Altius Resources Inc. Receives Shares and Royalty from Labrador Uranium Inc.

Rhea-AI Summary

Altius Minerals Corporation (ATUSF) announced the completion of a transaction with Labrador Uranium Inc. (LUR) on February 22, 2022. Altius Resources Inc., a subsidiary, transferred its interests in the Central Mineral Belt Uranium-Copper Project and the Notakwanon Uranium Project to LUR. In return, Altius received 8,000,000 common shares of LUR and a 2% gross overriding royalty on the projects. This acquisition gives Altius approximately 16.8% of LUR's total shares. The shares are under a hold period expiring in four months and one day.

Positive

• Acquisition of 8,000,000 LUR Shares, representing 16.8% stake in LUR.
• Receipt of a 2% gross overriding royalty on Altius Projects.

Negative

• None.

ST. JOHN’S, Newfoundland and Labrador--(BUSINESS WIRE)-- Altius Minerals Corporation (ALS:TSX) (ATUSF: OTCQX) (“Altius” or the “Corporation”) reports that on February 22, 2022 Altius Resources Inc. (“Altius Resources”), a wholly owned subsidiary of the Corporation, completed its previously announced transaction with Labrador Uranium Inc. (“LUR”) and its parent company, Consolidated Uranium Inc. (“CUR”) (CUR:TSXV). LUR has accordingly acquired a 100% interest in the Central Mineral Belt Uranium-Copper Project and the Notakwanon Uranium Project in Labrador (the “Altius Projects”) from Altius in exchange for 8,000,000 common shares of LUR (the “Shares”) and a 2% gross overriding royalty on the Altius Projects.

Early Warning Disclosure

Pursuant to this transaction Altius acquired 8,000,000 LUR Shares, representing approximately 16.8% of the issued and outstanding LUR Shares on a non-diluted basis. The Shares are subject to a hold period expiring four months and one day from issuance. Prior to completion of this transaction Altius did not own any LUR Shares. While Altius currently has no plans or intentions with respect to the LUR Shares, depending on market conditions, general economic and industry conditions, trading prices of LUR’s securities, LUR’s business, financial condition and prospects and/or other relevant factors, Altius may develop such plans or intentions in the future and, may from time to time acquire additional securities, dispose of some or all of the existing or additional securities or may continue to hold the LUR Shares or other securities of LUR.

Altius will file an early warning report under National Instrument 62-103 in connection with the closing of this transaction. A copy of the early warning report filed by Altius will be available under LUR’s profile on SEDAR at www.sedar.com or by contacting Chad Wells, Vice-President, Business Development, Altius Minerals Corporation at Tel. 1-877-576-2206. Altius’ head office is located at 38 Duffy Place, 2nd Floor, St John's, NL A1B 4M5 and LUR’s head office is located at 217 Queen Street West, Suite 401, Toronto, Ontario, M5V OR2.

About Altius

Altius’s strategy is to create per share growth through a diversified portfolio of royalty assets that relate to long life, high margin operations. This strategy further provides shareholders with exposures that are well aligned with sustainability-related global growth trends including the electricity generation transition from fossil fuel to renewables, transportation electrification, reduced emissions from steelmaking and increasing agricultural yield requirements. These macro-trends each hold the potential to cause increased demand for many of Altius’s commodity exposures including copper, renewable based electricity, several key battery metals (lithium, nickel and cobalt), clean iron ore, and potash. In addition, Altius runs a successful Project Generation business that originates mineral projects for sale to developers in exchange for equity positions and royalties. Altius has 41,175,595 common shares issued and outstanding that are listed on Canada’s Toronto Stock Exchange. It is a member of both the S&P/TSX Small Cap and S&P/TSX Global Mining Indices.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220222006236/en/

Chad Wells

Email: Cwells@altiusminerals.com

Tel: 1.877.576.2209

Flora Wood

Email: Fwood@altiusminerals.com

Tel: 1.877.576.2209

Direct: +1(416)346.9020

Source: Altius Minerals Corporation

FAQ

What transaction did Altius Minerals complete on February 22, 2022?

Altius Minerals completed a transaction where its subsidiary, Altius Resources, transferred its uranium projects to Labrador Uranium Inc. in exchange for shares and a royalty.

How many shares did Altius receive from Labrador Uranium?

Altius received 8,000,000 common shares of Labrador Uranium Inc.

What is the significance of the 2% gross overriding royalty for Altius?

The 2% gross overriding royalty provides Altius with ongoing revenue from the future production of the uranium projects.

What percentage of Labrador Uranium's total shares does Altius hold?

Altius holds approximately 16.8% of the issued and outstanding shares of Labrador Uranium.