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VANCOUVER, BC / ACCESSWIRE / March 9, 2021 / Sassy Resources Corporation ("Sassy" or the "Company") (CSE:SASY)(FSE:4E7)(OTCQB:SSYRF) is pleased to announce that it has entered into a Binding Letter of Intent (LOI) to option its Nicobat Property in Northwest Ontario to privately held MAX Power Mining Corporation (MAX Power), a deal that would make Sassy the largest shareholder in this new battery metals-focused company which plans to list for public trading on a Canadian exchange in the coming months.
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Under the binding letter of intent, MAX Power can earn a 100% interest in Nicobat by incurring $1 million in exploration expenditures on the property over a 4-year period while also issuing five (5) million shares in the company to Sassy upon obtaining a listing on a Canadian exchange with the Nicobat as a qualifying property. Those shares will be released to Sassy in stages over a three-year period while Sassy will also be granted one million warrants, exercisable at 25 cents, to purchase an additional one million shares in MAX Power within 36 months. Sassy will retain a 1% NSR on the property which may be purchased by MAX Power at any time for $1,000,000. In addition, Sassy will have the right to appoint one director to the MAX Power board after the date of listing.
Mr. Mark Scott, Sassy President and CEO, commented: "Sassy is looking forward to working with the team at MAX Power, which we expect will have a very exciting value proposition for investors. This deal allows Sassy to focus operationally and financially on its flagship Foremore Project in the Eskay Camp, in particular the Westmore discovery, and its growing Newfoundland project through wholly-owned subsidiary Gander Gold. Sassy's significant share position in MAX Power gives our shareholders the opportunity to benefit substantially from the expected growth and success of this new battery metals company."
The binding letter of agreement between the parties is subject to execution of a definitive option agreement on or before May 31, 2021, along with customary regulatory and exchange approvals.
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