Powered BY Cobalt … Driven BY Demand Global Energy Metals Enters into Option Agreement FOR Werner Lake Cobalt Project to Advance Past-Producing Primary Cobalt MINE
TSX.V GEMC
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GLOBAL ENERGY METALS ENTERS INTO OPTION
AGREEMENT FOR WERNER LAKE COBALT PROJECT TO
ADVANCE PAST-PRODUCING PRIMARY COBALT MINE
Vancouver, BC / TheNewswire / November 30, 2017 / Global Energy
Metals Corp. TSXV:GEMC | FSE:5GE1 (“Global Energy Metals”, the
“Company” and/or "GEMC") announced today that is has entered into
an option agreement (the “Option”) with Canadian Co27 Pty Ltd., an
Australian company (the “Optionee”) that will, as a condition to the
agreement, be acquired fully by Marquee Resources Limited
(“Marquee”) and have the rights to earn either a 30% or a 70% interest
in the Werner Lake Cobalt Project located in Kenora Mining District,
Ontario (the “Property”).
The Werner Lake Cobalt Mine operated in the 1940s as a high-grade
source of cobalt. Since that time, the project was taken back to
mine decision by Canmine Resources. Canmine Resources completed
a significant amount of work on the project including; helicopter-
borne geophysics, approximately 22,860 m of diamond drilling over
numerous campaigns, several resource calculation and approximately
258 m of underground ramping, drifting and raising into the West
Cobalt Deposit. They also completed a 10,000 tonne bulk sample and
metallurgical bench test milling and chemical analysis on the
mineralised material. Canmine Resources also completed several
preliminary feasibility studies and economic modeling and were in the
process of completing a definitive feasibility study when they filed for
bankruptcy. Additional work was completed in 2009-2010 by Puget
Ventures and all this work formed the basis for the recent NI 43-101
resource report issued by GEMC (see press release September 6,
2017). A work program including diamond drilling (+3,500 m), to
further upgrade resource categories and extend the mineralised
envelope, as well as additional metallurgical work and underground
chip sampling has been recommended. The mineralised zones remain
open in all directions.
Mitchell Smith CEO of Global Energy Metals said , “We are very
pleased to be advancing this important Canadian cobalt project with
our newest partners. Their strong funding and operating team was
an important consideration in partnering with them to ensure that
the Werner Lake project advances and builds value for shareholders
under the current cobalt market conditions.”
Charles Thomas, MD of Marquee Resources Limited, “Werner Lake is
one of the key cobalt resources in Canada and this partnership will
ensure that it advances as quickly as possible. We will move quickly
to activate the development program.”
The Marquee team includes Charles Thomas, a well known corporate
financiere and capital markets leader in Australia who sits on a
number of boards and holds responsibilities for sourcing and financing
projects. Mr Thomas has worked in the financial service industry for
more than a decade and has extensive experience in capital markets
as well as the structuring of corporate transactions. Mr Thomas’s
previous directorships include among others AVZ Minerals Ltd, Liberty
Resources Ltd, Force Commodities Limited and Applabs Technologies
Ltd. where he was responsible for the sourcing and funding of
numerous projects.
Joining Mr. Thomas, is Mark Ashley, who has spent over 30 years as a
senior executive with a number of successful listed mining and
exploration companies, with the past 20 years based in Western
Australia. Mr. Ashley held the role of CEO of Canadian listed LionOre
Mining International Ltd, a company that was transformed from being
to becoming one of the world's largest nickel producers in less than 10
years and acquired by Norilsk in a $6 billion cash takeover bid
between it and Xstrata. Mr. Ashley has held other senior executive
roles managing and implementing significant corporate growth and
consolidation strategies in the mining and exploration sector including
Cluff Resources PLC (UK), Normandy Mining (Australian) and Apex
Minerals (Australian), among others.
As consideration for Global Energy Metals entering into the
agreement, GEMC shall receive a non-refundable deposit of A$25,000
and a further A$175,000 and such number of publicly traded shares of
Marquee, having an aggregate value of A$100,000 upon satisfaction of
certain conditions precedent.
In addition, if an encouraging Pre-feasibility study according to
commercially reasonable standards is obtained, with respect to any
part of the Property, the Optionee shall cause Marquee to pay GEMC
A$150,000.
In order to maintain in force the Option granted to it, and to exercise
the Option, the Optionee must incur expenditures of A$1,000,000 to
earn a 30% interest in the property and a further A$1,500,000 (for a
total of A$2,500,000) to earn a 70% interest in the Property. The
parties will enter into a customary joint venture agreement once the
Optionee exercises its Option to acquire either a 30% or 70% interest
in the Property.
GEMC and the Optionee shall appoint an Exploration Management
Committee to approve programs and to oversee the implementation
of the programs that will be used to advance the Werner Lake
project.
GEMC and the Optionee will have the right to take in kind and
separately dispose of, in proportion to its interest in the Property, all
minerals produced by the Property to any third party or downstream
users as each party may so elect (in its absolute discretion).
Qualified Person
Mr. Paul Sarjeant, P . Geo., the Company’s VP Projects and Director, is
the qualified person for this release as defined by National Instrument
43-101 - Standards of Disclosure for Mineral Projects and has reviewed
and verified the technical information contained herein.
Global Energy Metals Corporation (TSXV:GEMC | FSE:5GE1)
Global Energy Metals is focused on offering security of supply of
cobalt, a critical material to the growing rechargeable battery
market, by building a diversified global portfolio of cobalt assets
including project stakes, projects and other supply sources. GEMC
anticipates growing its business by acquiring project stakes in battery
metals related projects with key strategic partners. Global Energy
Metals currently owns and is advancing the Werner Lake Cobalt Mine
in Ontario, Canada and has entered into an agreement to earn-in to
the Millennium Cobalt Project in Mt. Isa, Australia.
For Further Information:
Global Energy Metals Corporation
#1501-128 West Pender Street
Vancouver, BC, V6B 1R8
Email: [email protected]
t. + 1 (604) 688-4219 extensions 236/237
Cautionary Statement on Forward-Looking Information:
Certain information in this release may constitute forward-looking
statements under applicable securities laws and necessarily involve
risks associated with regulatory approvals and timelines. Although
Global Energy Metals 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 in the
forward-looking statements. Except as required by law, the Company
undertakes no obligation to update these forward-looking statements
in the event that management’s beliefs, estimates or opinions, or
other factors, should change. For more information on Global Energy
and the risks and challenges of their businesses, investors should
review the filings that are available at www.sedar.com.
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that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
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