Capella Minerals has announced that it has entered into a binding asset sale agreement with NickelX, a private Norwegian mining company, through which it will divest its interests in the Hessjøgruva, Kjøli, and Løkken copper-zinc-cobalt projects located in Trøndelag Province, central Norway.
NickelX currently holds 100% interests in 4 nickel exploration projects in northern Norway (namely Hamn, Palfjellet, Birgivi, and Envold), and is in the process of undertaking an Initial Public Offering (IPO) with the combined assets on Oslo’s Euronext Growth Exchange, aiming to become Norway’s leading independent battery metals company.
The total consideration of the transaction to Capella, payable upon completion of the NickelX IPO, is CAN$7 million via a combination of cash and NickelX shares.
Eric Roth, President and Chief Executive Office of Capella said: “Capella is pleased to have reached this agreement with NickelX providing for the creation of a premier Norwegian battery metals company. Combining our Central Norway Copper Projects with NickelX’s exploration properties, and then listing on the Oslo Euronext Exchange will ensure that our projects are benefited through access to local capital and stakeholders rewarded through advancement of the project portfolio. The transaction will also allow us to further focus on our organic operations in Finland while, through the contemplated distribution of NickelX shares, enabling our shareholders to retain direct exposure to the strong upside of those assets. We are very confident that NickelX has the technical and financial capabilities, through its access to the Nordic capital markets, along with its depth of expertise and vision to further advance the exciting development phases of the assets and to become the Norwegian critical minerals champion required for the energy transition.”
Read the article online at: https://www.globalminingreview.com/mining/19102023/capella-announces-the-sale-of-its-central-norway-copper-cobalt-projects-to-nickelx/