Clean Air Metals Announces Accelerated Final Payment to Rio Tinto for the Escape Lake Property Option
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Clean Air Metals Announces Accelerated Final Payment
to Rio Tinto for the Escape Lake Property Option
Thunder Bay, ON, November 10, 2021 – Clean Air Metals Inc. (“Clean Air Metals” or
the “Company”) (TSXV: AIR) (FRA: CKU) (OTCQB: CLRMF) is pleased to announce
that, further to its press release dated October 12, 2021, it has made the final payment of
CAD $1 Million, for and on behalf of Benton Resources Inc. (“Benton”) (TSX:V BEX),
directly to Rio Tinto Exploration Canada Inc. (“RTEC”), pursuant to the terms of the
definitive option agreement (the “Option Agreement”) entered into by the Company and
Benton in order to satisfy a payment requirement of Benton under its pre-existing option
agreement with RTEC dated October 9, 2019 relating to the Escape Lake Property (the
"Escape Lake Option Agreement") (see previous press release dated January 6, 2020 and
May 14, 2020).
The final payment of CAD $1 Million, not due under the terms of the Escape Lake Option
Agreement until October 9, 2022, was accelerated at the Company’s option. Clean Air
Metals has now fulfilled all of Benton's payment obligations under the Escape Lake Option
Agreement, earning Benton a 100% right, title and interest in and to the Escape Lake
Property, subject to a 1.0% net smelter return royalty to be retained by RTEC (the “RTEC
Royalty”), and subject to Clean Air Metals' right to acquire 100% of Benton's interest in
and to the Escape Lake Property pursuant to the terms of the Option Agreement.
Clean Air Metals will be entitled to exercise the option to acquire 100% of Benton's interest
in the Escape Lake Property, subject to a 0.5% net smelter return royalty from production
on the Escape Lake Property to be retained by Benton, upon completion of the two
remaining payments under the Share Purchase Agreement between Clean Air Metals and
Magma Metals PTY LTD. ( CAD $1.5 Million is due by May 13, 2022, and a further CAD
$1.5 Million is due by May 13, 2023 provided that both payments can be accelerated at
the discretion of Clean Air Metals). Upon exercise of its option, Clean Air Metals will also
assume the obligations of the payor in respect of the RTEC Royalty.
Social Engagement
Clean Air Metals Inc. and its wholly-owned subsidiary Panoramic PGMs (Canada) Ltd.
acknowledge that the Thunder Bay North Project is on the traditional territories of the Fort
William First Nation, Red Rock First Nation and Biinjitiwabik Zaaging Anishinabek. The
parties together are the Cooperating Participants in a Memorandum of Agreement
dated January 9, 2021.
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The Company appreciates the opportunity to work in these territories and remains
committed to the recognition and respect of those who have lived, traveled, and gathered
on the lands since time immemorial. Clean Air Metals is committed to stewarding
Indigenous heritage and remains committed to building, fostering and encouraging a
respectful relationship with First Nations, Métis, and Inuit peoples based upon principles
of mutual trust, respect, reciprocity and collaboration in the spirit of reconciliation.
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About Clean Air Metals Inc.
Clean Air Metals' flagship asset is the 100% owned, hi gh grade Thunder Bay North
Project, a platinum, palladium, copper, nickel project located near the City of Thunder Bay,
Ontario and the Lac des Iles Mine owned by Impala Platinum. The Clean Air Metals project
hosts the Current Lake Deposit and magma conduit and the Company is actively exploring
the Escape Lake Deposit, a twin structure to the Current Lake Deposit. Executive
Chairman Jim Gallagher and CEO Abraham Drost lead an experienced team of geologists
and engineers who are using the Norilsk magma conduit stratigraphic and mineral deposit
model to guide ongoing exploration and development studies. As the former CEO of North
American Palladium Ltd. which owned the Lac des Iles Mine prior to the sale to Impala
Platinum in December 2019, Jim Gallagher and team are credited with the mine
turnaround and creation of significant value for shareholders.
ON BEHALF OF THE BOARD OF DIRECTORS
"Abraham Drost"
Abraham Drost, Chief Executive Officer of Clean Air Metals Inc.
For further information, please contact:
Abraham Drost, Chief Executive Officer of Clean Air Metals Inc.
Phone: 807-252-7800
Email: [email protected]
Website: www.cleanairmetals.ca
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy
or accuracy of this release.
Cautionary Note
The information contained herein contains "forward-looking statements" within the
meaning of applicable securities legislation. Forward-looking statements relate to
information that is based on assumptions of management, forecasts of future results, and
estimates of amounts not yet determinable. Any statements that express predictions,
expectations, beliefs, plans, projections, objectives, assumptions or future events or
performance are not statements of historical fact and may be "forward-looking
statements." Forward-looking statements are subject to a variety of risks and uncertainties
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which could cause actual events or results to differ from those reflected in the forward-
looking statements, including, without limitation: political and regulatory risks associated
with mining and exploration; risks related to the maintenance of stock exchange listings;
risks related to environmental regulation and liability; the potential for delays in exploration
or development activities or the completion of feasibility studies; the uncertainty of
profitability; risks and uncertainties relating to the interpretation of drill results, the geology,
grade and continuity of mineral deposits; risks related to the inherent uncertainty of cost
estimates and the potential for unexpected costs and expenses; results of technical
studies, benchmark reports, and the possibility that future exploration, development or
mining results will not be consistent with the Company's expectations; risks related to
commodity price fluctuations; and other risks and uncertainties related to the Company's
prospects, properties and business detailed elsewhere in the Company's disclosure
record. Should one or more of these risks and uncertainties materialize, or should
underlying assumptions prove incorrect, actual results may vary materially from those
described in forward-looking statements. Investors are cautioned against attributing undue
certainty to forward-looking statements. These forward-looking statements are made as
of the date hereof and the Company does not assume any obligation to update or revise
them to reflect new events or circumstances, except in accordance with applicable
securities laws. Actual events or results could differ materially from the Company's
expectations or projections.