COQUITLAM, BC, Dec. 4, 2019 /CNW/ - Canada Cobalt Works Inc.
(TSXV: CCW) (OTC: CCWOF) (Frankfurt: 4T9B) (the "Company" or "Canada
Cobalt") is pleased to provide the following update with regard to
its proposed acquisition of 100% of the issued and outstanding
shares of PolyMet Resources Inc. ("PolyMet").
Canada Cobalt and PolyMet have executed an amendment dated
December 3, 2019, to their original
binding Letter of Intent (the "Transaction", refer to October 10, 2019 news release) which provided for
an issuance of shares by Canada Cobalt at a price of $0.34 as payment for PolyMet shares. As a
result of the amendment, Canada Cobalt will issue an aggregate
of 704,444 units to the shareholders of PolyMet at a deemed price
of $0.45 per unit for total
consideration of $317,000. Each
unit comprises one common share and one common share purchase
warrant. Each warrant will entitle the holder thereof to
purchase one additional common share of Canada Cobalt at an
exercise price of $0.50 for a period
of two years from closing of the Transaction. The cash
portion of the Transaction has been amended from $333,000 to $343,623.30 for a total value (cash and shares)
of $660,623.30.
The Transaction is subject to approval by the TSX Venture
Exchange and standard closing conditions. All securities
issued in connection with the Transaction are subject to a four
month-and-a-day hold period as per applicable securities laws.
Canada Cobalt and PolyMet are working expeditiously to
officially close the deal shortly.
About Canada Cobalt Works Inc.
Canada Cobalt has 100% ownership of the Castle mine and the 78
sq. km Castle Property with strong exploration upside in the
prolific past producing Gowganda
high-grade Silver Camp of Northern
Ontario. With underground access at Castle, a pilot plant to
produce cobalt-rich gravity concentrates on site, and a proprietary
hydrometallurgical process known as Re-2OX for the creation of
technical grade cobalt sulphate as well as nickel-manganese-cobalt
(NMC) formulations, Canada Cobalt is strategically positioned to
become a vertically integrated North American leader in cobalt
extraction and recovery while it also exploits a powerful new
silver-gold market cycle.
"Frank J. Basa"
Frank J. Basa, P. Eng.
President and Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. This news release may contain
forward-looking statements including but not limited to comments
regarding the timing and content of upcoming work programs,
geological interpretations, receipt of property titles, potential
mineral recovery processes, etc. Forward-looking statements address
future events and conditions and therefore, involve inherent risks
and uncertainties. Actual results may differ materially from those
currently anticipated in such statements.
SOURCE Canada Cobalt Works Inc.