Sells 2.0% NSR on Elk Property for US$10.63 million VANCOUVER, British Columbia, Sept. 28, 2021 (GLOBE NEWSWIRE) -- Almadex Minerals Ltd. and its 100% owned subsidiary Almadex Royalties Ltd., (collectively "Almadex" or the "Company") (TSX-V: “DEX”) is pleased to announce that it has entered into a definitive agreement regarding the sale of the 2.0% NSR royalty on the Elk Gold Project, located near Merritt, B.C. (the “Elk Project”) to Star Royalties Ltd. (“Star Royalties”) (TSX-V: “STRR”) for total consideration of US$10.63 million (the “Transaction”).
The consideration payable upon closing includes US$10 million in cash and the issuance to Almadex of 1,659,304 common shares of Star Royalties and 829,652 common share purchase warrants of Star Royalties exercisable for two years at $0.70 per common share.
Mr. J. Duane Poliquin, Chairman of Almadex commented, "This Transaction realizes significant and immediate value for Almadex and represents the continuation of many years of prospecting and deal-making by Almadex’s management team. The resultant ownership of common shares and warrants in Star Royalties will allow Almadex to retain continued exposure to this valuable royalty as well as the other royalties and growth initiatives pursued by the excellent team at Star Royalties."
Closing of the Transaction is subject to the satisfaction of certain closing conditions, including, but not limited to receipt of all necessary approvals, including the approval of the TSX Venture Exchange.
PI Financial Corp. acted as financial advisor to Almadex with regard to the Transaction. Borden Ladner Gervais LLP acted as Almadex’s legal advisor with regard to the Transaction.
https://www.globenewswire.com/news-release/2021/09/28/2304258/0/en/Almadex-Sells-2-0-NSR-on-Elk-Property-for-US-10-63-million.html