Orecap Invest has acquired a 45% stake in Canadian Critical Minerals’ (CCMI) subsidiary Cuprum, formerly called Pickle Lake Minerals.
Cuprum owns a 100% stake in the past-producing Thierry copper mine in Pickle Lake, Ontario, Canada.
Under the deal, which was announced last month, Orecap has acquired a 45% stake in Cuprum in an upfront cash consideration of $1.35m (C$1.87m).
Furthermore, CCMI will receive three million Cuprum share purchase warrants and a $500,000 milestone bonus payment for the completion of a new NI 43-101 resource on near-surface resources in excess of 100 million tonnes.
CCMI will also receive an additional $250,000 milestone bonus payment upon completion of a new NI 43-101 resource on near-surface resources in excess of 150 million tonnes.
Concurrently, QC Copper and Gold (QC Copper) has acquired a 10% stake in Cuprum in an upfront all-cash deal worth $300,000. Orecap owns a 3% stake in QC Copper.
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Furthermore, CCMI has divested a 6% stake in Cuprum to Ocean Partners UK for an undisclosed sum.
CCMI said the proceeds from the sale of a 61% stake in Cuprum will be used to close the loan secured for the Bull River Mine in British Columbia, among others.
In a press statement, CCMI said: “The sale is non-dilutive to CCMI shareholders and will allow the company to focus on advancing its flagship Bull River Mine project through the permitting phase and on to production.”
CCMI will continue to own a 39% interest in the Thierry copper and nickel mine located approximately 15km west of Pickle Lake, Ontario.
