Hinterland Enters into Agreement to Sell Non-Core Asset
Toronto, Ontario--(Newsfile Corp. - March 26, 2020) - Hinterland Metals Inc. ("Hinterland" or the "Company") is pleased to announce that it has entered into a mining property acquisition agreement (the "Agreement") with Mistango River Resources Inc. (the "Purchaser"), an arm's length party, to sell its non-core asset, the Teck Property, located in the Kirkland Lake Gold Camp of the Province of Ontario (the "Teck Property"). The Teck Property has been inactive for a number of years, with the Company having written of all costs related to the Teck Property in prior years.
Pursuant to the Agreement, the Company has agreed to transfer to the Purchaser 47 mining claims, 22 mining patents, and 2 mining licenses of occupation, all situated in Eby, Teck and Grenfell Townships, in the Province of Ontario, together with all exploration data and technical information associated with the foregoing in the possession of the Company. Pursuant to the Agreement, and subject to applicable laws, the total consideration payable to the Company by the Purchaser will consist of a cash payment of CAD $15,000 as well as 1,500,000 common shares in the capital of the Purchaser (the "Consideration Shares").
The Consideration Shares to be issued under the Agreement will be subject to a statutory hold period that extends four months and one day from the closing date. Completion of the transaction is subject to the satisfaction of customary closing conditions (including, without limitation, the receipt of all necessary approvals). Pursuant to the terms of the Agreement, it is anticipated that the transaction will close on or around April 3, 2020 or such later date as agreed upon by the Company and the Purchaser.
This press release may contain certain forward-looking information and statements ("forward-looking information") within the meaning of applicable Canadian securities legislation, that are not based on historical fact, including without limitation, statements containing the words "believes", "anticipates", "plans", "intends", "will", "should", "expects", "continue", "estimate", "forecasts" and other similar expressions. Readers are cautioned to not place undue reliance on forward-looking information. Actual results and developments may differ materially from those contemplated by these statements. The Company undertakes no obligation to comment on analyses, expectations or statements made by third-parties, its securities, or financial or operating results (as applicable). Although the Company believes that the expectations reflected in forward-looking information in this press release are reasonable, such forward-looking information has been based on expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject to numerous risks and uncertainties, certain of which are beyond the Company's control. The forward-looking information contained in this press release are expressly qualified by this cautionary statement and are made as of the date hereof. The Company disclaims any intention and has no obligation or responsibility, except as required by law, to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
This press release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or dissemination in the United States. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.
For further information, please contact:
Hinterland Metals Inc.
1 Adelaide Street East, Suite 801
Toronto, Ontario M5C 2V9
Attention: Binyomin Posen, Director and Chief Executive Officer
Not for distribution to U.S. Newswire Services or for dissemination in the United States. Any failure to comply with this restriction may constitute a violation of U.S. securities laws.
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