First Nordic Completes Acquisition of its 100%-Owned Oijärvi Project in Finland
First Nordic Completes Acquisition of its
100%-Owned Oijärvi Project in Finland
VANCOUVER, BC
,
Aug. 1, 2024
/CNW/ -
First Nordic Metals Corp.
("
FNM
" or the "
Company
") is
pleased to announce that
yesterday
it completed its acquisition of the Oijärvi Gold Project ("
Oij
ä
rvi
"
or the "
Project
") that was announced on
July 15, 2024
(the "
Transaction
"). Oijärvi is a 17,600
hectare greenstone belt land package that includes the Kylmäkangas gold deposit, which contains a
high-grade underground resource that has seen limited drilling.
The Transaction was effected by way of a subscription agreement between FNM and Agnico Eagle
Mines Limited ("
Agnico Eagle
"), pursuant to which Agnico Eagle exchanged amounts due under the
asset purchase agreement between certain subsidiaries of FNM, certain subsidiaries of Agnico
Eagle and EMX Royalty Corporation dated
March 19, 2021
, as amended
May 1, 2023
(the
"
Purchase Agreement
") for 27,954,872 common shares of the Company (the "
Shares
").
[1]
FNM issued the 27,954,872 Shares to Agnico Eagle at a subscription price of
C$0.2925
per Share
for gross proceeds of
$8,176,800
, which proceeds were used by FNM to immediately satisfy the
remaining consideration payable to certain subsidiaries of Agnico Eagle under the Purchase
Agreement. The Transaction was treated as a shares-for-debt transaction under the policies of the
TSX Venture Exchange (the "
TSXV
") and remains subject to final acceptance of the TSXV.
In connection with the Transaction, Agnico Eagle and FNM entered into an investor rights agreement
that provides Agnico Eagle with, among other things, certain rights in the event it maintains minimum
ownership thresholds in the Company, including: (i) the right to participate in equity financings; (ii) a
top-up right that would permit Agnico Eagle to increase its holdings in FNM to 19.9%; and (iii) the
right (which Agnico Eagle has no present intention of exercising) to nominate one person to FNM's
board of directors.
The Shares issued to Agnico Eagle in connection with the Transaction are subject to a four month
hold period from
yesterday
's date in accordance with applicable securities laws.
ABOUT FIRST NORDIC METALS
The Company's flagship asset is the Barsele gold project, located in
Sweden
and in a joint venture
with senior gold producer Agnico Eagle Mines Limited. Ownership in the Barsele gold project is
currently 55% Agnico Eagle and 45% FNM (Agnico Eagle has the right to earn an additional 15% by
completing a pre-feasibility study). Immediately surrounding the Barsele project, FNM is the 100%-
owner of a district-scale license position of close to 100,000 hectares on both the prolific Gold Line
and Skelleftea VMS belts. Additionally, in northern Finland FNM holds the entire underexplored
Oijärvi Greenstone Belt.
[2]
ON BEHALF OF THE BOARD OF DIRECTORS
Taj Singh
, M.Eng, P.Eng, CPA
President & CEO, Director
Additional Information & Qualified Person:
[1] Details of the acquisition of the Project are set out in the Purchase Agreement, which has been
filed by Gold Line Resources Ltd. (acquired by FNM) under its profile on SEDAR+.
[2] All technical information on the Project is based on the 2022 Technical Report by ARFY Finland
Oy entitled "Mineral Resource estimate NI 43-101 Technical Report - Kylmäkangas Gold Project,
AFRY Finland Oy,
July 25, 2022
" effective date of
July 25, 2022
, filed on SEDAR+ by Gold Line
Resources Ltd. (acquired by FNM).
Benjamin Gelber
, Chief Technical Director of FNM, a qualified person as defined in National
Instrument 43-101, has reviewed and approved the technical disclosure contained in this news
release.
Follow First Nordic Metals:
Twitter: @fnmetals | Youtube: @firstnordicmetalscorp | LinkedIn: @firstnordicmetals
Facebook: @FirstNordicMetals | Instagram: @firstnordicmetals
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 Regarding Forward-Looking Statements:
This release contains "forward
looking information" or "forward-looking statements" within the
meaning of Canadian securities laws, which may include, but are not limited to the exploration and
results thereof of the Project and the Company's other properties in the Gold Line Belt. All
statements in this release, other than statements of historical facts, that address events or
developments that the Company expects to occur, are forward-looking statements. Forward-looking
statements are statements that are not historical facts and are generally, but not always, identified
by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects",
"potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or
"should" occur. Although the Company 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 may differ from those in the forward-looking statements.
Such forward-looking information reflects the Company's views with respect to future events and is
subject to risks, uncertainties and assumptions. Such factors include, among other things: risks
and uncertainties relating to exploration and development, the ability of the Company to obtain
additional financing, the need to comply with environmental and governmental regulations,
fluctuations in the prices of gold and other commodities, operating hazards and risks inherent in
the resource industry, competition and other risks and uncertainties, including those described in
the Company's financial statements and/or management discussion and analysis available on
www.sedarplus.ca
. The Company does not undertake to update forward
looking statements or
forward-looking information, except as required by law
.
SOURCE
First Nordic Metals Corp.
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%SEDAR: 00037711E
For further information:
For further information contact: Alicia Ford, Business Development
Manager, Phone: 403-604-9646, Email: [email protected]
CO: First Nordic Metals Corp.
CNW 04:00e 01-AUG-24