Vancouver, BC / TheNewswire / February 28, 2018 / Global Energy Metals Corporation TSXV:GEMC | OTCQB:GBLEF | FSE:5GE1 (“Global Energy Metals”, the “Company” and/or “GEMC”) is pleased to announce that all conditions precedent have been met in the previously announced Werner Lake transaction with Marquee Resources Ltd. (“Marquee”).
As consideration for Marquee’s option to earn either a 30% or a 70% interest in the Werner Lake Cobalt Project located in Kenora Mining District, Ontario (the “Property”), Global Energy Metals has received a cash payment totalling A$200,000 and has been granted publicly traded shares of Marquee having an aggregate value of A$100,000.
Commenting on the transaction, GEMC President & CEO Mitchell Smith said, “We are pleased to have Marquee’s support as a significant partner that will aggressively advance the past producing Werner Lake Cobalt project in Ontario. We view this transaction as a significant milestone that provides additional investment exposure and accelerates our ability to create value moving forward as we continue to advance our cobalt project portfolio.”
Charles Thomas, Managing Director of Marquee commented, “Marquee’s focus will now shift to an aggressive exploration and further resource delineation program at the Werner Lake project. We believe there is every opportunity to significantly increase the resource to historically reported values and will initiate a work campaign to do just that in the very near future.”
In order to maintain and enforce the option granted to it, and to exercise this option, Marquee must incur expenditures of A$1,000,000 to earn a 30% interest in the Property within year one and a further A$1,500,000 (for a total of A$2,500,000) to earn a 70% interest in the Property on or before year two. The parties will enter into a customary joint venture agreement once the Marquee exercises its option to acquire either a 30% or 70% interest in the Property. In addition, upon obtaining an encouraging Pre-feasibility study according to a commercially reasonable standard, Marquee will pay GEMC A$150,000.
For full details of the Werner Lake transaction, please refer to the Company’s news release dated November 30, 2017.
Werner Lake Cobalt Project
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.
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.
For Further Information:
Global Energy Metals Corporation
#1501-128 West Pender Street
Vancouver, BC, V6B 1R8
t. + 1 (604) 688-4219 extensions 236/237
Global Energy Metals Corporation
(TSXV:GEMC | OTCQB:GBLEF | 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.
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.
Neither 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.
We seek safe harbour.