VANCOUVER, BC, Feb. 17, 2023 /CNW/ - EMP Metals Corp. (CSE: EMPS) (OTCQB: EMPPF) ("EMP Metals" or the "Company") announces that it has entered into a securities exchange agreement (the "Agreement") with the shareholders of Hub City Royalty Corp. ("Hub City Royalty") whereby the Company will acquire all of the shares of Hub City Royalty. Hub City Royalty holds a 25% interest in the net profits of the Company's subsidiary Hub City Minerals Corp. ("HCM").
Rob Gamley, CEO of EMP Metals, stated, "Our acquisition of Hub City Royalty enhances shareholder value by removing the net profit interest over HCM with the issuance of share purchase warrants at a significant premium to market price. We are looking forward to providing furthers updates to the market on exploration and development plans at our lithium brine properties."
In consideration of all of the shares of Hub City Royalty, the Company issued a total of 6,930,000 share purchase warrants (the "Warrants") to the Vendors. Each Warrant entitles the holder to purchase one common share of the Company at a price of $1.25 for a period of three (3) years from the date of issuance. The Warrants are subject to the Company's right to accelerate the expiry date for the outstanding but unexercised Warrants (the "Acceleration Right") if the average closing price have been equal to or greater than $1.75 for ten (10) consecutive trading days and the Company must issue a news release announcing its intention to exercise the Acceleration Right.
Closing of the transaction will occur on or about February 22, 2023.
The Company is pleased to announce that it has engaged Fortyfive Media and its affiliates to provide investor awareness advertising and marketing to the Company. Under the terms of the engagement, Fortyfive Media will be paid $50,000 USD over 12 months. The Company may terminate the services at any time. Fortyfive Media and their affiliates are an arm's length consultant to the Company.
About EMP Metals
EMP Metals is a Canadian-based exploration company focused on the acquisition and exploration of mineral projects with significant development potential. Its current portfolio of lithium brine properties, in partnership with ROK Resources Inc., consists of 37 permits totaling 212,633 acres (86,050 hectares) of Subsurface Crown Mineral Dispositions in the Williston basin of Southern Saskatchewan.
For more information, please go to the Company's website at www.empmetals.com or contact:
Rob Gamley, President & CEO
Phone: 604-689-7422
Email: info@empmetals.com
Forward-Looking Statements
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. EMP Metals cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, many of which are beyond EMP Metals' control. Such factors include, among other things: risks and uncertainties relating to EMP Metals' limited operating history, ability to obtain sufficient financing to carry out its exploration and development objectives on its mineral properties, obtaining the necessary permits to carry out its activities and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, EMP Metals undertakes no obligation to publicly update or revise forward-looking information.
Neither the Canadian Securities Exchange ("CSE") nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this news release.
SOURCE EMP Metals Corp.
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