All posts by Marburg Corporation

Metals Update 27/07/2021

Draganfly Announces New CUSIP Number, Consolidation and ISIN Number in connection with Listing on The Nasdaq

Los Angeles, CA., July 27, 2021 (GLOBE NEWSWIRE) — Draganfly Inc. (OTCQB: DFLYF) (CSE: DFLY) (FSE: 3U8) (“Draganfly” or the “Company”), Draganfly announced today that in connection with the proposed listing of the ‎Company’s issued and outstanding common shares (“Common Shares”) on The Nasdaq Capital Market (the “Nasdaq”), the Company’s new consolidated shares on a basis of one (1) new Common Share for every five (5) currently issued and outstanding common shares under the new stock symbol “DPRO” and with a new CUSIP number 16142Q205 and new ISIN CA26142Q2053 number.

The consolidation is expected to take effect on July 29, 2021. Immediately prior to the consolidation there are expected to be 135,229,434 Common Shares issued and outstanding, and it is expected that there will be 27,045,887 Common Shares following the consolidation, subject to rounding for any fractional shares. No fractional shares will be issued as a result of the share consolidation and the number of post consolidation shares to be received by a shareholder will be rounded up, in the case of a fractional interest that is 0.5 or greater, or rounded down, in the case of a fractional interest that is less than 0.5, to the nearest whole number of shares that such holder would otherwise be entitled to receive upon the implementation of the share consolidation.

Upon consolidation, the Common Shares are intended to but are not guaranteed to immediately list on the Nasdaq under the stock symbol “DPRO” and under the new CUSIP number 16142Q205 and new ISIN CA26142Q2053 number . There is no assurance that the Common Shares will be listed on Nasdaq, as the listing remains subject to the satisfaction of Nasdaq’s listing requirements. In addition, Draganfly will apply to change its trading symbol on the Canadian Securities Exchange (“CSE”) to “DPRO” to align with its symbol on the Nasdaq.

Registered shareholders holding share certificates will be mailed a letter of transmittal advising of the share consolidation and instructing them to surrender their share certificates representing pre-consolidation shares for replacement certificates or a direct registration advice representing their post-consolidation shares. Until surrendered for exchange, following the effective date of the consolidation, is expected to be July 29, 2021, each share certificate formerly representing pre-consolidation shares will be deemed to represent the number of whole post-consolidation shares to which the holder is entitled as a result of the consolidation.

Holders of shares of the Company who hold uncertificated shares (that is shares held in book-entry form and not represented by a physical share certificate), either as registered holders or beneficial owners, will have their existing book-entry account(s) electronically adjusted by the Company’s transfer agent or, for beneficial shareholders, by their brokerage firms, banks, trusts or other nominees that hold in street name for their benefit. Such holders do not need to take any additional actions to exchange their pre-consolidation shares for post-consolidation shares. If you hold your shares with such a bank, broker or other nominee, and if you have questions in this regard, you are encouraged to contact your nominee.

No regulatory authority has either approved or disapproved the contents of this news release.

Arizona Gold and Golden Predator File Joint Circular

TORONTO, July 27, 2021 (GLOBE NEWSWIRE) — Arizona Gold Corp. (“Arizona”) (TSX: AZG, OTCQB: AGAUF) and Golden Predator Mining Corp. (“Golden Predator”) (TSX.V:GPY; OTCQX:NTGSF) announced today that they have filed a joint management information circular (the “Circular”), which will be mailed out to their respective shareholders for the meetings to be held on August 25, 2021, in connection with the previously announced transaction (the “Transaction”) whereby Arizona will acquire all of the issued and outstanding shares of Golden Predator pursuant to a plan of arrangement (the “Arrangement”) under the Business Corporations Act (British Columbia) previously announced on June 28, 2021.

Arizona and Golden Predator encourage shareholders to read the meeting materials in detail. An electronic copy of the Circular is available on Arizona’s website at www.arizona-gold.com and on Golden Predator’s website at www.goldenpredator.com. The Circular is also available on SEDAR under the issuer profiles of both companies at www.sedar.com. Shareholders are strongly encouraged to vote online following the instructions set out on the form of proxy or voting instruction form which will be mailed along with the Circular.

TRANSACTION HIGHLIGHTS

  • Creates a diversified near-term gold producer in North America through sequential development of the fully permitted Copperstone mine in Arizona followed by the Brewery Creek mine in the Yukon;
  • Combined resource base1 of approximately 1.1 million oz gold in the Measured & Indicated categories, plus an additional approximate 1.5 million oz gold in the Inferred category, paired with considerable exploration upside at each project;
  • Improved capital markets scale to enhance investor visibility and positioning amongst peers, plus a broadened shareholder base;
  • Combined cash and investments of $23M2, including shareholdings in Seabridge Gold Inc., C2C Gold Corp. and Group 11 Technologies Inc.;
  • Experienced leadership team including Giulio Bonifacio as President & CEO and William Sheriff as Non-Executive Chairman, to be supported by a technical team with backgrounds in both mine-building and operations; and
  • On closing of the Transaction, it is anticipated that Arizona will change its name to Sabre Gold Mines Corp.

Shareholders of each of Arizona and Golden Predator holding, in the aggregate, approximately 36.20% of the issued and outstanding Arizona shares and approximately 22.03% of the issued and outstanding Golden Predator shares, respectively, as at July 23, 2021, have entered into voting support agreements pursuant to which they have agreed, among other things, to vote in favour of the Share Issuance Resolution and the Arrangement Resolution, respectively (each as hereinafter defined). These include voting support agreements from entities affiliated with Eric Sprott, in the case of Arizona and Golden Predator, and from PowerOne Capital Limited and Pat DiCapo, in the case of Golden Predator.

ARIZONA MEETING

The meeting of holders of Arizona common shares (the “Arizona Meeting”) will be held at 1:00 p.m. (Toronto time) on Wednesday, August 25, 2021 at the offices of Peterson McVicar LLP, Suite 902, 18 King Street East, Toronto, Ontario, Canada, M5C 1C4.

Holders of Arizona common shares (“Arizona Shareholders”) of record at the close of business on July 26, 2021 will be entitled to vote at the Arizona Meeting. Out of an abundance of caution and in an effort to adopt measures that assist our community in slowing the spread of the novel coronavirus disease 2019, also known as COVID-19, in order to protect the health and safety of our community, Arizona Shareholders, employees and other stakeholders, we are inviting Arizona Shareholders to attend the Arizona Meeting virtually, which will be conducted via live audio webcast online at https://virtual-meetings.tsxtrust.com/1212.

Arizona Shareholders will be asked to consider and pass an ordinary resolution (the “Share Issuance Resolution”) approving the issuance of Arizona common shares to Golden Predator shareholders (the “Share Issuance”) in connection with the Transaction, pursuant to which, among other things, all of the issued and outstanding common shares of Golden Predator will be exchanged for Arizona common shares on the basis of 1.65 Arizona common shares per common share of Golden Predator. Upon completion of the Transaction, existing Arizona and Golden Predator shareholders will own approximately 55% and 45% of the combined company common shares, respectively, on an outstanding basis.

Arizona Shareholders will also be asked to consider and pass a special resolution (the “Name Change Resolution”) to change the name of Arizona to “Sabre Gold Mines Corp.” or such other name to be determined by Arizona, effective on or around the completion of the Transaction.

The meeting materials provided to Arizona Shareholders contain important information regarding voting, the Transaction and a summary of the events leading up to the Transaction, including the reasons that led to Arizona’s Board of Directors (the “Arizona Board”) to unanimously determine that the Transaction is fair, from a financial point of view, to Arizona. The Arizona Board unanimously recommends that Arizona Shareholders vote for the Share Issuance Resolution and Name Change Resolution at the Meeting.

The meeting materials are available on Arizona’s website at www.arizona-gold.com and under Arizona’s SEDAR profile at www.sedar.com.

GOLDEN PREDATOR MEETING

The meeting of holders of Golden Predator common shares (the “Golden Predator Meeting”) will be held at 10:00 a.m. (Vancouver time) on Wednesday, August 25, 2021 at the offices of Morton Law LLP, 1200 – 750 West Pender Street, Vancouver, British Columbia, Canada, V6C 2T8.

Holders of Golden Predator common shares (“Golden Predator Shareholders”) of record at the close of business on July 16, 2021 will be entitled to vote at the Golden Predator Meeting. Out of an abundance of caution and in an effort to adopt measures that assist our community in slowing the spread of the novel coronavirus disease 2019, also known as COVID-19, in order to protect the health and safety of our community, Golden Predator Shareholders, employees and other stakeholders, we are inviting Golden Predator Shareholders to attend the Meeting virtually by contacting Golden Predator by telephone at 604-260-0289 or by email at info@goldenpredator.com to be provided with a virtual conference link.

Golden Predator Shareholders will be asked to consider and, if deemed advisable, pass a special resolution approving the Arrangement (the “Arrangement Resolution”). To be effective, the Arrangement Resolution must be approved at the Golden Predator Meeting by (i) at least 66 ⅔% of the votes cast on the Arrangement Resolution by the Golden Predator Shareholders, and (ii) at least a majority of the votes cast on the Arrangement Resolution, excluding any “interested party”, as such term is defined in Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions.

The meeting materials provided to Golden Predator Shareholders contain important information regarding voting, the Transaction and a summary of the events leading up to the Transaction, including the reasons that led to Golden Predator’s Board of Directors unanimously determining that the Transaction is fair, from a financial point of view, to Golden Predator Shareholders and in the best interest of Golden Predator. The Golden Predator Board unanimously recommends that Golden Predator Shareholders vote for the Arrangement Resolution at the Meeting.

The meeting materials are available on Golden Predator’s website at www.goldenpredator.com and under Golden Predator’s SEDAR profile at www.sedar.com.

CONDITIONS FOR COMPLETION OF THE TRANSACTION

The Transaction is subject to various closing conditions, including receipt of (i) final court approval of the Arrangement, (ii) the required approval at the Arizona Meeting of the Share Issuance Resolution, (iii) the required approval at the Golden Predator Meeting of the Arrangement Resolution, and (iv) regulatory approvals of the Transaction, including TSX approval of the Share Issuance and TSXV approval of the Transaction.

For additional information on Arizona and the Copperstone mine, please visit the website at www.arizona-gold.com. For additional information on Golden Predator and the Brewery Creek mine, please visit the website at www.goldenpredator.com.

Contact Information
Arizona Gold Corp.
Giulio Bonifacio
CEO & Director
604-318-6760
gtbonifacio@arizona-gold.com
Golden Predator Mining Corp.
William Sheriff
Executive Chair
972-333-2214
wms@goldenpredator.com

Cautionary Statements

Certain information contained herein constitutes forward-looking information or statements under applicable securities legislation and rules. Such statements include, but are not limited to, statements with respect to the anticipated completion of the Transaction. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Arizona and/or Golden Predator to be materially different from those expressed or implied by such forward-looking statements, including, but not limited to: (i) any inability of the parties to satisfy the conditions to the completion of the Transaction on acceptable terms or at all; and (ii) receipt of necessary stock exchange, court and shareholder approvals. Although management of each of Arizona and Golden Predator has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate. Accordingly, readers should not place undue reliance on forward-looking statements. Neither party will update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws. The parties caution readers not to place undue reliance on these forward-looking statements and it does not undertake any obligation to revise and disseminate forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of or non-occurrence of any events.

This press release is not and is not to be construed in any way as, an offer to buy or sell securities in the United States. The distribution of the Arizona common shares in connection with the transactions described herein will not be registered under the United States Securities Act of 1933 (the “U.S. Securities Act”) and the Arizona common shares may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the Arizona common shares, nor shall there be any offer or sale of the Arizona common shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Neither the TSX, the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX and TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

1For Copperstone, please reference the independent technical report titled “National Instrument 43-101 Technical Report: Preliminary Feasibility Study for the Copperstone Project, La Paz County, Arizona, USA” completed by Hard Rock Consulting, LLC, effective date April 1, 2018. For Brewery Creek, please reference the Independent technical report titled “NI 43-101 Technical Report on Resources – Brewery Creek Project, Yukon, Canada” completed by Gustavson Associates LLC, effective date May 31, 2020.

2 Includes pro forma cash of $9.6M at March 31, 2021 and pro forma equity investments calculated as at June 25, 2021, excluding transaction costs.

Metals Update 26/07/2021

EnCore’s Group 11 closes $1M (U.S.) financing

Group 11 Technologies Inc., a private U.S.-based company held 40 per cent, prefinancing, by EnCore Energy Corp., has completed a $1-million (U.S.) financing with accredited investors. Proceeds will advance test work to assess the amenability and recovery rates for gold extraction through the combination of in situ recovery technology and an environmentally friendly water-based solution.

Register for live webcast — July 26, 2021

Management of GFG and Group 11 will host a webcast on Monday, July 26, 2021, at 2:30 p.m. Eastern Standard Time (11:30 a.m. Pacific Standard Time) to discuss Group 11’s innovative technology and the coming programs.

After registering, you will receive a confirmation e=mail containing details to access the webinar via conference call or webcast. A replay of the webcast will be available following the conclusion of the call.

Golden Predator investment Group 11 completes financing

Group 11 Technologies Inc., a private U.S.-based company held 20 per cent, prefinancing, by Golden Predator Mining Corp., has completed a $1-million (U.S.) financing with accredited investors. Proceeds will advance test work to assess the amenability and recovery rates for gold extraction through the combination of in situ recovery technology and an environmentally friendly water-based solution.

About Group 11 Technologies Inc.

Group 11 is a private U.S.-based company committed to the development and application of environmentally and socially responsible precious metal mineral extraction. The combination of in situ recovery extraction (ISR) technology and environmentally friendly water-based chemistry to recover gold and other metals provides a promising alternative solution to conventional open-pit and underground mineral extraction. The goal of advancing sustainable extraction considers growing concerns surrounding water use and discharge, carbon footprint, energy consumption, community stakeholders, and workplace safety while addressing a growing global need for metals in people’s daily lives. Group 11 was founded by Enviroleach Technologies Inc., Encore Energy Corp. and Golden Predator Mining.

Group 11 is a group of elements in the periodic table, also known as the coinage metals, consisting of gold, silver and copper.

Metals Update 23/07/2021

ThreeD Capital acquires 272,000 shares of Bluesky

Through a series of transactions ending July 22, 2021, ThreeD Capital Inc. and its joint actor acquired ownership and control of an aggregate of 272,000 common shares of Bluesky Digital Assets Corp. The subject shares represented approximately 0.70 per cent of all issued and outstanding common shares of the company. As a result of the acquisitions, the percentage ownership held by ThreeD and the joint actor increased by 2.2 per cent from its last early warning report filed in connection with the acquisition of Bluesky shares, from which ThreeD, with the joint actor, reported a 27.8-per-cent ownership on a partially diluted basis.

Immediately prior to the acquisitions, ThreeD and the joint actor owned and controlled an aggregate of 6,950,500 common shares, 4.9 million warrants and 500,000 options of Bluesky, representing approximately 19.0 per cent of all issued and outstanding common shares of the company (or approximately 29.4 per cent assuming exercise of the outstanding warrants and options).

Immediately following the acquisitions, ThreeD and the joint actor own and control an aggregate of 7,222,500 common shares, 4.9 million warrants and 500,000 options of Bluesky, representing approximately 19.6 per cent of all issued and outstanding common shares of the company (or approximately 30.0 per cent assuming exercise of the outstanding warrants and options). Of this total, ThreeD held an aggregate of 3,931,000 common shares and 2.7 million warrants of the company representing approximately 10.7 per cent of the issued and outstanding common shares of the company (or approximately 16.8 per cent assuming exercise of the warrants), and the joint actor held an aggregate of 3,291,500 common shares, 2.2 million warrants and 500,000 options of the company representing approximately 9.0 per cent of the issued and outstanding common shares of the company (or approximately 15.2 per cent on a partially diluted basis, assuming exercise of the warrants and options held).

The subject shares were purchased through the facilities of the Canadian Securities Exchange. The holdings of securities of the company by ThreeD are managed for investment purposes, and ThreeD could increase or decrease its investments in the company at any time, or continue to maintain its current position, depending on market conditions or any other relevant factor.

The trade was effected in reliance upon the exemption contained in Section 2.3 of National Instrument 45-106 on the basis that ThreeD is an accredited investor.

Metals Update 22/07/2021

First Cobalt recovers Li, Ni from recycled batteries

First Cobalt Corp. has successfully extracted nickel, cobalt, copper, manganese, lithium and graphite from a black mass product recovered from recycled batteries. Black mass represents the main chemical composition of the battery and is obtained after removal of the mechanical housing of the battery. Work is now under way to leverage the existing operating permits, flow sheet and equipment at First Cobalt’s Canadian hydrometallurgical refinery to become the first facility to recycle battery materials on a large scale for reintroduction into the electric vehicle battery supply chain.

Highlights

  • To date there is no operating facility in North America that can recover each of nickel, cobalt, copper, lithium, graphite and manganese from black mass on a large scale, continuous production basis.
  • The company’s refinery in Canada has existing refining capabilities (size and scale) to produce separate products containing nickel, cobalt, copper and manganese. With flow sheet modifications, recovery of lithium and graphite can also be achieved.
  • Metallurgical test work was conducted by SGS Labs on black mass material provided by upstream battery recyclers in the United States and Europe. Bench-scale testing has demonstrated expected extractions of lithium, nickel, cobalt, copper, manganese and graphite.
  • A global engineering firm has been retained to study the leaching of black mass within the existing refinery to produce nickel, cobalt, copper and manganese products using the existing flow sheet and to produce lithium and graphite products with recommended modifications.
  • Completion of the engineering study is expected in Q4. Upon successful completion of the study, the company intends to process black mass at the refinery facility on a pilot basis.
  • First Cobalt’s near-term strategy is to leverage its existing processing facilities to process black mass and recover payable metals. Longer term, the company intends to produce battery-grade materials for reintroduction into the electric vehicle supply chain.
  • Discussions have been initiated with provincial regulatory authorities to permit the processing of black mass at its facility.

“Demonstrating our ability to recycle lithium-ion batteries is an important step in our journey to be the most sustainable producer of battery materials,” said president and chief executive officer Trent Mell. “There are many producers of black mass in the Western world but few environmentally friendly options to then refine the product into battery-grade material given the capital expenditure required and the permitting timeline associated with building a hydrometallurgical facility such as ours. We intend to capitalize on this first-mover advantage and leverage our position as an ultralow carbon operation.”

First Cobalt continues to study the treatment and recovery of battery metals known as black mass from recycled EV (electric vehicle) and consumer electronics batteries. When lithium-ion batteries reach their end of life, they are dismantled and the part containing the electrodes is crushed or shredded to produce a powdery fraction referred to as black mass. This mechanical process then requires a refining solution to separate and recover each of the metals. In a world increasingly focused on ESG (environmental, social and corporate governance), the superior approach is to use a hydrometallurgical refining process rather than pyrometallurgy, due in part to the lower carbon footprint and potential to recover a significant portion of the battery chemical components. First Cobalt is well positioned to serve this growing market through its Canadian facility.

The First Cobalt refinery is a hydrometallurgical refinery located north of Toronto, in the community of Temiskaming Shores. The facility operated from 1996 to 2015, producing cobalt, nickel, copper and silver products. The company is modifying the flow sheet under a phase 1 expansion to refine third party cobalt hydroxide intermediate product into a high-purity, battery-grade cobalt sulphate suitable for the electric vehicle market. Today, approximately 80 per cent of cobalt sulphate is made in China and there is no production in North America. Under a phase 2 expansion, the refinery is expected to process black mass feed from recycled batteries. Longer term, the company’s vision is to establish a battery park that would include large-scale production of nickel sulphate and the co-location of a battery precursor manufacturer.

In December, 2020, the government of Canada and the government of Ontario announced a joint $10-million investment in the First Cobalt refinery to help accelerate commissioning and expansion.

Idaho land acquisition update

On May 11, 2021, the company announced the acquisition of the West Fork property in Idaho from DG Resource Management. The company wishes to clarify that the total compensation paid was $50,000 in cash and 225,000 (not 250,000 as previously announced) common shares of First Cobalt.

The Q Onboards Nestlé As New Advertiser

MUMBAI, India and TORONTO, July 22, 2021 /PRNewswire/ – QYOU Media Inc. (TSXV: QYOU) (OTCQB: QYOUF) has announced that The Q India, the company’s Hindi language youth oriented channel available in over 100 million TV households and to over 612 million  OTT and mobile users in India, has added Nestlé, the world’s largest Fast Moving Consumer Goods (FMCG) company, to its growing list of blue chip advertisers who have commenced ad campaigns on The Q over the last fifteen weeks. Other new advertisers include top ten pharmaceutical company GlaxoSmithKline and Parle Biscuits, the world’s largest biscuit producer.  In total, The Q has added fifteen new major brands as advertisers on the channel since April 2021 as it climbed to an average Gross Rating Points (GRP) level of 45 GRP during this same time frame, making it the fastest growing TV channel in India.

New brands that have begun to advertise on The Q during this fifteen week span include (alphabetically) Abbot,  Amazon, Bajaj Consumer, Britannia, Cipla, Himalaya Drug Company, Galactus (Mobile Premier League), GlaxoSmithKline, Nestlé, Unilever, P&G, Parle Biscuits, Pepsi, Reckitt Benckiser and Wipro.  With the addition of Nestlé, The Q channel now boasts advertisement agreements with the top four FMCG companies in the world.

Nestlé first entered the India market in 1912 and began doing business as Nestlé  India in 1959.  The Company’s activities in India have facilitated direct and indirect employment and provides livelihood to about one million people including farmers, suppliers of packaging materials, services and other goods. Included in the many company brands now sold in India are Nescafe, Maggi, Milkybar, Kit Kat, Bar-One, Milkmaid and Nestea.

The remarkable addition of fifteen new major ad partners in less than four months continues to be driven by the massive growth of viewership and ratings achieved by The Q which has now recorded an average of over 45 GRP for fifteen consecutive weeks (as measured by BARC…the Nielsen of India).  This has resulted in The Q sharing company with many of the largest mainstream channels in India owned by media giants including Star (Disney), Sony, Viacom and Zee. The company has previously stated the direct relationship between BARC ratings results and increased ad sales.

Curt Marvis, QYOU Media CEO and Co-Founder added, “Adding Nestle, GSK and Parle continues to demonstrate our strong momentum with ad sales and revenue growth. Led by our CEO, Simran Hoon, we’ve bolstered our team with top ad sales talent and are committed to driving towards long term agreements now that we have proven the sustained popularity of the channel.”

The Q India is an advertiser and influencer marketing supported Hindi language content brand, channel and VOD provider delivering hit digital programming from social media stars and leading digital video creators targeting Young Indian audiences.  The channel has recently become one of India’s fastest growing youth entertainment brands averaging over 45 (GRP) on BARC (Broadcast Audience Research Council) for fifteen consecutive weeks beginning in April 2021. With a growing library of over 1100 programs, the channel reaches an audience of over 712 million via over 100 million television homes with partners including DD Free Dish, TATA Sky, DISH TV, SitiNetworks, Den Networks and Hathway; 380 million OTT users via platforms including ShemarooMe, MX Player and Dish Watcho; and 232 million users on mobile and digital platforms including Snap, JioTV, Airtel Xstream, Amazon Fire TV, Chingari and Samsung TV Plus.

Metals Update 21/07/2021

48North mails circular for Aug. 17 special meeting

48North Cannabis Corp. has filed and mailed its management information circular, and related meeting and proxy materials for the special meeting of the shareholders of the company to be held virtually on Tuesday, Aug. 17, 2021, at 10 a.m. (Toronto time). The purpose of the meeting is to consider and, if thought advisable, to pass a special resolution, with or without variation, approving the previously announced transaction pursuant to which Hexo Corp. will acquire all of the issued and outstanding common shares of the company by way of a court-approved plan of arrangement under the Canada Business Corporations Act. The information circular contains a detailed description of the arrangement and other information relating to the company and Hexo.

On July 14, 2021, the company obtained an interim order of the Ontario Superior Court of Justice (Commercial List), which, among other things, authorizes the calling and holding of the meeting, stipulates the dissent rights granted to the company shareholders and specifies certain other matters relating to the conduct of the meeting. The granting of the interim order is a condition precedent to the completion of the arrangement in addition to a final order of the court concluding as to the fairness of the arrangement at a hearing to be held following the meeting in the event the company shareholders approve the arrangement. In accordance with the interim order, the meeting materials have been mailed to the company shareholders, and are also available on the company’s website and under the company’s profile on SEDAR.

The board of directors of the company has determined that the arrangement is in the best interests of the company and fair to the company shareholders, and unanimously recommends that company shareholders vote in favour of the arrangement resolution at the meeting.

Subject to receipt of all regulatory, court, shareholder and stock exchange approvals, the satisfaction of customary conditions precedent in transactions of this nature, and the satisfaction of certain other specified conditions precedent set out in the arrangement agreement dated May 17, 2021, between the company and Hexo, the arrangement is expected to be completed at the end of August, 2021, shortly following the meeting and the granting of the final order.

Voting and participation at the meeting

Attendance

The company remains mindful of the well-being of the company shareholders and other stakeholders of the company amid the continuing concerns regarding the coronavirus (COVID-19) outbreak, and, accordingly, the meeting will be held exclusively as a virtual (by electronic means) shareholder meeting. Company shareholders will not be able to attend the meeting in person. The meeting will be held via live audio webcast available on-line using the Lumi meeting platform on Tuesday, Aug. 17, 2021, at 10 a.m. (Toronto time). A detailed summary of the information company shareholders will need to attend the meeting on-line is provided in the information circular.

Voting

At the meeting, company shareholders will be asked to consider and, if thought advisable, approve, with or without variation, the arrangement resolution. To become effective, the arrangement resolution must be approved at the meeting by the affirmative vote of: (i) at least 66-2/3 per cent of the votes cast by company shareholders virtually present or represented by proxy at the meeting and entitled to vote thereat; and (ii) a simple majority of the votes cast by company shareholders virtually present or represented by proxy at the meeting and entitled to vote thereat, excluding the votes of persons whose votes must be excluded in accordance with Multilateral Instrument 61-101 — Protection of Minority Security Holders in Special Transactions (as described in greater detail in the information circular).

Your vote is important regardless of the number of common shares you own. All company shareholders are encouraged to deposit their proxies before 5 p.m. (Toronto time) on Friday, Aug. 13, 2021.

Benefits to company shareholders

In recommending that company shareholders vote in favour of the arrangement, the company board considered a number of factors, including, among others, the following.

Ownership in a larger, stronger company focused on cannabis production

On June 1, 2021, Hexo completed its previously announced plan of arrangement transaction with Zenabis Global Inc., following which the combined organization is one of the top three Canadian licensed producers, as such term is defined in the Cannabis Act (Canada) in terms of combined Canadian recreational cannabis sales (based on the most recently filed quarterly financial information of the top five licensed producers in Canada). Assuming completion of Hexo’s proposed transaction (as announced by Hexo on May 28, 2021), to acquire RedeCan, presently Canada’s largest privately owned licensed producer, the resulting issuer would hold the No. 1 market share in the Canadian recreational cannabis market and the No. 1 position in four of Canada’s largest markets: Alberta, British Columbia, Quebec and Ontario. Following completion of the arrangement, company shareholders will have an ownership interest in the combined organization, which is expected to have an enhanced capital markets profile, and a robust financial profile with a strong balance sheet and financial position in terms of debt, low depreciable capital base and working capital.

Enhancing shareholder value

In the company board’s view, the company and company shareholders should ultimately benefit from what it believes to be a lower cost of capital at Hexo than at the company, and, following completion of the arrangement, the addition of the company’s innovative product offerings (including topicals, bath and intimacy products) to Hexo’s existing product offerings would be expected to provide a strong base for potential future consumer packaged goods partnerships in the United States, Canada and internationally, further enhancing shareholder value.

Premium to company shareholders

The exchange ratio (being 0.02366 of a common share of Hexo in exchange for each common share) implies a premium per company share of approximately 20 per cent based on the 10-day volume-weighted average price of the common shares on the TSX Venture Exchange and the Hexo shares on the Toronto Stock Exchange as of the close of markets on May 14, 2021, and then takes into account an adjustment for 50 per cent of the $5-million bridge loan advanced by Hexo to the company in June, 2021 (as described in greater detail in the information circular).

Shareholders will participate in the business of the resulting issuer

Following the completion of the arrangement, 48North shareholders will hold shares of the combined organization and will participate in any future increases in value of the shares.

The foregoing summary is not intended to be exhaustive, and is qualified in its entirety by the detailed discussion and description thereof in the information circular.

Shareholder questions and assistance

If you have questions regarding the arrangement or require assistance with voting or delivery of your form of proxy, please contact the company’s proxy solicitation agent, Gryphon Advisors Inc., by telephone at 1-833-461-3643 (toll-free in North America) or 416-902-5565 (collect call outside North America), or by e-mail at inquiries@gryphonadvisors.ca.

Company shareholders are encouraged to carefully read the meeting materials, which are available on the company’s website and under the company’s profile on SEDAR. The meeting materials have also been mailed to the company shareholders.

Metals Update 20/07/2021

Sokoman Minerals talks Newfoundland gold projects

Sokoman Minerals Corp. has provided an exploration update on its 100-per-cent-owned projects as well as joint venture projects with Benton Resources Inc. in Newfoundland.

Highlights

  • Moosehead: close to 20,000 metres completed with two drill rigs; third drill rig expected in two to three weeks for the barge-based program; testing Footwall splay/Eastern trend, South Pond and the new 75 zone.
  • Fleur de Lys: continuing till sampling program; multiple samples submitted for gold grain and heavy mineral analysis with initial results expected in two to three weeks.
  • Grey River joint venture: sampling in the vicinity of the historical 225-gram-per-tonne gold sample site resulted in the identification of visible gold in a portion of the mineralized zone; samples submitted for assays; high-resolution airborne geophysical survey to begin shortly.
  • Golden Hope JV: initial reconnaissance mission completed; rock samples, stream sediment and C-horizon till samples submitted for assays; in the process of completing high-resolution airborne geophysical survey.
  • Kepenkeck JV: completed a high-resolution airborne geophysical survey; a prospecting program has begun; a detailed soil sampling program to commence shortly; first assay results from sampling deemed very encouraging.

Moosehead project

phase 6 drilling program is continuing at Moosehead with two rigs. While there has been a delay in getting a third drill rig on site due to the current shortage of the drill crew experienced by Sokoman’s preferred drilling contractor which knows the property area well, Sokoman has recently been advised that the third rig is expected to join the program in two to three weeks. The third rig will now be designated for the barge-based program which is awaiting final approval from the Department of Environment. The company is looking at adding a fourth drill rig as soon as possible and will keep investors posted on the progress made in that regard.

Once the third rig is on site, Sokoman plans to be alternating the initial two drills in order to test regional targets that could easily lead to other discoveries in addition to extending currently known zones.

Just under 20,000 m of the proposed 50,000 m phase 6 program has been completed and multiple strong intersections have been reported from this phase including the holes summarized as follows:

MH-21-115 (Footwall splay-Eastern trend) — 4.60 m at 47.20 g/t Au; and 8.10 m at 68.25 g/t Au;

MH-21-163 (Footwall splay-Eastern trend) — 18.90 m at 13.09 g/t Au;

MH-21-141 (South Pond zone 1) — 4.20 m at 64 g/t Au;

MH-21-123 (South Pond zone 1) — five m at 26.87 g/t Au.

Note: reported lengths are core lengths and are believed to be 70 per cent to 85 per cent of true thickness

The barge program could entail as much as 5,000 to 10,000 m, depending on success and depths, to target the Footwall splay and as much of the Eastern trend that can be accessed.

Drilling will continue at the South Pond target as well as on the nearby 75 zone, which is an open-ended mineralized block lying 100 m northeast of the South Pond target, approximately halfway to the Eastern trend, and which delivered MH-19-75 (5.80 m of 6.93 g/t Au, including a visible-gold-bearing vein grading 32.99 g/t Au over 0.80 m) and remains open. The 75 zone drilling will help determine whether it is linked to any known zone or is a new splay. Currently a four-to-six-hole program is focused on this area. Once completed, the drill will be assigned to test some of the high-priority geochemical and geophysical targets elsewhere on the property while awaiting assays.

Fleur de Lys project

The property-scale till sampling program is approximately 40 per cent complete with 357 samples submitted for gold grain and heavy mineral analysis at Overburden Drilling Management (ODM) in Ottawa. The sample collection is being supervised by ODM utilizing contract crews. Results from the early sampling are expected in the next two to three weeks. Prospecting has been continuing concurrent with the till sampling, and approximately 40 rock samples have been submitted for assay, many with disseminated pyrite and chalcopyrite, minerals linked to several gold-enriched deposits in the United Kingdom, including the six-million-ounce Curraghinalt deposit in Northern Ireland, with which the Fleur de Lys project shares many characteristics.

Grey River Sokoman/Benton JV project

Airborne geophysical surveying totalling 1,099 line kilometres is about to begin at the 324 claim (8,100 hectares — 81 square kilometres) Grey River JV in southern Newfoundland and will consist of a heliborne high-resolution magnetic and matrix digital VLF-EM (very-low-frequency electromagnetic) survey flown by Terraquest Ltd. The results of the survey will help define structural targets that may be associated with the gold mineralization at Grey River. The property is targeting high-grade gold mineralization similar to that currently being mined at Pogo, Alaska, with published reserves of 6.9 million ounces at 9.4 g/t Au, as well as other styles of gold mineralization including shear zone and intrusion-related gold.

Management of Sokoman and Benton has visited the Grey River and the Golden Hope properties to establish priorities and to engage in sampling as many areas of known mineralization. The visit to Grey River was extremely successful in that sampling in the vicinity of the historical 225 g/t Au sample site resulted in the identification of visible gold in a portion of the mineralized zone. In addition, prospecting in the immediate area identified several other mineralized horizons that did not appear to be previously sampled. Assays are pending from a suite of samples collected from several locations on the property. The historical Quartz zone reported by previous workers is impressive and extends for several kilometres in an east-west direction (photos can be viewed on Sokoman’s website under the Grey River project tab) and is up to 200 to 300 metres in width locally. Multiple gold showings are known along most of its length ranging from 100 to 200 parts per billion Au to 225 g/t Au, but no drilling has been carried out at any of the known gold occurrences. The companies have applied for drilling permits which will target these zones.

Golden Hope Sokoman/Benton JV project

Exploration has also commenced on the 3,176-claim (79,400 hectares — 794 square kilometres) Golden Hope property in southwestern Newfoundland, including a 5,709-line-kilometre heliborne high-resolution aeromagnetic and matrix digital VLF-EM survey being flown by Terraquest. The survey will help provide an overall structural picture of the property and identify extensions of known gold-bearing structures as well as any previously unrecognized structures on the property. An initial reconnaissance mission at Golden Hope was completed earlier this month by management of Sokoman and Benton in order to get a firsthand look at the ground and to obtain samples in as many areas as possible (photos can be viewed on Sokoman’s website under the Golden Hope project tab). Mineralization observed included multiple occurrences of structurally controlled quartz veins with variable amounts of pyrite, as well as a previously unknown zone of locally significant arsenopyrite and pyrite (as stringers and veinlets comprising up to 10 per cent of rock volume), that was noted to be several dozen metres in thickness and of unknown strike length. Over all, approximately 50 rock samples as well as seven stream sediment and four C-horizon till samples, were collected and submitted for assaying/processing.

Kepenkeck Sokoman/Benton Resources JV project

The company has been informed by joint venture partner Benton that a heliborne high-resolution aeromagnetic and matrix digital VLF-EM survey totalling 1,984 line kilometres has been flown by Terraquest. A prospecting program has begun and a detailed soil sampling program will commence shortly. The Kepenkeck property lies in east-central Newfoundland, along trend from Canstar Resources’ Golden Baie project and immediately east of New Found Gold’s Queensway project. The target is high grade and quartz veining, hosted in graphitic shales similar to that of the New Found Gold property.

The companies have received the first assay results from 24 samples submitted. Gold grading from greater than five ppb to 5,340 ppb has been obtained from localized float and outcrops. The companies are very encouraged by these early results and follow-up has been planned to further these discoveries.

Providence Gold samples 10 g/t Au at Bonita

Providence Gold Mines Inc. has found a rock sample across the creek from the Bonita mine, which returned 10 grams per tonne gold. Further work is now underway to locate the source.

A carbonate- sericite alteration bloom and vein quartz has been discovered on the north side of Duckwall Creek and is the potential twin of the Bonita Gold ore shoot. A high-grade selected sample returned > 45gm/tonne Au from a small rock pile well above the flood plane on this north side. The northern projected strike extension of the Bonita Lode is located in a recessive topographic feature which forms the steep northern side of this drainage extending to the ridge top.

The rock samples were transported and tested by Bureau Veritas Minerals of Vancouver, B.C. using 30 g lead collection fire assay fusion for total sample digestion with AA finish. As the sample returned Au >10 ppm (10gm Au) it is being further analyzed by gravimetric method.

In addition, the current field program has made another new discovery of vein outcrop. During a traverse down slope from the McCarthy mine the Lode zone steeply dipping NE and is approximately one metre in true width. The zone appears to be along strike between the McCarthy and the Fairplay mines. A channel sample will be shipped for assay to Bureau Veritas this week.

Metals Update 19/07/2021

Powerband adds 64 dealerships to Drivrz Financial

Powerband Solutions Inc. has signed a national dealership group comprising 64 dealerships onto Drivrz Financial. This dealership group represents a 14-per-cent increase to 532 active dealerships.

The group is well established in seven western states — Utah, Arizona, Colorado, California, Idaho, New Mexico and Washington — and represents more than 20 different automotive brands.

Drivrz Financial chief executive officer Jon Lamb commented: “This is a clear signal of confidence in Drivrz Financial by one of the United States’ most respected automotive dealership groups. We are delighted they see Drivrz Financial as a burgeoning platform for their dealerships and customers. We continue to target onboarding 1,000 dealers by H1 2022 and aspire to achieve two to three originations per dealership per month as we scale the business.”

Drivrz Financial is focused on consummating commercial agreements with several other large dealer groups and is also advancing discussions with OEMs (original equipment manufacturers) for captive formations to drive originations.

“There are proven leaders in the automotive retail sector and this dealership group has been one of them from the very start,” said Powerband chief executive officer Kelly Jennings. “This represents a major opportunity for Drivrz to further expand its outreach to the western United States.”

EnWave signs licensing deal with Colombia dairy company

EnWave Corp. has signed a commercial license agreement with a leading Colombian dairy company for the production of shelf-stable dairy snacks in Colombia. The Colombian dairy company has also purchased a 10-kilowatt Radiant Energy Vacuum (REV) machine to initiate commercial production of all-natural cheese snacks.

The licence grants the Colombian dairy company the exclusive right to produce crunchy, shelf-stable cheese snacks in Colombia pursuant to meeting certain minimum royalty and machine purchase order requirements. These new products will complement the Colombian dairy company’s broad, existing portfolio of established dairy brands that are currently being sold throughout South America. The Colombian dairy company intends to develop and commercialize nutritious, REV-dried dairy snacks for the Colombian grocery market and has longer-term ambitions to expand distribution into Ecuador and Venezuela, among other South American markets.

The use of REV to create shelf-stable, value-added dairy products has been proven in over a dozen markets globally. This licence marks the inaugural launch of REV dried cheese snacks into the Colombian market and is EnWave’s second royalty-bearing licence agreement granted to produce dried cheese snacks in South America.

EnWave’s scalable and reliable REV technology can be used to produce shelf-stable fruit and vegetable products that are among the best in nutritional value, taste, texture and colour. EnWave has signed 45 royalty-bearing commercial licence agreements with companies that are bringing innovative new products to market using EnWave’s patented dehydration technology.

Metals Update 16/07/2021

Radius JV drills 14m of 3.9g/t Au, 1,097g/t Ag at Holly

Radius Gold Inc. has released further high-grade results from the drill program being conducted by joint venture partner, Volcanic Gold Mines Inc., at the Holly project in Guatemala.

Hole HDD-21-004 at La Pena vein intersected 14.8 metres at 3.96 grams per tonne gold and 1,097 g/t silver. This is the deepest intercept on the La Pena vein system to date with silver grades increasing with each step down.

Additionally, below the La Pena vein drill hole 4 cut a zone of disseminated silver mineralization grading 378 g/t Ag over 9.15 m within the footwall of the vein (not included in the reported intercepts). This silver mineralization was finely disseminated in altered volcanic rocks without significant veining. The overall silver interval with La Pena vein and footwall disseminated silver mineralization returned 34.6 m at 574 g/t Ag. The hole stopped a few metres after the disseminated silver interval, with the final metres not assayed.

This new style of silver-only disseminated mineralization was not previously recognized on the property. Holly has a multiphase mineralizing system with silver/gold ratios from 1:1 to 1,000:1, indicating multiple mineralizing pulses. As well, new veins are being intersected in the drilling unmapped at surface, with some exhibiting visible gold and ginguro-banded sulphides in the core.

Assays received from holes HDD-21-005/006/007/008, which targeted the El Pino vein system, cut weaker mineralization. However, the El Pino vein zone is exposed over 100 m higher than La Pena, so it may warrant more work.

The next assays due to be received and reported are from holes HDD-21-009 through HDD-21-012, which tested the Alpha vein zone over a 450 m strike system. Drilling appears to have intersected a robust vein and breccia with good visible banded sulphides. Currently the drill rig is back on the La Pena vein stepping out on strike and downdip.

Mission Ready gets OK for updated blue-sky exemptions

Mergent’s editorial board has received and approved Mission Ready Solutions Inc.’s submission to supplement its current blue-sky exemptions through an updated listing in Mergent manuals and news reports. Mission Ready’s profile will include descriptive text, data, news and financial statements accessible through Mergent’s on-line and print platforms and will enable Mission Ready to increase its current blue-sky status in the United States, adding key jurisdictions such as Florida to its list of blue-sky compliance.

“By enhancing its blue-sky status, Mission Ready continues to increase its accessibility to U.S. retail and institutional investors. With its recent uplisting to OTCQX and the announcement of our DTC [Depository Trust Company] eligibility, the company’s listing in Mergent’s manuals represents another achievement and continued efforts in building value for its shareholders,” said Terry Nixon, chief compliance officer of Mission Ready.

Sokoman Minerals agreement for G2B property

The TSX Venture Exchange has accepted for filing an option agreement dated June 15, 2021, between Sokoman Minerals Corp. and G2B Gold Inc. (the vendor), whereby the company may acquire a 100-per-cent interest in the G2B property, located in the Grey River area of Newfoundland. Consideration is $30,000 and 150,000 common shares, payable over two years. The vendor retains a 1.5-per-cent net smelter return (NSR) royalty, with the company retaining the right to repurchase 1 per cent for $1-million.

Metals Update 15/07/2021

Organigram touts Cannabis Innovators Panel

Organigram Holdings Inc. has launched the Cannabis Innovators Panel, a cannabis consumer panel offering real-time insights into consumer preferences, usage occasions and future development opportunities. This on-line panel will engage with 2,500 participants across Canada on a continuing basis.

“We have always believed that our greatest innovations reflect the unmet needs and preferences of our consumers, and engaging in an ongoing dialogue with them strengthens our ability to deliver on consumer-centric products,” says Megan McCrae, senior vice-president of marketing and communications. “The consumer insights resulting from giving Canadian cannabis consumers a voice will only strengthen our strategic approach to developing new and innovative industry-leading products and quality cannabis experiences.”

The panel will contribute feedback on both existing product categories as well as guide areas of future research and development, including flower, vapes, concentrates, edibles, flower and prerolls.

QYOU launches Q India on two cable systems in India

QYOU Media Inc.’s The Q India is now available via two of India’s largest cable systems in key Hindi-speaking markets. The Q India can be found on channel 118 on Den Networks and on channel 20 on Hathway Cable & Datacom Ltd. digital cable systems. Targeted markets on each system for the new distribution include Mumbai, Maharashtra, Madya Pradesh and Gujarat.

Den Networks reaches greater than 13 million households in India, with presence in greater than 200 cities across 13 states in India, and has the largest subscriber base among all cable players in India. Headquartered in Mumbai, Hathway is one India’s leading cable broadband service providers. Hathway connects to 7.2 million digital cable subscribers, offering service across greater than 350 major cities and towns. Both companies are majority owned by Reliance Industries.

The Q became a Broadcast Audience Research Council-rated channel in April, 2020, and surpassed for the first time four gross rating points (GRP) approximately 10 months later in week 5 (February) of 2021. At that time, the company’s strategic goal was to obtain an audience reach that would meet or exceed leading youth-focused channels in India, including Bindass (Disney), MTV (Viacom) and Zoom (Times of India), all of which receive a weekly average GRP rating of approximately eight or less. Since March, 2021, The Q has rocketed forward as India’s fastest-growing channel, while recording an average BARC rating of 45 GRP from week 14 through week 27. This has resulted in The Q sharing company with many of the largest mainstream channels in India owned by media giants, including Star (Disney), Sony, Viacom and Zee. The company has previously stated the direct relationship between BARC ratings results and increased advertisement sales.

Curt Marvis, chief executive officer and co-founder of QYOU Media, commented: “The team continues to execute with programming, as evidenced by our exceptional ratings over the last three months. We have achieved these results without yet having a full complement of distribution partners that puts us on equal footing in terms of homes reached with many of the larger Hindi general entertainment channels we are now grouped with. Both Den and Hathway are key partnerships to help us towards this goal, and we have begun these relationships by targeting key markets that address our growing and loyal audience. We look forward to a mutually beneficial partnership as we bring the unique and fresh approach of The Q to their customers.”

The Q India is an advertiser and influencer marketing-supported Hindi-language content brand, channel and VOD (video on demand) provider delivering hit digital programming from social media stars and leading digital video creators targeting young Indian audiences. The channel has become one of India’s fastest-growing youth entertainment brands, reaching a peak of 52.96 gross rating points on the BARC in May, 2021. With a growing library of greater than 1,100 programs, the channel reaches an audience of over 712 million via over: 100 million television homes, with partners including DD Free Dish, Tata Sky, Dish TV, SitiNetworks, Den Networks and Hathway; 380 million OTT (over-the-top) users via platforms including ShemarooMe, MX Player and Dish Watcho; and 232 million users on mobile and digital platforms, including Snap, JioTV, Airtel Xstream, Amazon Fire TV, Chingari and Samsung TV Plus.

Belmont Resources hires Poulin for IR services

Belmont Resources Inc. has entered into an investor relations consulting agreement with Michael Poulin.

George Sookochoff, president & chief executive officer, commented: “I have personally worked with Michael in previous companies and I am very pleased to have the good fortune of retaining his services and work with him once again at Belmont. The appointment of Michael is a key component in Belmont’s strategy to raise our profile with current and potential investors as Belmont aggressively moves forward with exploration on our CBC copper-porphyry and Athelstan Jackpot gold projects in southern British Columbia and our Kibby basin lithium project in Nevada.”

Under the terms of the engagement, the company will pay Mr. Poulin a fee of $3,500 per month for an initial three-month term. The agreement may also be terminated at any time without charge by either party by giving 30 days’ notice. Mr. Poulin advises that he does not presently have any interest, direct or indirect, in Belmont Resources or its securities. The IR Agreement is subject to the approval of the TSX Venture Exchange.

Metals Update 14/07/2021

Copper Fox begins 2021 program on Eaglehead

Copper Fox Metals Inc., through its wholly owned subsidiary, Northern Fox Copper Inc., has commenced its 2021 program on the Eaglehead polymetallic porphyry copper project located in northwestern British Columbia.

Eaglehead (15,956 hectares) is an intrusion-hosted calc-alkalic polymetallic (Cu-Mo-Au-Ag (copper-molybdenum-gold-silver)) porphyry copper system hosted in a late Triassic-early Jurassic multiphase, granodioritic/dioritic intrusive stock located approximately 50 kilometres east of Dease Lake in Tahltan territory. Historical exploration includes 126 diamond drill holes (36,605 metres), preliminary metallurgical testwork, airborne and ground geophysical surveys, soil and stream sediment geochemical surveys and limited prospecting and mapping. The historical drilling concentrated on four mineralized zones: East-Bornite-Pass-Camp (see news release dated June 10, 2021).

Highlights are:

  • The 2021 budget is $700,000 and consists of an 18-kilometre induced polarization (IP) survey, and mapping, sampling and prospecting program.
  • The focus of the 2021 IP survey is to extend the chargeability/resistivity signatures to the north of the mineralized zones into the area of coincident copper mineralization and copper-molybdenum in soil geochemical anomaly.
  • Relogging and, if required, resampling of the diamond drill holes from the Far East zone.

Elmer B. Stewart, president and chief executive officer of Copper Fox, stated: “The historical drilling was essentially restricted to the four mineralized zones. These zones cover a small portion of the Eaglehead intrusion which, based on trace element chemistry, is shown to be prospective for large porphyry copper deposits. Systematic mapping and prospecting of the Eaglehead intrusion was never completed. Our compilation indicates the area north of the mineralized zones is very prospective for porphyry-style mineralization. The focus of the 2021 program is to evaluate the prospectivity of this area for porphyry-style mineralization and expand the geophysical coverage in advance of a potential 2022 diamond drill program.”

Geological model

The Eaglehead project is a multiphase intrusive with porphyry-style mineralization occurring in the various intrusive phases and in mafic volcanics of the Kutcho formation wall rocks. The mineralization in the four zones identified to date is open in several directions and at depth and the sulphide mineral zonation and surface exploration data suggest the potential for porphyry-style mineralization to the north toward the centre of the Eaglehead intrusive. Structural adjustments to the mineralized zones occurred postmineralization.

2021 program

Induced polarization survey

The 2021 IP survey and mapping program covers the large, irregular Cu-Mo in soil geochemical anomaly (6,400 m long by up to 2,000 m wide) and the area of sporadic copper mineralization (3,000 m by 2,000 m) located north of the Bornite-Pass-Camp-West zones. The chargeability/resistivity signature from the 2014 IP survey indicates the anomalous (over 10 mrds) portion of these signatures remains open to the north. The 2021 IP survey extends the 2014 IP survey lines approximately 2.5 km to the north and will map the chargeability/resistivity signatures between the mineralized zones and below the area of copper mineralization and copper-molybdenum in soil anomaly. On completion of the 2021 program the data from the IP surveys will be merged resulting in an updated interpretation of chargeability/resistivity signatures over approximately 22 square km of the Eaglehead intrusive.

Mapping and sampling

Mapping and sampling of the area covered by the 2021 IP survey will be completed to provide lithological and mineralogical data to aid in the interpretation of the IP survey. In addition to aiding in the interpretation of the IP survey data, this work would provide better definition to the Eaglehead intrusive, the bedrock source and evaluate the area for porphyry copper-style mineralization.

Far East zone

The 2021 program includes relogging and if warranted sampling of the six wide-spaced diamond drill holes completed in this zone. The purpose of the work is to obtain a more detailed description of the lithologies, alteration and style and distribution of mineralization. The zone is estimated to be approximately 1,500 m long and based on current drill log descriptions is characterized by disseminated pyrite with minor chalcopyrite, bornite and occasional molybdenite. These drill holes were selectively sampled over narrow intervals leaving long intervals of unsampled drill core. Available analytical results from the diamond drilling completed on the Far East zone are reported in the attached table.

Hole No.      From (m)      To (m)    Int. (m)      Cu (%)      Mo (%)      Au (%)      Ag (%)

65              68.88       73.76        4.88       0.113          tr        0.04          tr
                96.31       99.36        3.05       0.394          tr       0.034          tr
               111.25      115.97        4.72       0.181          tr          tr        1.00
               143.40      145.08        1.68       0.376       0.004       0.080          tr
               147.83      148.74        0.91       0.475          tr       0.020        2.00
               154.53      154.83        0.30       1.035          tr       0.033        2.00
66              10.05       10.36        0.31       3.793       0.012       0.342       82.00
                29.41       29.44        0.03       6.146       0.014       0.233       79.00
                61.78       62.42        0.64       1.102          tr       0.223        6.00
                70.25       71.32        1.07       3.524       0.029       0.591       45.00
                83.14       86.86        3.72       1.761       0.010       0.067       39.24
                91.44      103.22       11.78       0.207       0.001       0.067        3.51
               112.16      112.77        0.61       0.526       0.004       0.165          tr
               129.23      144.53       15.30       0.413       0.021       0.246        8.69
               159.10      160.32        1.22       4.249       0.005       0.264       36.00
               213.20      219.15        5.95       0.208          tr          tr          tr
67              53.94       72.23       18.29       0.106       0.004       0.013           1
               130.14      133.19        3.05       0.120          tr          tr          tr
68              43.89       50.59        6.70       0.348          tr          tr        5.00
               103.32      103.35        0.03        2.13          tr          tr       11.00
               196.29      199.79        3.50       0.294          tr          tr        1.74
               215.18      221.28        6.10       0.215          tr          tr        3.50
78             116.74      124.05        7.31       0.233          tr       0.731        5.34
               140.51      151.49       10.98       0.131       0.003       0.224        3.00

Notes: The weighted average for the mineralized intervals were calculated using a 0.10-per-cent 
       copper cut-off. Where possible, historical analytical results were used to calculate 
       the weighed average grades provided that no overlap in interval or grade occurred. The 
       core intervals in the table do not represent true thickness. Numbers are rounded for 
       presentation purposes. Molybdenum values below 0.003 per cent, gold values below 0.02 
       g/t and silver values below 0.5 g/t are reported as trace (tr).

Quality assurance/quality control procedures

The historical information included in this news release is taken from assessment reports filed with the British Columbia Ministry of Mines, internal studies completed by former operators and National Instrument 43-101 technical reports filed in 2017 and 2019. The QP for this news release acted as a technical consultant and was instrumental in the planning, execution and supervision of the exploration programs completed on this project between 2014 and 2018, the last year in which exploration activities were completed. This compilation and interpretation were formed by including, but not necessarily exclusive to, drilling, assaying, mapping and soil geochemical surveys. These results have not been verified by Copper Fox and should not be considered reliable until verified by Copper Fox. The information provides an indication of the exploration potential of the property but may not be representative of the mineralization on the property.

Qualified person

Elmer B. Stewart, MSc, PGeol, president and chief executive officer of Copper Fox, is the company’s non-independent, nominated qualified person pursuant to National Instrument 43-101, Standards for Disclosure for Mineral Projects, has reviewed the scientific and technical information disclosed in this news release.

About Copper Fox Metals Inc.

Copper Fox is a Tier 1 Canadian resource company listed on the TSX Venture Exchange focused on copper exploration and development in Canada and the United States. The principal assets of Copper Fox and its wholly owned Canadian and United States subsidiaries, being Northern Fox Copper and Desert Fox Copper, are the 25-per-cent interest in the Schaft Creek joint venture with Teck Resources Ltd. on the Schaft Creek copper-gold-molybdenum-silver project located in northwestern British Columbia and 100-per-cent ownership of the Van Dyke oxide copper project located in Miami, Ariz. For more information on Copper Fox’s other mineral properties and investments visit the company’s website.

Canada Nickel drills 302 m of Ni at Nesbitt

Canada Nickel Company Inc. has provided additional results from its drilling program currently under way at the Nesbitt nickel property, part of the company’s larger exploration program testing regional targets around its wholly owned Crawford nickel sulphide project. The two initial discovery holes were previously described in a press release dated June 29, 2021.

Highlights

  • Third hole at Nesbitt nickel property drilled 1.8 kilometres east of initial discovery holes intersected 302 metres of nickel mineralization with intervals of visible disseminated sulphides;
  • Consistent results with the first two Nesbitt drill holes and higher-grade zone at Crawford.

Mark Selby, chair and chief executive officer, said: “This third hole was drilled 1.8 kilometres east of the first two holes at Nesbitt and demonstrates the scale potential of this new discovery on a 3.7-kilometre-long target. Located just eight kilometres north of Crawford it is a potential source of higher-grade source of feed for the Crawford mill. The results further underscore the success of our geophysical approach and the district-scale potential of our overall land package. I look forward to continued success at Nesbitt and to our upcoming follow-up on the significant 0.38 per cent nickel interval at the recently acquired Bradburn/Dargavel target.”

Nesbitt nickel project

The Nesbitt nickel project is centred on an ultramafic sill that strikes east to west for a distance of 3.7 kilometres and a width that is estimated to vary between 100 to 300 metres (for reference, the Crawford Main zone resource is 1.7 kilometres long and 225 to 425 metres wide). Consistent with the first two holes, the third hole was collared near the eastern limit of the central Nesbitt trend to explore a coincident (high) magnetic and (low) gravity anomaly identified during Canada Nickel’s geophysical exploration work conducted during the first half of 2021.

Nesbitt NES21-03 was collared on the south side of the intrusion and drilled to the north. The hole was pulled back into the volcanics to test for possible PGM (platinum group metals) mineralization at the pyroxenite- peridotite contact, which this hole did not intersect. It exited the volcanics and intersected nickel-bearing peridotite and dunite with visible sulphides for a core length of 314 metres from 126 metres to 440 metres (including a 12-metre felsic dike), where the hole returned to volcanics. The hole was stopped at 474 metres. NES21-02 was continued from 360 metres (as previously reported) to a final depth of 501 metres, where it intersected a total of 304 metres of nickel-bearing peridotite and dunite from 113 to 417 metres. The area between NES21-03 and NES21-02 (located 1.8 kilometres to the west) remains untested, along with an area 1.1 kilometres west of the initial hole NES21-01.

Analytical results from the regional exploration drill holes will be released after completion of internal quality assurance/quality control procedures.

Qualified person and data verification

Stephen J. Balch, PGeo (Ontario), vice-president of exploration of Canada Nickel and a qualified person as such term is defined by National Instrument 43-101, has verified the data disclosed in this news release, and has otherwise reviewed and approved the technical information in this news release on behalf of Canada Nickel Company Inc.

About Canada Nickel Company Inc.

Canada Nickel is advancing the next generation of nickel-cobalt sulphide projects to deliver nickel and cobalt required to feed the high growth electric vehicle and stainless steel markets. Canada Nickel Company has applied in multiple jurisdictions to trademark the terms NetZero Nickel, NetZero Cobalt, NetZero Iron and is pursuing the development of processes to allow the production of net-zero carbon nickel, cobalt and iron products. Canada Nickel provides investors with leverage to nickel and cobalt in low political risk jurisdictions. Canada Nickel is currently anchored by its 100-per-cent-owned flagship Crawford nickel-cobalt sulphide project in the heart of the prolific Timmins-Cochrane mining camp.