TSXV:OIII | OTCQX:OIIIF - O3
Mining
/ THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE
SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES /
TORONTO, March 15,
2022 /CNW/ - O3 Mining Inc. (TSXV: OIII)
(OTCQX: OIIIF) ("O3 Mining" or the "Corporation") is pleased
to announce that it has signed a binding letter agreement ("Letter
Agreement") with Emgold Mining Corporation ("Emgold") to acquire
100 per cent ("%") of the rights, title and interests in Emgold's
East-West Property. The East-West Property is located in the
Val-d'Or Mining Camp in Québec, adjacent to and east of the
Corporation's Marban Property, and consists of seven mining claims
covering an area of 184 hectares, as shown in Figure 1.
Pursuant to the Letter Agreement, O3 Mining has agreed to
acquire the East-West Property at closing in exchange for: (i) cash
consideration of C$750,000, (ii)
325,000 common shares in the capital of the Corporation; and (iii)
the grant of a 1% net smelter returns royalty over the East-West
Property in favour of Emgold, which will be subject to a buy-back
right in favour of O3 Mining ("Buy-Back Right"). The Buy-Back Right
may be exercised by the Corporation until the fifth anniversary
from the closing date for a cash payment of C$500,000 until the third anniversary from the
closing date and C$1,000,000 until
the fifth anniversary from the closing date.
The transaction is subject to the satisfactory completion by O3
Mining of its due diligence review of Emgold and the East-West
Property, the receipt of any necessary regulatory (including stock
exchange) approvals and the execution of the definitive agreements
in respect of the transaction, which is expected to occur no later
than March 31, 2022.
José Vizquerra Benavides, President and CEO of the Corporation
commented: "We are excited about the acquisition of the
East-West Property as it presented the opportunity to secure
prospective ground near the Marban Engineering project and
consolidate O3 Mining's position in the district. Additionally, the
boundary of the property is 200 metres from the Marban PEA pit
edge. We look forward to finalizing the agreement and amplifying
our brownfield exploration program as it holds the potential for
new discoveries to expand the gold mineralization around Marban
Engineering and to create significant value for our
shareholders."
The East-West property covers the auriferous Marbenite
structural corridor over a 1.6 km strike length. It contains the
Little Long Lac mineral occurrence where 25,000 tonnes at 8.0 g/t
Au were extracted during the 1960's and the East zone where
drilling intersected 3.6 g/t Au over 16.1
m and 5,495 g/t Au over 2.25
m, among others. The exploration potential is
considered promising as the structure is untested below 250
metres.
Figure 1: Marban Project Surface Map
"The historical data reported here is believed reliable and
accurate and compliant with industry standards. The qualified
person has reviewed all reports from the area and has reported on
historical results and data collected, compiled and reported on. O3
Mining has not verified the data and is planning an initial
exploration program."
Qualified Person
The scientific and technical content of this news release has
been reviewed, prepared and approved by Mr. Louis Gariépy. (OIQ
#107538), Vice President Exploration, who is a "qualified person"
as defined by National Instrument 43-101 – Standards of
Disclosure for Mineral Projects.
About O3 Mining Inc.
O3 Mining Inc., an Osisko Group company, is a gold explorer and
mine developer on the road to produce from its highly prospective
gold camps in Québec, Canada. O3
Mining benefits from the support, previous mine-building success,
and expertise of the Osisko team as it grows towards being a gold
producer with several multi-million-ounce deposits in Québec.
O3 Mining is well-capitalized and owns a 100% interest in all
its properties (137,000 hectares) in Québec. O3 Mining trades on
the TSX Venture Exchange (TSXV: OIII) and OTC Markets (OTCQX:
OIIIF). The Corporation is focused on delivering superior returns
to its shareholders and long-term benefits to its stakeholders.
Further information can be found on our website at
https://o3mining.com
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" within
the meaning of the applicable Canadian securities legislation that
is based on expectations, estimates, projections, and
interpretations as at the date of this news release. The
information in this news release about the transaction; and any
other information herein that is not a historical fact may be
"forward-looking information". Any statement that involves
discussions with respect to predictions, expectations,
interpretations, beliefs, plans, projections, objectives,
assumptions, future events or performance (often but not always
using phrases such as "expects", or "does not expect", "is
expected", "interpreted", "management's view", "anticipates" or
"does not anticipate", "plans", "budget", "scheduled", "forecasts",
"estimates", "believes" or "intends" or variations of such words
and phrases or stating that certain actions, events or results
"may" or "could", "would", "might" or "will" be taken to occur or
be achieved) are not statements of historical fact and may be
forward-looking information and are intended to identify
forward-looking information. This forward-looking information is
based on reasonable assumptions and estimates of management of the
Corporation, at the time it was made, involves known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the companies to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
information. Such factors include, among others, risks relating to
the restart of operations; further steps that might be taken to
mitigate the spread of COVID-19; the impact of COVID-19 related
disruptions in relation to the Corporation's business operations
including upon its employees, suppliers, facilities and other
stakeholders; uncertainties and risk that have arisen and may arise
in relation to travel, and other financial market and social
impacts from COVID-19 and responses to COVID 19. Although the
forward-looking information contained in this news release is based
upon what management believes, or believed at the time, to be
reasonable assumptions, the parties cannot assure shareholders and
prospective purchasers of securities that actual results will be
consistent with such forward-looking information, as there may be
other factors that cause results not to be as anticipated,
estimated or intended, and neither the Corporation nor any other
person assumes responsibility for the accuracy and completeness of
any such forward-looking information. The Corporation does not
undertake, and assumes no obligation, to update or revise any such
forward-looking statements or forward-looking information contained
herein to reflect new events or circumstances, except as may be
required by law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release. No stock exchange, securities
commission or other regulatory authority has approved or
disapproved the information contained herein.
SOURCE O3 Mining Inc.