the Company and a controlling shareholder of Ontario Corp., and Alexander Stares, a director of the Company, is Michael Stares' brother. The transaction contemplated by this Agreement is considered a related party transaction as defined under Multilateral Instrument 61-101 (\"MI 61-101\"). The transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the transaction exceeds 25% of the Company's market capitalization.\n\nGranting of the Option is subject to the conditional approval of the TSX Venture Exchange.\n\nAs disclosed in the December 23, 2013 Trillium news release, subject to regulatory approval, Trillium intends to purchase all of the issued and outstanding shares of Ontario Corp. (the \"Trillium Acquisition\"). In connection with the Trillium Acquisition, Ontario Corp. wi...