SILVERTON METALS ENTERS LETTER OF INTENT TO ACQUIRE LITHIUM PROPERTIES
The Peny property is located approximately 25 kilometers northeast of the town of Snow Lake, Manitoba. The Peny property is prospective for pegmatite-style lithium volcanic massive sulphide (“VMS”) mineralization that is known to occur in the area.
The property includes rocks belonging to the Churchill Province and includes metamorphic and metasedimentary rocks; mainly felsic and arkosic gneisses, including gneisses and migmatites derived from arkose, arenite and quartzite belonging to the Sickle Group, the Missi Group and the Sickle Metamorphic Suite. The property is located adjacent to the Osborne Lake VMS mine, formerly formally operated by the Hudson Bay Mining and Smelting Co, where historical workers report that the wall rock is intruded by coarse-grained sheared pegmatite. Although limited historical work on the property indicates that the mineralization may include copper and zinc, the Company intends to refocus the asset on lithium exploration, which has proven successful at nearby sites.
“Although we have significant silver assets in Mexicowe believe that diversifying our project pipeline into lithium-focused assets in Canada will add significant long-term shareholder value,” said Lowell Kamingeneral manager and director of Silverton. “We believe the demand for battery technology will test the limits of metal supply and drive long-term structural change in the lithium market – an opportunity we want to seize and incorporate into our business strategy.”
Terms of trade
Pursuant to the letter of intent, the Company has agreed to acquire all of the issued and outstanding shares of WOL and, in consideration of which, the Company will issue to shareholders of WOL an aggregate of 13,000,000 common shares (the “Consideration Shares”) at a deemed price of $0.095 per share for a total consideration of $1,235,000. The Company and WOL have each agreed to enter into a definitive agreement no later than July 31, 2022.
The closing of the acquisition is subject to the due diligence of the parties, the conclusion of a definitive agreement and the acceptance of the TSX Venture Exchange.
The scientific and technical information contained in this press release has been reviewed and approved by Luc van der MeerP. Geo., a qualified person for the purposes of NI 43-101.
About Silverton Metals Corp.
Silverton Metals Corp. is a Canadian company focused on the exploration and development of quality silver projects. The Company owns a 100% interest in three significant silver assets in Mexico – Pluto, in Durango, Peñasco Quemado in Sound and La Frazada in Nayarit. Silverton’s management and Board of Directors have experience in identifying and evaluating acquisition targets and exploration prospects. The Company intends to build a strong portfolio of silver and gold-silver projects to drive future growth through successful exploration and from later-stage projects with production potential. To achieve this growth, the Silverton its business plan foresees a dynamic combination of development of its existing properties, acquisitions and partnerships.
Silverton Metals Corp.
Lowell KaminChairman and Chief Executive Officer and Director
The information in this press release contains forward-looking statements based on assumptions as of the date of this press release. These statements reflect management’s current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. Silverton cautions that all forward-looking statements are inherently uncertain and that actual performance may be affected by a number of important factors, many of which are beyond Silverton’s control. These factors include, among others: the risks and uncertainties associated with Silverton’s limited operating history and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied by the forward-looking information. Except as required by applicable securities laws, Silverton assumes no obligation to publicly update or revise any forward-looking information.
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SOURCE Silverton Metals Corp.