Friday, July, 19, 2024 07:59:17

TopTung Ltd., has reportedly agreed on a conditional agreement to acquire a 100% stake in Canadian Nickel Corporation which includes three advanced nickel-copper sulfide projects within the same Quebec district as TopTung’s Alotta project. As per trusted sources, the acquisition is set to fasten TopTung’s focus on becoming a mining and low-milling operation by acquiring near surface high-grade deposits.

It has been reported that, CNC entered a conditional agreement to buy the three projects along with Meteoric Resources NL’s Midrim and LaForce projects, and Globex Mining Enterprise’s Lac Kelly project.

According to sources familiar with the development, TopTung is set to complete the acquisition by supplying 15.75 million ordinary shares to CNC shareholders. TopTung will supply additional shares worth 31.25 million to Meteoric under a conditional claim agreement between CNC, TopTung, and Meteoric for Midrim and LaForce.

Sources further stated that Lac Kelly can be acquired from Globex Mining through staged cash payments and share issues to Globex and a C$2 million commitment by TopTung for exploration and development. Globex will also receive a 2% gross metal royalty from CNC for all the proceeds received from the sale of metal from Lac Kelly.

An additional 2.35 million TopTung shares will be delivered to GTT Ventures for corporate services pertaining to the transaction.

The acquisition is projected to double TopTung’s landholding in Belleterre-Angliers greenstone belt in Quebec. The project area has encountered numerous drill-proven occurrences of nickel-copper sulfide mineralization consisting of associate platinum group elements and cobalt credits.

For the record, Midrim is located 1.5 kilometers east from where TopTung finished a 9-hole diamond drilling program for its Alotta project and follows the acquisition of Zeus project at close proximity. Sources cite that CNC has ordered a third-party scoping study to examine the viability and profitability of a mining, toll mining and trucking operation in Midrim.

It has been reported that the company will also be changing its name to Chase Mining Corporation Limited to better represent its new strategic direction.