Marvel Discovery Corp said that Power One Resources Corp, currently a wholly-owned subsidiary of the company, has received final approvals on the plan of arrangement for its spin-out on the Toronto Venture Exchange (TSX.V) announced April 23, 2021.
Marvel said it has made great progress to date, and is now finalizing the response back to the TSX.V for the listing of Power One's shares.
As part of the transaction, Marvel shareholders received 16 million Power One common shares, with the company itself receiving 5 million Power One common shares for transferring ownership of the Serpent River Pecor's project at Elliot Lake, Ontario, and the Wicheeda project at Prince George, British Columbia to Power One.
In a statement, Marvel chief executive officer Karim Rayani commented: "We are thrilled to finally move forward on Power One, we believe these projects have tremendous potential. We are in the right place at the right time - the resurgence of Uranium as a clean energy and the growing demand and interest in green and critical elements for a cleaner future is not going away. We have oversubscribed our offering and look forward to reporting back on a final approval date".
The company said it believes the spin-out to be highly advantageous situation for Marvel and its shareholder as it further protects its share capitalization without the expenditures needed to advance these projects as it will still hold a sizeable equity stake in Power One and will remain as operator.
On January 1, 2022, Power One arranged a non-brokered private placement to raise gross proceeds of up to $800,000. Power One closed that offering on February 1, 2022 and has since increased it taking in $ 1.1 million in subscriptions.
The Serpent River Pecors project is located 15 kilometres (km) east of Elliot Lake, Ontario. Limited drilling by Rio Algom in 1974 at the Pecors East showing (MDI41J08NW00060) on the project has reported a non-National Instrument 43-101 compliant historic resource of 20 million tonnes (Mt) averaging 0.037% uranium. Immediately west of the Serpent River Pecors Project is Pele Mountain's Eco Ridge uranium/rare earth element project. In July 2011, Pele Mountain announced the positive results of a preliminary economic assessment study outlining 34.6 Mt at grades of 0.040% U3O8 and 1,455 parts per million TREO (total rare earth oxides).
The Wicheeda property is located approximately 80 km northeast of the city of Prince George and approximately 50 km east of the community of Bear Lake, British Columbia The property is readily accessible by all-weather gravel roads and is close to major infrastructure, including power transmission lines, railway, and major highways. Geologically, the project is situated in the Foreland belt and within the Rocky Mountain trench, a major continental geologic feature. The Foreland belt contains part of a large alkaline igneous province stretching from the Canadian Cordillera to the southwestern United States and hosts several carbonatite and alkaline complexes. These include the Aley (niobium), Rock Canyon rare earth element minerals (REE), and Wicheeda (REE) alkaline complexes which contain the high concentrations of REE's.
Marvel Discovery, listed on the TSX Venture Exchange for over 25 years, is a Canadian-based emerging resource company. The company is systematically exploring its extensive property positions in:
- Newfoundland (Slip, Gander North, Gander South, Victoria Lake, Baie Verte, and Hope Brook - Au Prospects)
- Atikokan, Ontario (BlackFly - Au Prospect)
- Elliot Lake, Ontario (East Bull - Ni-Cu-PGE Prospect)
- Quebec (Duhamel -Ni-Cu-Co prospect & Titanium, Vanadium, and Chromium Prospect)
- Prince George, British Columbia (Wicheeda North - Rare Earth Elements Prospect)
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