Fulcrum Metals plc (LON:FMET), a company focused on mineral exploration and development in Canada, has signed a non-binding LOI with TSX Venture Exchange listed GEMC for an option and royalty agreement over the Company's Saskatchewan uranium properties.
Agreement highlights:
- LoI with Global Energy Metals Corporation
- TSX-V listed with portfolio of exploration and early-stage battery mineral assets
- 2-year option for a 19.9% interest in its owned/optioned Saskatchewan uranium projects
- GEMC shall pay CAD$1m as a combination of cash and GEMC Shares
- Fulcrum to receive 5 million GEMC shares at a price of CAD$0.06 a share, representing a 9.9% shareholding in GEMC
- GEMC will receive a 0.5% NSR royalty
- Fulcrum intends to retain any shares received in GEMC
- Definitive agreement expected within 45 days of signing the LoI
Market Intelligence
- GEMC looking to broaden it’s portfolio of metals to include Uranium
- FMET is a good fit with growth stage Uranium assets
- GEMC CEO is a NED of Fulcrum Metals:
- non-arms length transaction
- Transaction in-line with expectations given the Board structure
- Non-dilutive transaction positive for investors
- We expect the relationship to broaden and deepen during FY24
Fulcrum Metals (FMET)