Seahawk Ventures to acquire 6,624 ha Blitz property
2018-08-21 10:24 ET - News Release
Mr. John Gasbarro reports
SEAHAWK VENTURES INC. SIGNIFICANTLY INCREASES URBAN-BARRY HOLDINGS
Seahawk Ventures Inc. has entered into a property purchase agreement with Mitchell E. Lavery to acquire the Blitz property, consisting of 67 claims covering 6,624 hectares in Quebec's Urban-Barry greenstone belt. With this latest acquisition, Seahawk's holdings in the Urban-Barry greenstone belt have grown to 25,225 hectares.
"In the Urban-Barry area, only Osisko's land package is significantly larger than Seahawk's. With the acquisition of the Blitz claims, Seahawk continues to grow its holdings in Urban-Barry with a view to increasing future returns to its shareholders," commented John Gasbarro, president and chief executive officer of Seahawk.
The Blitz property is located in the Urban-Barry greenstone belt, approximately 30 kilometres north of Lebel-Sur-Quevillon and 150 kilometres northeast of Val-d'Or in the Abitibi region of Quebec, and is accessible by existing roads. The Blitz property consists of two blocks of claims -- the eastern block is adjacent to Oskisko's property, and the western block is adjacent to the Grevet mine owned by Nyrstar.
Under the terms of the agreement, Seahawk will pay Mr. Lavery $8,000 in cash and issue 1.65 million shares for 100-per-cent interest in Blitz property, subject to a 2.5-per-cent net smelter return royalty. Seahawk will have the right of first refusal on the royalty in whole or in part. Mr. Lavery is a director of Seahawk, and declared his interest and abstained from voting in respect of the approval of the agreement. The value of the consideration paid to Mr. Lavery is less than 25 per cent of the market capitalization of Seahawk, and as a result, the transactions contemplated by the agreement are exempt from the minority approval and valuation requirements of Multilateral Instrument 61-101.
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