(TheNewswire)
Vancouver, British Columbia – TheNewswire - June 7 , 202 2 – Gold Lion Resources Inc. (“ GoldLion ” or the “ Company ”)( CSE:GL) (OTC:GLIOF)(FWB:2BC) announces that it has signed andclosed a share purchase agreement dated June 6, 2022 (the “SPA”)with 1000173975 Ontario Inc. (“OntarioCo”) in respect of theCompany’s previously announcedtransaction (the “Transaction”),whereby the Company has acquired all of the issued and outstandingshares of OntarioCo. OntarioCo’s principal asset and undertaking isits interest in the Black Lake Mineral Property, which is located innorthern Saskatchewan (the “Property”).
The Property presents a significant opportunity forGold Lion with respect to battery metals, including Cobalt, Nickel,Copper as well as Gold. The nearby KoBold Metals' Faith in Gravitysite is being targeted due to its supply of Cobalt. KoBold’s backersinclude venture capital firm Andreessen Horowitz and BreakthroughEnergy Ventures.
Cobalt is a popular choice for batteries because themetal increases battery life and energy density, which increaseselectric vehicle (EV) range, by keeping the battery composition stableas the battery is continuously charged and discharged. Nickel has beenwidely used in batteries for decades going back to Nickel-Cadmium andlater Nickel Metal Hydride cells. Most high-performance EV batteriesuse Nickel-Manganese-Cobalt (NMC) with Nickel comprising 80% of themix. Tesla mainly uses Nickel-Cobalt-Aluminum with the same 80%Nickel.
Pursuant to the SPA , theCompany has issued an aggregate of 20,000,000 common shares (the“Consideration Shares”) to the shareholders of OntarioCo at adeemed price per Consideration Share of $0.05, representingaggregate consideration of $1,000,000. The aggregate consideration paid under the Transaction was based on a valuation of OntarioCodated June 6, 2022, which was prepared by an independent businessvaluator.
The Transaction was completed pursuant to availableprospectus exemptions in accordance with applicable securitieslegislation. The Consideration Shares are subject to a hold periodof four months and a day from issuance pursuant to applicablesecurities laws. The Transaction was an arms-length transaction forthe Company and did not constitute a fundamental change or result in achange of control of the Company, within the meaning of the policiesof the CSE.
Guy Bourgeois, GoldLion’s CEO commented, “We are excited to acquire this strategicNorth American property, our shareholders will benefit from exposureto key battery metals in addition to our Gold assets. Cobalt, Nickeland Copper are in high demand due to EV and renewable market growth.This strategic acquisition, combined with our other Polymetallic andGold projects, creates a valuable portfolio of North American Gold andbattery metals assets located in close proximity to current projectsand past-producing mines with low political, social and environmentalrisk.”
About Gold Lion Resources Inc.
Gold Lion Resources Inc. is a mineral explorationcompany actively involved in the exploration of its precious metalfocused portfolio including the Cuteye and Fairview Properties locatedin Idaho and British Columbia. For moreinformation please visit: https://goldlionresources.com/ .
ON BEHALF OF THE BOARD OF DIRECTORS
Guy Bourgeois, CEO
T: 902.225.8881
The CSE and Information Service Provider have not reviewed and doesnot accept responsibility for the accuracy or adequacy of thisrelease.
Forward-Looking Statements
This news release contains “forward-lookinginformation” within the meaning of applicable Canadian securitieslegislation. Often, but not always, forward-looking information andinformation can be identified by the use of words such as “plans”,“expects” or “does not expect”, “is expected”,“estimates”, “intends”, “anticipates” or “does notanticipate”, or “believes”, or variations of such words andphrases or state that certain actions, events or results “may”,“could”, “would”, “might” or “will” be taken, occur orbe achieved. Actual future results may differ materially. Inparticular, this release contains forward-looking information relatingto the Company's expected benefits of the Transaction andopportunities which will arise from the acquisition of the Property.The forward-looking information reflects management's currentexpectations based on information currently available and are subjectto a number of risks and uncertainties that may cause outcomes todiffer materially from those discussed in the forward-lookinginformation. Such risk factors may include, among others, but are notlimited to: general economic conditions in Canada and globally;industry conditions, including governmental regulation andenvironmental regulation; the availability of capital on acceptableterms; the need to obtain required approvals from regulatoryauthorities; stock market volatility; competition for, among otherthings, skilled personnel and supplies; incorrect assessments of thevalue of acquisitions; geological, technical, processing andtransportation problems; changes in tax laws and incentive programs;failure to realize the anticipated benefits of acquisitions anddispositions; and the other factors. Although the Company believesthat the assumptions and factors used in preparing the forward-lookinginformation are reasonable, undue reliance should not be placed onsuch information and no assurance can be given that such events willoccur in the disclosed time frames or at all. Factors that could causeactual results or events to differ materially from currentexpectations include: (i) adverse market conditions; and (ii) otherfactors beyond the control of the Company. New risk factors emergefrom time to time, and it is impossible for the Company’s managementto predict all risk factors, nor can the Company assess the impact ofall factors on Company’s business or the extent to which any factor,or combination of factors, may cause actual results to differ fromthose contained in any forward-looking information. Theforward-looking information included in this news release are made asof the date of this news release and the Company expressly disclaimsany intention or obligation to update or revise any forward-lookinginformation whether as a result of new information, future events orotherwise, except as required by applicable law. Additionalinformation identifying risks and uncertainties that could affectfinancial results is contained in the Company’s filings withCanadian securities regulators, which are available at www.sedar.com.
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