Coloured Ties Acquires 62 Claims in Cadillac-Pontiac Lithium Belt and Reports NAV at $0.96 per Share
Vancouver, British Columbia--(Newsfile Corp. - July 25, 2022) - Coloured Ties Capital Inc. (TSXV: TIE) (OTC PINK: APEOF) (FSE: 97A0) ("Coloured Ties" or the "Company") provides the following corporate update.
62 LITHIUM CLAIMS ACQUIRED IN QUEBEC LITHIUM BELT
Coloured Ties reports that the Company has purchased 62 mineral claims, in the Cadillac-Pontiac region, about 50km southwest of Val-d'Or. The claims are immediately adjacent to claims currently held by Winsome Resources, a well-funded ASX listed Lithium exploration company and Vision Lithium, a TSX-V listed Lithium explorer. The Mazérac claims are accessible by a dense network of trails and other logging roads. The area also accessible through boat or seaplane within watershed of Decelles water reservoir, hosting the Rapid-7 hydroelectric dam of Decelles.
The general area has recently attracted many lithium prospecting and exploration companies such as Brunswick Exploration V.BRW, High Tide Resources V.HITI, Medaro Mining C.MEDA, NeoTerrex Corporation (private company), Renforth Resources C.RFR, Sayona Mining ASX.SYA, Vision Lithium V.VLI, and Winsome Resources ASX:WR1.
The Cadillac-Pontiac area has gained attention due to recent discoveries of several high-grade spodumene prospects. The latest discovery of high grade lithium prospects by Vision Lithium Inc, spurred several other exploration and drill programs within the Cadillac area. Since December 2021, approximately 4000 new claims have been registered in the greater Mazerac area and the Pontiac Subprovince region, south of Val-d'Or and Rouyn-Noranda.
The claims have been acquired from prospectors, Mr Griesbach and Junita Asihto. Mr Griesbach is a Canadian-certified geologist with more than 40 years of mineral exploration experience across Canada, Africa, China, and Southeast Asia; Mr. Junita Asihto is a Quebec-based prospector with a strong understanding of the Mazérac region. The acquisition is subject to final TSX-V exchange approval.
The Company will continue to monitor exploration activity of adjoining projects and develop an expanded exploration plan within the area. As per initial plan, Coloured Ties is compiling a detailed geological data of the area. The adjoining property is owned by Winsome Resources, who have provided early technical summary of the area, which will be considered in understanding of prospects of the claims acquired by the Company. Winsome News Release regarding Mazerac Area can be found here: https://wcsecure.weblink.com.au/pdf/WR1/02480499.pdf
Summary of Activities of the Company
Normal Course Issuer Bid
As announced on December 8, 2021, the Company commenced a normal course issuer bid ("NCIB"). Under the NCIB, the Company purchased 1,163,782 common shares of the Company (the "Common Shares") at an average price of $0.325 for a total cost of $378,229.15. The Common Shares represent approximately 5% of the issued and outstanding shares as of the date hereof. The purchased Common Shares will be returned to the treasury and cancelled and result in the number of Common Shares being reduced from 23,275,641 to 22,114,141.
As of the March 31, 2022, the most recent financial period, the Company holds $21,442,000 in cash and investments and had liabilities of $206,200, representing a net asset value equal to $21,236,000 or $0.96 per Common Share.
The Company intends to complete another NCIB to purchase an additional 5% or 1,105,707 Common Shares in accordance with applicable regulatory requirements and subject to approval of TSX Venture Exchange. If regulatory approval is obtained, the new NCIB will proceed through Canaccord Genuity Corp. for market activities.
The management believes that the Company is in a good position to leverage the Company's balance sheet to make investments in emerging technologies and mineral exploration projects and repurchase of its own common shares for cancellation. Mr. Kal Malhi, CEO, and the management are positive on performance of the current investment portfolio of the Company and vision of strong growth prospects of Ride Vision and Patriot Battery Metals, as both companies continue to expand their businesses. The Company remains laser focused and continue to build value for its shareholders by enhancing the net asset value for the Company. In the current market conditions, the Company will take careful and diligent analysis in assessing strategic opportunities in various sectors and deploy investments. The acquisition of the lithium claims in the Cadillac Pontiac region may be considered as such a good potential opportunity.
FERTIMAR LOAN REPAYMENT
On Aug. 31, 2018, the previous management of Coloured Ties had loaned $1.8-million (U.S.) to Fertimar Mineracao E Navegacao SA as part of a planned reverse takeover transaction. The reverse takeover transaction was not completed, and the Company has been working with Fertimar to effect a repayment plan and has entered into a repayment plan with Fertimar whereby Fertimar shall repay a total amount of approximately $1,300,000 CAD (6,000,000 Brazilian Reals) in twelve monthly installments, starting in January 2022.
As of July 15, 2022, Fertimar has made scheduled payments and is scheduled to make additional payments over the coming months to complete the total repayment of 6,000,000 Brazilian Reals or approximately $1,300,000. All payments to be received will be in Brazilian REAL and subject to currency fluctuations.
In January 2022, Coloured Ties made an investment into Ride Vision, a private Israel based company. Ride Vision is a unique Advanced Rider Assistance System (ARAS) tailored to meet the safety needs of riders. Ride Vision is developing an industry-leading Collision Aversion Technology (CAT™) which is a fusion of artificial intelligence (neural networks) and computer. Vision is designed to seamlessly integrate with all motorcycle and scooter makes and models.
Recent Developments for Ride Vision:
Ride Vision has partnered with Israel's leading insurance provider, IDI Insurance, after a successful pilot with a large automotive manufacturer demonstrated a reduction in the chances of fatal collision by 60%.
The new partnership comes to life during an alarming rise in two/three-wheeler fatalities in Israel, growing from 20 in 2020 to 44 in 2021, in roughly 6 months, costing the state of Israel more than 2B ILS every year. The internal pilot, objectively testing multiple IDI employees and vehicle types for their road behavior and product satisfaction based on their experience with the Ride Vision 1 product.
Expansion into new markets
After successfully launching and saving lives in Israel and Italy, Ride Vision has now launched in the Australian market, starting with New South Wales. Since October 2021, Ride Vision's system has been available for Australian riders to retrofit their bikes.
Tier 1 supplier Minda Corporation, the flagship company of Spark Minda, has partnered with Ride Vision to bring its products into the Indian market.
For more information about Ride Vision, please visit: www.ride.vision
Patriot Battery Metals Inc.
Coloured Ties has acquired a total of 1,708,900 common shares of Patriot Battery Metals (PMET) via purchases thru the Canadian Securities Exchange from December to July 15, 2022 at an average cost of $1.40 per share.
Patriot Battery Metals has achieved early drilling success at their Corvette Lithium property in Quebec and the company's stock price has seen appreciation to a high $4.50 and recent correction to the $2.58 range as of July 20, 2022.
For more information about PMET, please visit: www.patriotbatterymetals.com
Arnett Creek NSR Purchase
Coloured Ties has entered into discussions to acquire a 1% Net Smelter Royalty on Arnett Creek Gold project being developed by Revival Gold from a related private party. Revival Gold is advancing the Beartrack-Arnett Gold project located in Idaho, USA. A new mineral resource estimate for Beartrack-Arnett was recently filed by Revival Gold at https://revival-gold.com/revival-gold-files-ni-43-101-mineral-resource-technical-report/. Discussions are at an early stage and there is no guarantee that an acquisition of the NSR will be consummated.
For more information about Revival Gold and a summary of their development projects, please visit: www.revival-gold.com
For further information please contact:
Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Except as required pursuant to applicable securities laws, the Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by the Company.
The forward-looking statements contained in this news release present the expectations of the Company as of the date hereof and, accordingly, is subject to change after such date. Readers are cautioned not to place undue reliance on forward-looking statements.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/131761