Finlay Minerals completes acquisition of the Copper & Silver SAY Property
Finlay Minerals completes acquisition of the
Copper & Silver SAY Property
VANCOUVER, BC
,
July 15, 2024
/CNW/ -
Finlay Minerals Ltd.
(TSXV: FYL) (OTCQB:
FYMNF) ("
Finlay
" or the "
Company
") is pleased to announce that, further to its news release issued
on
June 26, 2024
, the Company has closed its acquisition of the SAY Property from Electrum
Resource Corporation ("
Electrum
"). The acquisition was completed pursuant to the terms of an
agreement dated as of
June 25, 2024
between the Company and Electrum (the "
Purchase
Agreement
"). The SAY Property is located in northern
British Columbia
and sits within the
underexplored Bear Lake Corridor of the Stikine Terrane with American Eagle Gold Corp.'s NAK
property to the south and Quartz Mountain Resource's Jake property to the north.
Pursuant to the Purchase Agreement, Finlay acquired the SAY Property, which comprises 18
mineral tenures totaling approximately 10,587 hectares, for consideration consisting of
CDN$50,000
cash that was paid on closing (the "
Transaction
").
The SAY Property is subject to a 1.5% net smelter return royalty held by Electrum (the "
NSR
Royalty
"), with Finlay retaining the right to buy back one-half of the NSR Royalty (0.75%) for an
aggregate cash payment to Electrum in the amount of
CDN$1,500,000
(the "
Buy-Back
Right
"). Lastly, if Finlay announces the results of, or publicly files a positive feasibility study on the
SAY Property, Finlay will make an additional cash payment to Electrum of
CDN$300,000
.
Electrum and Baril Developments Ltd., each of which is a private
British Columbia
company
controlled by
John A. Barakso
, and
Ilona B. Lindsay
, and a personal trust of which
John J. Barakso
is the sole trustee and of which
Ilona B. Lindsay
and Dr.
John A. Barakso
are beneficiaries, are the
registered holders, in the aggregate, of more than 20% of the voting rights attached to the
Company's issued and outstanding common shares. In addition, each of
Ilona B. Lindsay
and Dr.
John A. Barakso
is a director and/or officer of the Company and Electrum. As a result, the
Transaction constituted a "related party transaction" within the meaning of TSX Venture Exchange
("
TSXV
") Policy 5.9 and Multilateral Instrument 61-101 –
Protection of Minority Security Holders in
Special Transactions
("
MI 61-101
"). The Company relied on the exemptions from the formal
valuation and minority shareholder approval requirements of MI 61-101 provided by subsections
5.5(a) and 5.7(1) (a) of MI 61-101, on the basis that, at the time the Transaction was agreed to,
neither the fair market value of the SAY Property acquired pursuant to, nor the fair market value of
the consideration for, the Transaction exceeded 25% of Finlay's market capitalization as determined
in accordance with MI 61-101.
No finders' fees were paid in connection with the Transaction and no new insiders or control persons
were created. The Transaction is subject to the final approval of the TSXV.
Robert Brown
, President and Chief Executive Officer of Finlay, states:
"
The SAY caught our attention with recent exploration work revealing a
> 4.3 km trend
on the Spur
Target with
outcrop rock sampling of up to
15.8% Cu
and
993 g/t Ag.
78 of 129 rock samples
collected to date yielded >1% Cu and 59 yielded >100 g/t Ag over the 4.3 km trend.
The
copper - silver values are associated with structures along a regional NNW trending magnetic
trend. Blow out zones associated with structural junctions have been noted to
125m
across and
will be detail sampled for grade-width bulk tonnage potential.
The second SHEL target also hosts an intriguing
3 km x 2 km circular magnetic anomaly with a
coincident surface gossanous zone and a copper - molybdenum soil geochemical anomaly. We
are planning and looking forward to our inaugural exploration program later this summer
."
Qualified Person:
Wade Barnes
, P. Geo. and Vice President, Exploration for Finlay and a qualified person as defined
by National Instrument 43-101, has reviewed and approved the technical content of this news
release.
About Finlay Minerals Ltd.
Finlay is a TSXV company focused on exploration for base and precious metal deposits in northern
British Columbia
.
Finlay trades under the symbol "FYL" on the TSXV and under the symbol "FYMNF" on the OTCQB.
For further information and details, please visit the Company's website at
www.finlayminerals.com
On behalf of the Board of Directors,
Robert F. Brown
, P. Eng.
President & CEO
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the
TSXV) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Information:
This news release includes certain "forward-looking information"
and "forward-looking statements" (collectively, "
forward-looking statements
") within the meaning
of applicable Canadian securities legislation. All statements in this news release that address
events or developments that we expect to occur in the future are forward-looking statements.
Forward-looking statements are statements that are not historical facts and are generally, although
not always, identified by words such as "expect", "plan", "anticipate", "project", "target", "potential",
"schedule", "forecast", "budget", "estimate", "intend" or "believe" and similar expressions or their
negative connotations, or that events or conditions "will", "would", "may", "could", "should" or
"might" occur. Forward-looking statements in this news release include the exploration plans of the
Company on the SAY Property and obtaining regulatory approval for the Transaction. All such
forward-looking statements are based on the opinions and estimates of management as of the date
such statements are made. Although Finlay believes the expectations expressed in such forward-
looking statements are based on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ materially from those forward-
looking statements. Factors that could cause actual results to differ materially from those in
forward-looking statements include market prices, exploration results, availability of capital and
financing and general economic, market or business conditions, and the other risk factors
described in Finlay's filings with Canadian securities regulators on SEDAR+ at
www.sedarplus.ca
.
These forward-looking statements are based on a number of assumptions including, among other
things, assumptions regarding general business and economic conditions, the timing and receipt of
regulatory and governmental approvals, the ability of Finlay and other parties to satisfy stock
exchange and other regulatory requirements in a timely manner, the availability of financing for
Finlay's proposed transactions and programs on reasonable terms, and the ability of third-party
service providers to deliver services in a timely manner. Investors are cautioned that any such
statements are not guarantees of future performance and actual results or developments may
differ materially from those projected in the forward-looking statements. Finlay does not assume
any obligation to update or revise its forward-looking statements, whether as a result of new
information, future or otherwise, except as required by applicable law.
SOURCE
Finlay Minerals Ltd.
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For further information:
For further information, contact: Finlay Minerals Ltd., Robert Brown,
President, CEO & Director, Tel: 604-684-3099, [email protected]
CO: Finlay Minerals Ltd.
CNW 08:30e 15-JUL-24