Brokered Financing for Gross Proceeds of $15,000,000
VANCOUVER, British Columbia, June 07, 2023 (GLOBE NEWSWIRE) -- Friday’s Dog Holdings Inc. (to be renamed, “International Uranium Corp.”) (the “Company”) (TSXV: FRDY | OTCQB: FDOGF) is pleased to announce that management of the Company, after review and consultation with its advisors, has determined it is in the best interests of shareholders of the Company to complete a business combination transaction (the “Transaction”) with a wholly-owned subsidiary of American Lithium Corp. (TSX-V: LI | NASDAQ: AML | Frankfurt:5LA1) (“American Lithium”). The Transaction will be completed by way of a court approved plan of arrangement under the Business Corporations Act (British Columbia), pursuant to which, the Company will; acquire all of the outstanding securities of Macusani Uranium S.A.C. (“Macusani Uranium”), a wholly-owned Peruvian subsidiary of American Lithium incorporated on October 13, 2022; and change the business of the Company to uranium exploration and development as further outlined below. At the same time the Company will spin-out its existing business to existing shareholders of the Company (the “Shareholders”)
The Transaction, is subject to a number of closing conditions including: (i) the completion of a consolidation (the “Consolidation”) of the Company's outstanding share capital on the basis of one (1) post-Consolidation common share for every four-and-one-half (4.5) pre-Consolidation shares; (ii) the issuance to American Lithium of 80,000,000 post-Consolidation common shares (the “Consideration Shares”) in consideration of the issued and outstanding securities of Macusani Uranium; (iii) the completion of a concurrent brokered private placement of subscription receipts to raise gross proceeds of no less than $15,000,000 being coordinated by a syndicate lead by Eight Capital and National Bank Financial and including Canaccord Genuity Corp., Clarkson Securities AS and TD Securities (the “Concurrent Offering”); (iv) the completion of the spin-out of Friday's Dog Inc. (“FDI”), comprising the existing business of the Company, to the Shareholders; (v) the change of the Company's name to “International Uranium Corp.”; and (vi) the reconstitution of the current board of directors and management of the Company to consist of nominees of American Lithium (as further described below).
The Macusani uranium property consists of 85 mineral concessions in Peru covering approximately 51,800 ha forming the Macusani uranium project, located on the Macusani Plateau, Puno, in southeastern Peru (the “Macusani Project”). The Macusani Project comprises one of world’s largest undeveloped uranium projects with a large, at surface, resource and low-cost opex and capex profile as evidenced in its latest Preliminary Economic Assessment (PEA), available on American Lithium’s website (www.americanlithiumcorp.com). The Macusani Project offers numerous additional opportunities for expansion and a flow-sheet that has the potential to deliver strong economic returns. Management of the Company believes the proposed transaction provides compelling benefits for the Company and its Shareholders. It focuses the Company as a pure-play uranium exploration and development company by spinning out its current unrelated business. The resulting issuer will focus on unlocking asset value by applying existing proceeds and funds raised in the subsequent offering to advance the Macusani Project by infill and expansion drilling and updating the existing PEA and resource.
Jeremy Ross, Chief Executive Officer of the Company stated “We are delighted to be involved with the Macusani Project, which we believe is strategically positioned to capitalize on the growing global demand for nuclear energy and large, high-quality uranium deposits. With our robust financial resources and support from strategic investors, we have confidence in the project's ability to make a meaningful contribution to clean energy initiatives worldwide, while generating significant value for our existing Shareholders”.
American Lithium Arrangement Agreement
In connection with the Transaction, the Company entered into an arrangement agreement (the “American Lithium Arrangement Agreement”) with American Lithium, dated June 6, 2023, which sets out the proposed terms and conditions pursuant to which American Lithium and the Company will complete a business combination under a plan of arrangement in accordance with the Business Corporations Act (British Columbia) (the “American Lithium Plan of Arrangement”). Pursuant to the terms of the American Lithium Plan of Arrangement, American Lithium will complete an internal reorganization of its subsidiaries, such that following completion of the reorganization, Macusani Uranium will be a direct subsidiary of American Lithium; thereafter, the Company will issue to American Lithium the Consideration Shares in consideration of the acquisition of all of the issued and outstanding securities of Macusani Uranium. Immediately following receipt of the Consideration Shares, American Lithium intends to distribute (the “Distribution”) the Consideration Shares to its existing common shareholders of record on a pro rata basis.
In addition to the foregoing, the American Lithium Plan of Arrangement, is subject to a number of additional closing conditions including: (i) the approval of the shareholders of each of American Lithium and the Company; (ii) the approval of the Supreme Court of British Columbia (the “Court”); (iii) the approval of the TSX Venture Exchange (the “TSXV”) and all other applicable third party and regulatory consents for the Transaction; (iv) the Company having no less than CAD$5,000,000 in available cash of working capital prior to completion of the Concurrent Offering and after deducting the expenses associated with the Transaction; and (v) other customary closing conditions for a transaction of this nature.
The issuance of the Consideration Shares and acquisition of Macusani Uranium will constitute a 'Reverse Takeover' and 'Change of Business' of the Company (as such terms are defined in TSXV Policy 5.2 – Change of Business and Reverse Takeovers) and accordingly, the Transaction is subject to and conditional on TSXV approval.
Following completion of the Transaction, the Company (after the completion of the Transaction, the “Resulting Issuer”) will have ownership and control over the Macusani Project. Management of the Resulting Issuer will be comprised of nominees of American Lithium, and American Lithium will arrange for the continuity of the existing development team in Peru. Macusani Uranium is currently wholly owned by Macusani Yellowcake S.A.S. (“Macusani Yellowcake”), a wholly owned Peruvian subsidiary of American Lithium, that currently holds title to 169 mineral concessions in Peru, including the Macusani Project concessions. In connection with the Transaction, Macusani Yellowcake has transferred the 85 concessions underlying the Macusani Project to Macusani Uranium and American Lithium will retain the right to participate in any future commercially viable discoveries of lithium mineralization on the Macusani Project concessions. The Company will be permitted to participate in any future commercially viable discoveries of uranium mineralization on the remaining Macusani Yellowcake mineral concessions which have been retained by American Lithium. Subject to TSXV approval, the common shares of the Resulting Issuer will trade on the TSXV under a new trading symbol to be determined by the parties. The Resulting Issuer is expected to be listed on Tier 2 of the TSXV as a mining issuer. In connection with the Transaction, trading in the common shares of the Company has been halted and is expected to remain halted until closing of the Transaction.
The Company intends to rely on Section 2.11 of National Instrument 45-106 – Prospectus Exemptions, for an exemption from the prospectus requirements for the issuance of the Consideration Shares to American Lithium. Sponsorship of the Transaction is required by the TSXV unless exempt or waived in accordance with the policies of the TSXV. The Company intends to apply for a waiver from the sponsorship requirements. The Transaction is an arm’s length transaction in accordance with the policies of the TSXV.
The foregoing description is qualified by reference to the full text of the American Lithium Plan of Arrangement, set out at Schedule “A” to the American Lithium Arrangement Agreement, filed under the Company's profile on www.sedar.com
Concurrent Brokered Offering
As a condition of closing of the American Lithium Plan of Arrangement, the Company intends to complete a best efforts brokered private placement of subscription receipts (“Subscription Receipts”) to be led by Eight Capital (the “Agent”) as co-lead agent and joint bookrunner together with National Bank Financial Inc., and with Canaccord Genuity Corp., Clarkson Securities AS and TD Securities as syndicate partners, at a price per Subscription Receipt of $0.50 (the "Offered Securities") to raise aggregate gross proceeds of $15,000,000. Subject to the terms and conditions of the Subscription Receipt Agreement, each Subscription Receipt will be convertible into one unit (each a "Unit") consisting of one common share of the Company and one-half of one common share purchase warrant of the Company (each a “Warrant”) entitling the holder to purchase one common share of the Company at an exercise price of $1.25 until 24 months from the closing date of the Concurrent Offering. The Company will pay the Agent a cash commission (“Agent’s Commission”) equal to 6% of the aggregate gross proceeds of the Concurrent Offering (subject to a reduced commission for subscribers on an agreed upon president's list). The net proceeds of the Concurrent Offering, less 50% of the Agent’s Commission, will be placed in escrow pending the satisfaction of the escrow release conditions of the Subscription Receipts including the completion of the Arrangements. Subject to closing of the satisfaction of the escrow release conditions and the release of the escrowed funds from escrow, the Agent will also receive that number of compensation warrants equal to 6% of the number of Offered Securities, other than Offered Securities purchased by purchasers on the president’s list, with each such compensation warrant to be exercisable into one Unit at a price of $0.50 for a period of 24 months from closing of the Concurrent Offering (each a "Compensation Unit Warrant"). The Board contemplates using the net proceeds from the Concurrent Offering to fund the exploration and completion of a current preliminary economic assessment of the Macusani Project and for general corporate purposes. The Subscription Receipts, Warrants and common shares underlying the Warrants, Subscription Receipts, and Compensation Unit Warrants will be subject to a statutory four-month and one day hold period following closing of the Concurrent Offering and the policies of the TSXV.
Friday's Dog Plan of Arrangement
In connection with the Transaction, the Company also entered into an additional arrangement agreement (the “Friday’s Dog Arrangement Agreement”) with FDI (which currently controls the existing business of the Company) pursuant to which the Company will complete a spin-out of all of the issued and outstanding shares of FDI (the “FDI Shares”) to the existing Shareholders on a 1 to 1 ratio under a plan of arrangement in accordance with the Business Corporations Act (British Columbia) (the “Friday's Dog Plan of Arrangement”).
Pursuant to the Friday's Dog Arrangement Agreement, and in accordance with the Friday's Dog Plan of Arrangement, the Company will complete the following steps (prior to effecting the Consolidation):
- the Company will alter its share capital to create the new common shares (the “New Common Shares”).
- the Company will alter its authorized share structure to rename and re-designate all of the issued and outstanding common shares of Friday’s Dog as Class A common shares without par value (the “Class A Common Shares”).
- Each Shareholder will transfer to the Company all of their Class A Common Shares and in exchange receive the following:
- One New Common Share at an exchange ratio of 1 to 1; and
- such number of FDI Shares as is equal to the pro-rata percentage ownership of Class A Common Shares of each Shareholder.
- The Company will alter its share capital so that only the New Common Shares will remain.
- Upon surrender of the Friday's Dog Shares, each Friday's Dog Share will be deemed after the closing of the Friday's Dog Arrangement to represent only the right to receive from the transfer agent, upon such surrender, such number of New Common Shares and FDI Shares that the Shareholder is entitled to pursuant to the Friday's Dog Plan of Arrangement;
- Upon the Friday's Dog Plan of Arrangement becoming effective, FDI will cease to be a wholly-owned subsidiary of the Company and, as of the share distribution date, the Shareholders will hold all of the outstanding FDI Shares.
In connection with the proposed American Lithium Plan of Arrangement and the Friday's Dog Plan of Arrangement (collectively the “Arrangements”), the Shareholders will continue to own common shares of the Company subject to the completion of the Consolidation immediately following completion of the spin-out of the FDI Shares pursuant to the Friday's Dog Plan of Arrangement (the “Spin-Out”). The American Lithium Plan of Arrangement is conditional on the Spin-Out of FDI having been completed prior to closing. If either Arrangement does not receive all requisite shareholder and regulatory approvals the Transaction will not be completed.
The foregoing description is qualified by reference to the full text of the Friday's Dog Plan of Arrangement, set out at Schedule “A” to the Friday's Dog Arrangement Agreement, filed under the Company's profile on www.sedar.com. The Friday's Dog Plan of Arrangement is subject to approval of the Court, the Friday's Dog Shareholders, and the TSXV, and there can be no assurance that such approvals will be obtained or that the Friday's Dog Plan of Arrangement will be completed on the terms contemplated, or at all. Further information regarding the Friday's Dog Plan of Arrangement is expected to be contained in a management information circular (the “Circular”) that the Company intends to prepare and mail to the Friday's Dog Shareholders in connection with the holding of an annual and special meeting (the “Meeting”) to approve the Transaction.
Reasons for the Arrangement
The Board is of the view that the Arrangements will benefit the Company and its Shareholders. This conclusion is based on the following primary determinations:
- By spinning out the existing FDI business consisting of canine care and grooming product manufacturing business, the Shareholders still retain their interest in the current business. Management believes that this business has a greater opportunity to be developed to its full potential realizable value as a separate reporting issuer not listed on an exchange which will help reduce operating costs and expenses for the current business as it continues to look for distributors for its products;
- The acquisition of Macusani Uranium pursuant to the American Lithium Plan of Arrangement will provide the Shareholders a direct interest in a new company with one of the largest undeveloped uranium projects whose ease of extraction and “near surface” characteristics position it with the potential to be one of the lowest cost sources of uranium globally that will pursue the development of the Macusani Project as its sole initial priority. With mounting concerns around energy security and climate change, Macusani is strategically located in the Americas, and management believes it can play a large role in the transition to zero emission base-load electricity generation that the world requires;
- As a separate company, FDI will have direct access to public and private capital markets and will be able to raise equity to fund development of the existing FDI business on a priority basis;
- The Arrangements will create individual public reporting companies that are anticipated to result in separate and well-focused entities, each of which will provide a platform for transactions that management wishes to target; and
- Following closing of the Arrangements, FDI will be a “reporting issuer” under securities legislation and accordingly, the Shareholders will continue to benefit from public company oversight from the securities commissions and the higher continuous disclosure, governance and financial statement requirements applicable to public companies, but no securities of FDI are expected to be listed on any regulated stock exchange upon closing of the Transaction.
The securities to be issued under the Friday's Dog Plan of Arrangement have not been and will not be registered under the U.S. Securities Act of 1933, and may not be offered or sold in the United States absent registration or applicable exemption from registration requirements. It is anticipated that any securities to be issued under the Friday's Dog Plan of Arrangement will be offered and issued in reliance upon the exemption from the registration requirements of the U.S. Securities Act of 1933 provided by Section 3(a)(10) thereof.
Meeting Details
The Meeting date, time, and location is to be determined. A notice of meeting and record date will be available under its profile on www.sedar.com once finalized.
Only Shareholders of record at the close of business on the record date will be entitled to vote at the Meeting. The Friday's Dog Arrangement is subject to Shareholder approval of not less than 66 2/3% of the votes cast at the Meeting and the approval of the American Lithium Arrangement Agreement is subject to Shareholder approval of not less than 51% of the votes cast at the Meeting.
Interim and Final Order
The Friday's Dog Plan of Arrangement is subject to Court approval by way of receipt of an interim order (the “Interim Order”) and a final order (the “Final Order”). The Interim Order will provide for, among other things, the holding of the Meeting to approve the Friday's Dog Plan of Arrangement. The Interim Order will also set out other conditions that must be met for the Company to apply for the Final Order of the Court to approve the Friday's Dog Plan of Arrangement.
Management of the Resulting Issuer
Subject to the applicable shareholder, Court and TSXV approval of the Arrangements, upon completion of the Arrangements, the board of directors and management of the Resulting Issuer will be comprised of the following individuals:
Alex Tsakumis, Chief Executive Officer
Mr. Tsakumis is a public markets specialist with over 30 years of experience in all aspects of mining from exploration to production. He has represented mining resource companies listed on major stock exchanges including TSX, NYSE and Nasdaq. Responsibilities have included corporate governance, finance, corporate communications, and maintaining strong relationships within investment banking and institutional investors. He was former VP of Belcarra Group, Alio Gold/Timmins Gold, and Orko Silver and currently an Advisor to Prime Mining Corp. and Director of American Lithium Corp.
Ted O’Connor, President
Ted O’Connor, P.Geo., M.Sc., is a professional geoscientist with over 30 years of experience in the exploration industry. Mr. O’Connor was involved with Plateau Energy Metals since shortly after its inception, until its acquisition by American Lithium. Previously, as director of corporate development for Cameco, he was responsible for evaluating, directing and exploring for uranium deposits worldwide. He has led new project generation from early exploration through discovery on multiple uranium projects and was also part of the discovery team for the Falchani project. Mr. O’Connor is currently EVP of American Lithium.
Philip Gibbs, Chief Financial Officer
Philip Gibbs, former chief financial officer of Plateau Energy Metals Inc., has extensive experience in corporate financial management which includes global multi-national as well as TSXV-listed mining and mineral exploration companies operating in Canada, Africa and South America. Mr. Gibbs is also CFO of American Lithium.
Paul Charlish, VP-Finance and Corporate Secretary
Mr. Charlish has over 30 years of financial experience, including audit and tax in public practice, and financial reporting and tax for public companies. He has extensive knowledge of financial reporting in accordance with IFRS, risk management, international tax, ICFR/SOX and internal controls, as well as in-depth knowledge of public equity offerings in Canada. During the course of his career, Mr. Charlish has been a key member of several successful management teams, in the position of CFO and Corporate Secretary, and has also played an instrumental role in mergers, acquisitions, spin outs and divestments for public companies. Mr. Charlish is currently VP Finance and Corporate Secretary of American Lithium.
Simon Clarke, Director
Mr. Clarke brings over 25 years of experience in building companies and implementing successful capital markets and growth strategies focused on mining, energy, and energy technology. Mr. Clarke is currently the CEO and a Director of American Lithium and prior to that was the founder, CEO, and director of M2 Cobalt Corp. (cobalt/copper exploration in East Africa), which was acquired by Jervois Global in June 2019. Jervois is a world leader in the development and mining of cobalt and nickel projects and operates cobalt and nickel refineries. The transaction involved Mr. Clarke remaining with Jervois for 12 months as a director and senior executive. Mr. Clarke was also a co-founder, executive, and director of Osum Oil Sands Corp. a company valued in excess of US$1 billion at its peak market capitalization. Osum grew its production to approximately 20,000 bopd before being acquired by Watreous Energy Fund for around CDN $400 million in 2021. Mr. Clarke benefits from extensive experience and knowledge of the battery metals and energy space spanning 20 years. This includes his current and past senior executive roles with American Lithium, M2 Cobalt and Jervois Mining, as well as senior roles in the energy technology and energy sectors sector. Mr. Clarke holds an LLB and Diploma in Legal Practice from Aberdeen University, Scotland.
Dr. Laurence Stefan, Director
Dr. Laurence Stefan, COO of American Lithium and the founder of Plateau Energy Metals Inc., has over 30 years of experience in the mining industry (exploration, development, mining, processing and marketing), serving as managing director in Peru since 2007. Dr. Stefan previously worked at Gold Fields of South Africa and JCI Pty. Ltd., where he was involved in the beneficiation of a wide variety of solid metal/non-metal commodities. He has vast experience covering over 100 projects on six continents and led the discovery team for the Falchani lithium project.
Cathy Fitzgerald, M.Sc., P.Geo., Director
Cathy Fitzgerald is a geologist with over 20 years’ experience in technical leadership roles associated with the exploration and development of early-stage projects through to feasibility stage across various commodities. Previously Director Resource Evaluation, Ivanhoe Electric (formerly High Power Exploration).
Anthony Paterson, Director
Mr. Paterson is an accomplished venture and private equity investor skilled in financing, business development, and operations. He has significantly contributed to the success of numerous start-ups by raising over $50M in capital across industries such as life sciences, consumer packaged goods, and natural resources. As a lead investor with Zephyr Venture Partners, Anthony has raised $10M for biotech and biopharmaceutical firms like Ashvathha Therapeutics and Breathe Diagnostic. He has also secured over $20M for CPG companies Friday's Dog and Healthy Hippo Naturals. Notably, his involvement in Prime Mining's bridge loan financing during its early stage led to a market capitalization increase from $20M to $500M. Anthony has served as a director for a number of publicly listed companies and has developed a strong financing expertise and significant experience guiding start-ups with strong growth potential.
Steve Vanry, Director
Mr. Vanry is a Chartered Financial Analyst and registered Canadian Investment Manager and member of the CFA Institute as well as the Vancouver Society of Financial Analysts. His business career includes over 25 years with publicly traded natural resource companies at both management and board level during which time he focused on strategic planning, fund raising, mergers and acquisitions, regulatory compliance and financial reporting.
The Macusani Uranium Property
The Macusani Project is located within the Macusani District of the Carabaya Province in the southeastern corner of Peru, 220 km by road north of the city of Juliaca, the region’s largest city, and approximately 650 km east-southeast of Lima. The Macusani Project consists of 85 mining concessions covering approximately 51,800 ha.
Avrom E. Howard, M.Sc., P.Geo. is a Qualified person as defined in National Instrument 43-101 Standards of Disclosure for Mineral Projects and has reviewed and approved the scientific and technical information in this news release relating to the Macusani Project.
On Behalf of the Board of Friday's Dog Holdings Inc.
“Anthony Paterson”
Anthony Paterson, Director
For further information, please contact:
Anthony Paterson
Friday's Dog Holdings Inc.
Email: investors@fridaysdog.com
Visit our website at www.investors.fridaysdog.com
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities to be issued in connection with the Arrangements have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Completion of the Arrangements is subject to a number of conditions, including but not limited to, TSXV acceptance and if applicable, disinterested shareholder approval. Where applicable, the Arrangements cannot close until the required shareholder approval is obtained. There can be no assurance that the Arrangements will be completed as proposed or at all.
Investors are cautioned that, except as disclosed in the management information circular or listing application to be prepared in connection with the Transaction, any information released or received with respect to the Arrangements may not be accurate or complete and should not be relied upon. Trading in the securities of the Company should be considered highly speculative.
Neither the TSX Venture Exchange, Inc. nor its Regulation Services Provider (as that term is defined in the polices of the TSX Venture Exchange) has in any way passed upon the merits of the Arrangements and associated transactions and neither of the foregoing entities accepts responsibility for the adequacy or accuracy of this release or has in any way approved or disapproved of the contents of this press release.
Cautionary Statements Regarding Forward Looking Information
This news release contains “forward-looking information” within the meaning of applicable securities laws relating to the proposal to complete the Arrangements, Transaction, Concurrent Offering and associated transactions, including statements regarding the terms and conditions of the Arrangement and the Concurrent Offering, the business plans and objectives of the Company and the Resulting Issuer, expectations for other economic, business and competitive factors and approvals of regulatory bodies. Although the Company believe in light of the experience of its directors and officers, current conditions and expected future developments and other factors that have been considered appropriate and that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Any such forward-looking statements may be identified by words such as “expects”, “anticipates”, “believes”, “projects”, “plans” and similar expressions. Readers are cautioned not to place undue reliance on forward-looking information. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, determination of acceptable terms for the proposed spinout transaction, risks and uncertainties relating to the receipt of approvals to proceed with and complete the Transaction and the satisfaction of all conditions precedent to the Arrangements, unexpected tax consequences, the benefits of the spin-out transaction not being realized or as anticipated, the listing of the common shares of the Resulting Issuer on the TSXV, the timing and completion of the Concurrent Offering,and any and all future remedies pursued by American Lithium and its subsidiary Macusani Yellowcake to resolve the title for 32 of its concessions; the Company’s strategic plans and the parties’ ability to satisfy closing conditions and receive necessary approvals as planned. These statements should not be read as guarantees of future performance or results. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management’s reasonable assumptions, there can be no assurance that the Arrangements will occur or that, if the Arrangements do occur, it will be completed on the terms described above. The Company assumes no responsibility to update or revise forward-looking information to reflect new events or circumstances unless required by applicable law.
Cautionary Note Regarding Macusani Yellowcake Concessions
Thirty-two of the 151 concessions held by American Lithium’s subsidiary Macusani Yellowcake, are currently subject to Administrative and Judicial processes (together, the “Processes”) in Peru to overturn resolutions issued by INGEMMET and the Mining Council of MINEM in February 2019 and July 2019, respectively, which declared Macusani’s title to 32 of the concessions invalid due to late receipt of the annual validity payments. In November 2019, Macusani Yellowcake applied for injunctive relief on 32 concessions in a Court in Lima, Peru and was successful in obtaining such an injunction on 17 of the concessions including three of the four concessions included in the Macusani Uranium Project PEA. The grant of the Precautionary Measure (Medida Cautelar) has restored the title, rights and validity of those 17 concessions to Macusani Yellowcake until a final decision is obtained at the last stage of the judicial process. A Precautionary Measure application was made at the same time for the remaining 15 concessions and was ultimately granted by a Court in Lima, Peru on March 2, 2021 which has also restored the title, rights and validity of those 15 remaining concessions to Macusani Yellowcake, with the result being that all 32 concessions are now protected by Precautionary Measure (Medida Cautelar) until a final decision on this matter is obtained at the last stage of the judicial process. The favourable judge’s ruling confirming title to all 32 concessions from November 3, 2021 represents the final stage of the current judicial process. However, this ruling has recently been appealed by MINEM and INGEMMET. American Lithium has no assurance that the outcome of these appeals will be in American Lithium's favour.
