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Usha Resources Sells Projects to Molten Metals for 19.9% Stake, Extends Exclusivity for the Sale of the Jackpot Lake Project for Total Consideration of up to US$26,025,000
VANCOUVER, BC / ACCESS Newswire / May 12, 2025 / Usha Resources Ltd. ("Usha", "USHA" or ...
About this update from Usha Resources Ltd
[{"type":"text","content":"Usha Resources Sells Projects to Molten Metals for 19.9% Stake, Extends Exclusivity for the Sale of the Jackpot Lake Project for Total Consideration of up to US$26,025,000VANCOUVER, BC / ACCESS Newswire / May 12, 2025 / Usha Resources Ltd. (\"Usha\", \"USHA\" or the \"Company\") (TSXV:USHA)(OTCQB:USHAF)(FSE:JO0), a North American mineral acquisition and exploration company, is pleased to announce that, subject to the approval of the TSX Venture Exchange (the \"Exchange\"), the Company has executed an option agreement (the \"Agreement\") with Molten Metals Corp. (\"Molt\", \"MOLT\" or the \"Purchaser\") whereby Molt will have the right to purchase an undivided 100% interest in two (2) of Usha's lithium pegmatite projects located in Ontario: the \"Gathering Lake\" and \"Triangle Lake\" Projects (collectively, the \"Properties\").The Agreement aligns with Usha's strategy to streamline its portfolio and focus on its core assets, including its drill-ready Southern Arm copper project where it has a fully funded maiden drill program planned for FY2025. By optioning the Properties to Molt, Usha secures immediate and staged financial benefits while transferring exploration risk to a capable partner with expertise in lithium exploration.Deepak Varshney, CEO of Usha Resources, commented: \"We are very excited to partner with Molt to advance the Triangle and Gathering Lake properties. This strategic stake gives us significant upside and further fortifies our balance sheet.\"This is the Company's second divestment of a non-core asset in the past 24 months. The first transaction was the divestment of the Nicobat nickel-copper project to Formation Metals Inc. (FOMO.CN) where the Company received 2 million shares and 2 million warrants with a strike of $0.20, the present value of which is ~C$1.14M.Mr. Varshney continued: \"We are very excited by the growth of Formation Metals over the past six months. We believe they have significant further upside and our goal in completing this transaction with Molt is to receive the same upside. With almost $2.6M in cash, cash equivalents and equities as of today, Usha is in a very strong position moving forward. We will continue to monetize our non-core assets while we sharpen our focus on our core copper assets.\"To earn 100% interest in the Properties, within 10 days of receipt of approval from the Canadi...