District Closes Acquisition of the 2.0% NSR Royalty on the Viken Energy Metals Deposit in Sweden
District Metals Corp. (DMXCF) has completed the acquisition of a 2.0% net smelter returns (NSR) royalty covering four mineral licences (Norra Leden, Norr Viken, Lill Viken, and Storviken) at the Viken Deposit in Sweden. The transaction was completed through the issuance of 500,000 common shares, subject to a 4-month hold period.
This acquisition follows the company's full consolidation of the Viken Energy Metals Deposit in January 2024, resulting in the deposit now being completely free of any NSR royalty. The Viken Deposit, located in Jämtland County, contains Alum Shales rich in critical energy metals including uranium, vanadium, nickel, molybdenum, copper, zinc, and rare earth elements. The deposit also shows potential for sulphate of potash production, which could benefit the agricultural sector in Sweden and Europe.
District Metals Corp. (DMXCF) ha completato l'acquisizione di una royalty netta del 2,0% sulle rendite di fusione (NSR) che copre quattro licenze minerarie (Norra Leden, Norr Viken, Lill Viken e Storviken) presso il deposito Viken in Svezia. La transazione è stata completata tramite l'emissione di 500.000 azioni ordinarie, soggette a un periodo di attesa di 4 mesi.
Questa acquisizione segue la completa consolidazione da parte della società del deposito di metalli energetici Viken a gennaio 2024, il che ha portato il deposito a essere ora completamente esente da qualsiasi royalty NSR. Il deposito Viken, situato nella contea di Jämtland, contiene scisti di alluminio ricchi di metalli energetici critici tra cui uranio, vanadio, nichel, molibdeno, rame, zinco e terre rare. Il deposito mostra anche potenziale per la produzione di solfato di potassio, che potrebbe giovare al settore agricolo in Svezia e in Europa.
District Metals Corp. (DMXCF) ha completado la adquisición de una regalía neta del 2.0% sobre los ingresos de fundición (NSR) que abarca cuatro licencias minerales (Norra Leden, Norr Viken, Lill Viken y Storviken) en el Depósito Viken en Suecia. La transacción se realizó mediante la emisión de 500,000 acciones comunes, sujeta a un período de bloqueo de 4 meses.
Esta adquisición sigue a la consolidación completa por parte de la empresa del Depósito de Metales Energéticos Viken en enero de 2024, lo que ha llevado a que el depósito ahora esté completamente libre de cualquier regalía NSR. El Depósito Viken, ubicado en el condado de Jämtland, contiene esquistos de alúmina ricos en metales energéticos críticos como uranio, vanadio, níquel, molibdeno, cobre, zinc y elementos de tierras raras. El depósito también muestra potencial para la producción de sulfato de potasa, lo que podría beneficiar al sector agrícola en Suecia y Europa.
District Metals Corp. (DMXCF)는 스웨덴 비켄 매장지의 네 개의 광물 라이센스(Norra Leden, Norr Viken, Lill Viken 및 Storviken)에 대한 2.0% 순 제련 수익(NSR) 로열티 인수를 완료했습니다. 이 거래는 500,000주 보통주 발행을 통해 완료되었으며, 4개월의 유예 기간이 적용됩니다.
이번 인수는 회사가 2024년 1월에 비켄 에너지 금속 매장지를 완전하게 통합한 후 이루어졌으며, 이제 매장지는 어떠한 NSR 로열티에서도 완전히 자유롭습니다. 예멘란드 카운티에 위치한 비켄 매장지는 우라늄, 바나듐, 니켈, 몰리브덴, 구리, 아연 및 희귀 원소를 포함한 주요 에너지 금속이 풍부한 알루미늄 셰일을 포함하고 있습니다. 이 매장지는 농업 부문에 유익할 수 있는 규산칼리 생산의 잠재력도 보여줍니다.
District Metals Corp. (DMXCF) a finalisé l'acquisition d'une redevance nette de 2,0 % sur les recettes de fonderie (NSR) couvrant quatre permis miniers (Norra Leden, Norr Viken, Lill Viken et Storviken) au dépôt de Viken en Suède. La transaction a été réalisée par l'émission de 500 000 actions ordinaires, soumises à une période de blocage de 4 mois.
Cette acquisition fait suite à la consolidation complète par la société du dépôt d'énergie métaux Viken en janvier 2024, ce qui a entraîné l'absence totale de toute redevance NSR. Le dépôt de Viken, situé dans le comté de Jämtland, contient des schistes alumineux riches en métaux essentiels à l'énergie, tels que l'uranium, le vanadium, le nickel, le molybdène, le cuivre, le zinc et les terres rares. Le dépôt présente également un potentiel pour la production de sulfate de potasse, ce qui pourrait bénéficier au secteur agricole en Suède et en Europe.
District Metals Corp. (DMXCF) hat den Erwerb einer 2,0%igen Netto-Gießerlös-(NSR)-Royalties für vier Mineral-Lizenzen (Norra Leden, Norr Viken, Lill Viken und Storviken) im Viken-Vorkommen in Schweden abgeschlossen. Die Transaktion wurde durch die Ausgabe von 500.000 Stammaktien durchgeführt, die einer 4-monatigen Sperrfrist unterliegen.
Dieser Erwerb folgt auf die vollständige Konsolidierung des Viken Energy Metals Deposits durch das Unternehmen im Januar 2024, wodurch das Vorkommen nun vollständig frei von jeglicher NSR-Royalty ist. Das Viken-Vorkommen, das sich in der Provinz Jämtland befindet, enthält Aluminiumschiefer, die reich an kritischen Energien-Metallen wie Uran, Vanadium, Nickel, Molybdän, Kupfer, Zink und seltenen Erden sind. Das Vorkommen zeigt auch Potenzial für die Produktion von Kaliumsulfat, was dem Agrarsektor in Schweden und Europa zugutekommen könnte.
- Elimination of 2.0% NSR royalty burden on the Viken Deposit
- Full consolidation of ownership of the Viken Energy Metals Deposit
- Deposit contains multiple critical energy metals for green transition
- Potential for sulphate of potash production
- Share dilution through issuance of 500,000 common shares
- Historical drilling data not independently verified by the company
Vancouver, British Columbia--(Newsfile Corp. - February 3, 2025) - District Metals Corp. (TSXV: DMX) (Nasdaq First North: DMXSE SDB) (OTCQB: DMXCF) (FSE: DFPP); ("District" or the "Company") is pleased to announce that it has closed its previously announced acquisition of the
Pursuant to the definitive royalty purchase agreement, District acquired the
Garrett Ainsworth, CEO of District, commented: "In January 2024, District completed the full consolidation of the Viken Energy Metals Deposit and has now closed the acquisition to eliminate all NSR royalties tied to the deposit.
The Viken Deposit is hosted within Alum Shales, which are rich in critical and important energy metals crucial for the green energy transition, such as uranium, vanadium, nickel, molybdenum, copper, zinc, and rare earth elements. Moreover, the Alum Shales hold the potential for significant production of sulphate of potash, a valuable resource that would greatly benefit the agriculture-driven economy of Jämtland County, Sweden, and Europe.
This acquisition comes after the Swedish Government's release of their inquiry report on lifting the uranium moratorium, along with a supportive press release, which we have commented on here."
Technical Information
All scientific and technical information in this news release has been prepared by, or approved by Garrett Ainsworth, PGeo, President and CEO of the Company. Mr. Ainsworth is a qualified person for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects.
Drilling data disclosed in this news release relates to historical drilling results. District has not undertaken any independent investigation of the sampling, nor has it independently analyzed the results of the historical exploration work in order to verify the results. District considers these historical drill results relevant as the Company is using this data as a guide to plan exploration programs. The Company's current and future exploration work includes verification of the historical data through drilling.
About District Metals Corp.
District Metals Corp. is led by industry professionals with a track record of success in the mining industry. The Company's mandate is to seek out, explore, and develop prospective mineral properties through a disciplined science-based approach to create shareholder value and benefit other stakeholders.
District is a polymetallic exploration and development company focused on the Viken and Tomtebo Properties in Sweden. The Viken Property covers
The advanced exploration stage Tomtebo Property is located in the Bergslagen Mining District of south-central Sweden and is situated between the historic Falun Mine and Boliden's Garpenberg Mine that are located 25 km to the northwest and southeast, respectively. Two historic polymetallic mines and numerous polymetallic showings are located on the Tomtebo Property along an approximate 17 km trend that exhibits similar geology, structure, alteration and VMS/SedEx style mineralization as other significant mines within the district.
For further information on the Tomtebo Property, please see the technical report entitled "NI 43-101 Update Technical Report on the Tomtebo Project, Bergslagen Region of Sweden" dated effective October 15, 2020 and amended and restated on February 26, 2021, which is available on SEDAR+ at www.sedarplus.ca.
On Behalf of the Board of Directors
"Garrett Ainsworth"
President and Chief Executive Officer
(604) 288-4430
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statement Regarding "Forward-Looking Information"
This news release contains certain statements that may be considered "forward-looking information" with respect to the Company within the meaning of applicable securities laws. In some cases, but not necessarily in all cases, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "targets", "expects" or "does not expect", "is expected", "an opportunity exists", "is positioned", "estimates", "intends", "assumes", "anticipates" or "does not anticipate" or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", "will" or "will be taken", "occur" or "be achieved" and any similar expressions. In addition, any statements that refer to expectations, predictions, indications, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management's expectations, estimates and projections regarding future events. Forward-looking information in this news release relating to the Company include, among other things, statements relating to the Company's Swedish polymetallic properties; the Company's planned exploration activities, including its drill target strategy and next steps for the Swedish properties; and the Company's interpretations and expectations about the results on the Swedish properties.
These statements and other forward-looking information are based on opinions, assumptions and estimates made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that the Company believes are appropriate and reasonable in the circumstances, as of the date of this news release, including, without limitation, assumptions about the reliability of historical data and the accuracy of publicly reported information regarding past and historic mines in the Bergslagen district; and in respect of the Swedish properties; that the Swedish government will eventually lift or amend its moratorium on uranium exploration and mining in Sweden; the Company's ability to raise sufficient capital to fund planned exploration activities, maintain corporate capacity; and stability in financial and capital markets.
Forward-looking information is necessarily based on a number of opinions, assumptions and estimates that, while considered reasonable by the Company as of the date such statements are made, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to risks associated with the following: the reliability of historic data on District's properties; the Company's ability to raise sufficient capital to finance planned exploration; that the Swedish government maintains its moratorium on uranium exploration and mining in Sweden for the foreseeable future; the Company's limited operating history; the Company's negative operating cash flow and dependence on third-party financing; the uncertainty of additional funding; the uncertainties associated with early stage exploration activities including general economic, market and business conditions, the regulatory process, failure to obtain necessary permits and approvals, technical issues, potential delays, unexpected events and management's capacity to execute and implement its future plans; the Company's ability to identify any mineral resources and mineral reserves; the substantial expenditures required to establish mineral reserves through drilling and the estimation of mineral reserves or mineral resources; the uncertainty of estimates used to calculated mineralization figures; changes in governmental regulations; compliance with applicable laws and regulations; competition for future resource acquisitions and skilled industry personnel; reliance on key personnel; title matters; conflicts of interest; environmental laws and regulations and associated risks, including climate change legislation; land reclamation requirements; changes in government policies; volatility of the Company's share price; the unlikelihood that shareholders will receive dividends from the Company; potential future acquisitions and joint ventures; infrastructure risks; fluctuations in demand for, and prices of metals; fluctuations in foreign currency exchange rates; legal proceedings and the enforceability of judgments; going concern risk; risks related to the Company's information technology systems and cyber-security risks; and risk related to the outbreak of epidemics or pandemics or other health crises. For additional information regarding these risks, please see the Company's Annual Information Form dated July 11, 2022 for the fiscal year ended June 30, 2021, under the heading "Risk Factors", which is available at www.sedarplus.ca. These factors and assumptions are not intended to represent a complete list of the factors and assumptions that could affect the Company. These factors and assumptions, however, should be considered carefully. Although the Company has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in the forward-looking information or information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Also, many of such factors are beyond the control of the Company. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information is made as of the date of this news release, and the Company assumes no obligation to publicly update or revise such forward-looking information, except as required by applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/239352
FAQ
What did District Metals (DMXCF) acquire in the February 2024 transaction?
How many shares did DMXCF issue for the Viken NSR royalty acquisition?
What minerals are present in the DMXCF Viken Deposit?
When did District Metals complete the full consolidation of the Viken Energy Metals Deposit?
