MTB Metals Corp (C-MTB) - News Release
MTB Metals sells Surprise Creek for $1-million
2023-12-01 16:17 ET - News Release
Shares issued 113,358,055
MTB Close 2023-12-01 C$ 0.105
Mr. Lawrence Roulston reports
MTB Sells Surprise Creek Project for $1 million
MTB Metals Corp. has sold Surprise Creek, one of its secondary projects, for $1-million cash. Surprise Creek is an early-stage exploration project located 40 kilometres northeast of Stewart, B.C.
The purchaser, Ross Beaty, holds 13.8 per cent of the shares of the company, and, as a result, the sale of Surprise Creek was a related-party transaction under Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions, however, MTB was exempt from the formal valuation requirements of MI 61-101 by virtue of the exemption contained in Section 5.5(a) and from the minority shareholder approval requirements of MI 61-101 by virtue of the exemption contained in Section 5.7(1)(a) of MI 61-101, as the fair market value of the consideration did not exceed 25 per cent of the company's market capitalization. The company did not file a material change report more than 21 days before the expected closing of the sale, which the company deems reasonable. The company and the purchaser are also non-arm's-length parties (as defined in TSX Venture Exchange Policy 1.1) given that the purchaser is an insider of the company. The purchaser also assumed certain continuing obligations that the company had pursuant to a previously exercised option agreement relating to the acquired claims.
Lawrence Roulston, chief executive officer, commented: "With 580 square kilometres of mineral rights across six other projects in British Columbia's Golden Triangle, it was hard to justify the expenditures needed to maintain Surprise Creek. This transaction will enable a greater focus on our remaining projects. We are very pleased to exchange our lowest-priority project for $1-million of cash, which we will deploy on the other projects."
About MTB Metals Corp.
MTB has six active projects spanning 580 square kilometres in the prolific Golden Triangle of Northern British Columbia. With the focus on the Telegraph project, discussions are now under way leading to joint ventures and/or spinouts of other projects:
- Telegraph is located in the vicinity of four world-class porphyry deposits being advanced by major mining companies: Galore (Teck/Newmont), Schaft (Teck), Saddle (Newmont) and the operating Red Chris copper-gold mine (Newcrest/Imperial Metals). Fieldwork by MTB on its 344-square-kilometre property, together with earlier results, provides compelling evidence for the presence of one or more porphyries, similar to others in the area. Assay are pending from four drill holes.
- The American Creek project is centred on the historic Mountain Boy silver mine. The project is road accessible and 20 km from the deep-water port of Stewart. There are multiple silver, gold and copper occurrences on the property, including a 2006 drill hole that encountered five kilograms (kg) of silver over five metres.
- Red Cliff is a past-producing gold and copper mine in which the company holds a 35-per-cent interest. Recent drill results include two m of 26 g/t gold.
- On the BA property, 182 drill holes have outlined a substantial zone of silver-lead-zinc mineralization located four km from the highway. Several targets with high-grade silver potential remain to be tested. Drilling in October on the George copper zone encountered copper mineralization, with assays pending.
- On the Theia project, work by MTB and previous explorers has outlined a silver-bearing mineralized trend 500 m long, highlighted by a 2020 grab sample that returned 39 kg per tonne silver (1,100 ounces per ton). Two other zones on the property produced copper values over 5 per cent.
- Southmore is in the midst of some of the largest deposits in the Golden Triangle. It was explored in the 1980s through the early 1990s and was overlooked until MTB consolidated the property and carried out airborne geophysics and fieldwork, which confirmed several zones of gold and copper, with values up to 20 per cent copper and 35 grams/tonne gold.
The technical disclosure in this release has been read and approved by Andrew Wilkins, BSc, PGeo, a qualified person as defined in National Instrument 43-101.
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