Gatling Signs Exploration Agreement with First Nations Groups

Rhea-AI Summary

Gatling Exploration Inc. has announced an Exploration Agreement with Matachewan and Wahgoshig First Nations for its Larder Project, marking a significant partnership step since discussions began over two years ago. The agreement aims to foster cooperation, communication, and opportunities for First Nations businesses in exploration activities. As part of the agreement, Gatling will issue 100,000 common shares and 100,000 stock options to the First Nations Groups at $0.365 per share. The project is located in Ontario’s Abitibi greenstone belt, known for high-grade gold deposits.

Positive

• Formation of a collaborative partnership with First Nations Groups supports community involvement in the Larder Project.
• Issuance of stock options and shares to First Nations fosters goodwill and may enhance project support.
• The project is located in a historically rich area for gold production, promising potential for high returns.

Negative

• None.

VANCOUVER, BC / ACCESSWIRE / July 20, 2021 / GATLING EXPLORATION INC. (TSXV:GTR)(OTCQB:GATGF) (the "Company" or "Gatling) is pleased to announce that it has entered into an Exploration Agreement (the "Agreement") with Matachewan and Wahgoshig First Nations (the "First Nations Groups") relating to the Company's Larder project on January 1, 2019, as amended by Amending Agreement dated January 11, 2021.

The Agreement sets out the framework by which the Company and the First Nations Groups will work together in a spirit of partnership and cooperation to build a positive and mutually beneficial working relationship. Specific objectives of the Agreement include:

• Establishing a cooperative and collaborative working arrangement between the Company and the First Nations Groups;
• Promoting timely dialogue and communication to foster an open, direct and respectful relationship among the parties;
• Establishing a relationship through which the First Nations Groups can identify opportunities for their businesses and citizens to participate in the Company's activities; and
• Enhancing the First Nations Groups' capacity to participate in opportunities related to the exploration activities, which may include training during the life of the project.

Under the terms of the Agreement, the parties will also establish a timetable and commence negotiations toward an Impact Benefit Agreement.

Jason Billan, the Company's CEO, stated, "This major milestone for Gatling marks the culmination of more than two years of relationship building and discussions between the company and the Matachewan and Wahgoshig First Nations, and sets forth a solid foundation for continued cooperation as the Larder project advances further along the value chain. We are pleased to have the Matachewan and Wahgoshig First Nations Groups as positive supporters and key stakeholders of the Larder gold project, with strong alignment to our shareholders. We look forward to laying the groundwork, following the signing of the exploration agreement, as we head towards an Impact Benefit Agreement (IBA) in due course."

Pursuant to the terms of the Agreement, the Company has granted incentive stock options authorizing the purchase of 100,000 common shares (the "Options") to the First Nations Groups. The Options are exercisable at $0.365 per share for a period of three years from the date of grant. The Options have been granted under and are governed by the terms of the Company's incentive stock option plan and are subject to TSX Venture Exchange acceptance.

Also pursuant to the terms of the Agreement, the Company will issue to the First Nations Groups a total of 100,000 common shares, subject to the acceptance of the TSX Venture Exchange.

About Gatling Exploration
Gatling Exploration is a Canadian gold exploration company focused on advancing the Larder Gold Project, located in the prolific Abitibi greenstone belt in Northern Ontario. The Larder property hosts three high-grade gold deposits along the Cadillac-Larder Lake Break, 35 km east of Kirkland Lake. The project is 100% controlled by Gatling and is comprised of patented and unpatented claims, leases and mining licenses of occupation within the McVittie and McGarry Townships. The 3,370 ha project area is positioned 7 km west of the Kerr Addison Mine, which produced 11 million ounces of gold. All parts of the Larder property are accessible by truck or all-terrain vehicles on non-serviced roads and trails.

ON BEHALF OF THE BOARD OF DIRECTORS,
Jason Billan, President and CEO
Gatling Exploration Inc.

For further information on Gatling, contact Investor Relations:
Telephone: 1-888-316-1050
Email: ir@gatlingexploration.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements: Statements contained in this news release that are not historical facts are forward-looking statements, which are subject to a number of known and unknown risks, uncertainness and other factors that may cause the actual results to differ materially from those anticipated in our forward-looking statements. Although we believe that the expectations in our forward-looking statements are reasonable, actual results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.

SOURCE: Gatling Exploration Inc.

View source version on accesswire.com:
https://www.accesswire.com/656202/Gatling-Signs-Exploration-Agreement-with-First-Nations-Groups

FAQ

What is the significance of Gatling Exploration's agreement with First Nations Groups?

The agreement fosters collaboration and community engagement, enhancing opportunities for local participation in the Larder Project.

What are the terms of the stock options granted to First Nations Groups by Gatling Exploration?

Gatling Exploration granted 100,000 stock options at $0.365 per share, exercisable for three years.

Where is Gatling Exploration's Larder Project located?

The Larder Project is located in the Abitibi greenstone belt in Northern Ontario, a region known for gold deposits.

When did Gatling Exploration enter into the Exploration Agreement with First Nations?

The Exploration Agreement was initially entered into on January 1, 2019, and amended on January 11, 2021.

What are the expected benefits of the Exploration Agreement for First Nations?

The agreement aims to enhance business opportunities, promote training, and establish a positive working relationship in exploration activities.