ISOENERGY AND FUTURE FUELS COMPLETE TRANSACTION RELATED TO MOUNTAIN LAKE PROPERTY IN NUNAVUT
IsoEnergy (ISENF) and Future Fuels have completed their previously announced transaction where Future Fuels acquired IsoEnergy's Mountain Lake Project in Nunavut, Canada. The property covers 5,625 hectares in the Hornby Bay Basin. As compensation, Future Fuels issued 12.5 million common shares to IsoEnergy upfront, with an additional 2.5 million shares to be issued later.
The deal includes a 2% net smelter returns royalty on the Mountain Lake Property (1% repurchasable for $1 million) and a 1% royalty on Future Fuels' other Nunavut properties. The shares are subject to lock-up restrictions over 18 months, with 25% released every six months. IsoEnergy gains board nomination rights and participation rights in future equity financings while maintaining 10% or more ownership.
IsoEnergy (ISENF) e Future Fuels hanno completato la transazione precedentemente annunciata in cui Future Fuels ha acquisito il Mountain Lake Project di IsoEnergy in Nunavut, Canada. La proprietà si estende su 5.625 ettari nella Hornby Bay Basin. Come compenso, Future Fuels ha emesso 12,5 milioni di azioni ordinarie a IsoEnergy in anticipo, con ulteriori 2,5 milioni di azioni da emettere successivamente.
Il contratto include una royalty del 2% sui proventi netti delle fonderie sulla Mountain Lake Property (1% riacquistabile per 1 milione di dollari) e una royalty dell'1% sulle altre proprietà di Nunavut di Future Fuels. Le azioni sono soggette a restrizioni di lock-up per 18 mesi, con il 25% rilasciato ogni sei mesi. IsoEnergy ottiene diritti di nomina nel consiglio e diritti di partecipazione in future finanziamenti azionari mantenendo una proprietà del 10% o più.
IsoEnergy (ISENF) y Future Fuels han completado la transacción previamente anunciada en la que Future Fuels adquirió el Mountain Lake Project de IsoEnergy en Nunavut, Canadá. La propiedad abarca 5,625 hectáreas en la cuenca de Hornby Bay. Como compensación, Future Fuels emitió 12.5 millones de acciones comunes a IsoEnergy por adelantado, con 2.5 millones de acciones adicionales a emitirse más tarde.
El acuerdo incluye un royalty del 2% sobre los ingresos netos de las fundiciones en la propiedad de Mountain Lake (1% recomprable por 1 millón de dólares) y un royalty del 1% sobre otras propiedades de Nunavut de Future Fuels. Las acciones están sujetas a restricciones de lock-up durante 18 meses, con el 25% liberado cada seis meses. IsoEnergy obtiene derechos de nominación en la junta y derechos de participación en futuras financiaciones de capital mientras mantiene una propiedad del 10% o más.
IsoEnergy (ISENF)와 Future Fuels는 Future Fuels가 캐나다 누나부트에 있는 IsoEnergy의 Mountain Lake Project를 인수하는 거래를 완료했습니다. 이 부지는 Hornby Bay Basin에 5,625헥타르에 걸쳐 있습니다. 보상으로 Future Fuels는 IsoEnergy에 1,250만 주의 보통주를 선지급했으며, 이후 추가로 250만 주를 발행할 예정입니다.
이번 거래에는 Mountain Lake Property에 대한 2% 순광산 수익 로열티가 포함되어 있으며 (1%는 100만 달러에 재매입 가능) Future Fuels의 다른 누나부트 자산에 대한 1% 로열티도 포함됩니다. 이 주식은 18개월 동안의 락업 제한을 받으며, 매 6개월마다 25%가 해제됩니다. IsoEnergy는 이사회 후보 지명권과 향후 자본 조달에 대한 참여권을 얻으며 10% 이상의 소유권을 유지합니다.
IsoEnergy (ISENF) et Future Fuels ont finalisé leur transaction précédemment annoncée, dans laquelle Future Fuels a acquis le projet Mountain Lake d'IsoEnergy au Nunavut, Canada. La propriété couvre 5 625 hectares dans le bassin de Hornby Bay. En compensation, Future Fuels a émis 12,5 millions d'actions ordinaires à IsoEnergy à l'avance, avec 2,5 millions d'actions supplémentaires à émettre ultérieurement.
L'accord comprend une royalty de 2 % sur les retours nets de fonderie sur la propriété de Mountain Lake (1 % rachetable pour 1 million de dollars) et une royalty de 1 % sur les autres propriétés de Future Fuels au Nunavut. Les actions sont soumises à des restrictions de lock-up pendant 18 mois, avec 25 % libérés tous les six mois. IsoEnergy obtient des droits de nomination au conseil d'administration et des droits de participation dans les futurs financements en actions tout en maintenant une propriété de 10 % ou plus.
IsoEnergy (ISENF) und Future Fuels haben die zuvor angekündigte Transaktion abgeschlossen, bei der Future Fuels das Mountain Lake Project von IsoEnergy in Nunavut, Kanada, übernommen hat. Das Grundstück umfasst 5.625 Hektar im Hornby Bay Basin. Als Entschädigung hat Future Fuels 12,5 Millionen Stammaktien im Voraus an IsoEnergy ausgegeben, mit weiteren 2,5 Millionen Aktien, die später ausgegeben werden.
Das Geschäft umfasst eine 2% Netto-Schmelz-Rücklaufroyalty auf das Mountain Lake Property (1% rückkaufbar für 1 Million Dollar) und eine 1% Royalty auf die anderen Nunavut-Immobilien von Future Fuels. Die Aktien unterliegen einer Lock-up-Beschränkung von 18 Monaten, wobei alle sechs Monate 25% freigegeben werden. IsoEnergy erhält das Recht zur Nominierung im Vorstand und Teilnahmerechte an zukünftigen Eigenkapitalfinanzierungen, während es 10% oder mehr Eigentum beibehält.
- Acquisition of strategic Mountain Lake Property adds 5,625 hectares to Future Fuels' portfolio
- IsoEnergy receives significant equity stake (21.36%) in Future Fuels
- Secured 2% net smelter royalty on Mountain Lake Property and 1% on other Future Fuels' Nunavut properties
- Gained board nomination rights and future equity participation rights
- Lock-up restrictions limit IsoEnergy's ability to sell shares for 18 months
- Share issuance subject to 4-month statutory hold period
Rob Leckie, CEO and director of Future Fuels, commented: "We are thrilled to complete this transformational acquisition of the Mountain Lake Property, marking an exciting new chapter for Future Fuels. The Mountain Lake Property is located in a highly prospective region, and we look forward to unlocking its full potential with our planned exploration programs. Our team is eager to update the market on our progress as we advance exploration and development in the coming months."
Transaction Details
Pursuant to the APA, Future Fuels acquired the Mountain Lake Property from IsoEnergy in exchange for consideration comprised of:
- the issuance to IsoEnergy of 12,500,000 Common Shares (the "Upfront Shares") on closing of the Transaction (the "Closing");
- the future issuance to IsoEnergy of 2,500,000 Common Shares (the "Deferred Shares", and together with the Upfront Shares, the "Consideration Shares") on the earliest date practicable following Closing that will ensure that such issuance will not result in IsoEnergy owning or controlling more than
19.9% of the outstanding Common Shares on a partially-diluted basis; and - the grant by Future Fuels to IsoEnergy at the Closing of: (a) a
2% net smelter returns royalty, payable on all production from the Mountain Lake Property, of which1% will be eligible for repurchase by Future Fuels for$1,000,000 1% net smelter returns royalty, payable on all production from Future Fuels' properties inNunavut other than the Mountain Lake Property (collectively, the "Net Smelter Royalties"). The Net Smelter Royalties were granted pursuant to royalty agreements between the Companies entered into concurrently with the Closing.
- the issuance to IsoEnergy of 12,500,000 Common Shares (the "Upfront Shares") on closing of the Transaction (the "Closing");
The Upfront Shares are subject to contractual restrictions on resale (the "Lock-Up Restrictions") beginning from the date of Closing, as well as a statutory hold period of four months and one day (the "Statutory Restriction") from the date of Closing. The Deferred Shares, when issued, will be subject to the same Lock-Up Restrictions and the Statutory Restriction beginning from the date of issuance of the Deferred Shares.
In accordance with the Lock-Up Restrictions, IsoEnergy may not sell, pledge, encumber, assign or otherwise dispose of or transfer the Consideration Shares until they become free-trading in accordance with the release schedule, whereby
In connection with Closing, the Companies have also entered into an investor rights agreement dated February 14, 2025, which provides IsoEnergy, for so long as IsoEnergy owns
In addition, as previously announced in Future Fuels' news release dated December 19, 2024, Future Fuels closed the first tranche of its concurrent private placement on December 19, 2024. Future Fuels has closed the concurrent private placement and will not issue additional securities under a second tranche.
Early Warning Disclosure
Prior to the completion of the Transaction, IsoEnergy held no securities of Future Fuels. Following completion of the Transaction, IsoEnergy beneficially owns 12,500,000 Upfront Shares and is deemed to beneficially own the 2,500,000 Deferred Shares, representing approximately
While IsoEnergy currently has no plans or intentions with respect to the Common Shares, IsoEnergy may develop such plans or intentions in the future and, at such time, 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 Common Shares or other securities of Future Fuels based on market conditions, general economic and industry conditions, trading prices of Future Fuels' securities, Future Fuels' business, financial condition and prospects and/or other relevant factors.
A copy of the early warning report filed by IsoEnergy will be available under Future Fuels' profile on SEDAR+ at www.sedarplus.ca or by contacting Graham du Preez, Chief Financial Officer of IsoEnergy, at 306-373-6399. IsoEnergy's head office is located at 217 Queen St. West, Suite 401,
About IsoEnergy Ltd.
IsoEnergy Ltd. (TSX: ISO) (OTCQX: ISENF) is a leading, globally diversified uranium company with substantial current and historical mineral resources in top uranium mining jurisdictions of
IsoEnergy also holds a portfolio of permitted, past-producing conventional uranium and vanadium mines in
About Future Fuels Inc.
Future Fuels' principal asset is the Hornby Uranium Project, covering the entire 3,407 km²
X: @FutureFuelsInc
www.futurefuelsinc.com
Forward-Looking Statements
The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this release. Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking statements and other statements that are not historical facts. Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact included in this news release are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Companies' expectations include but are not limited to market conditions and the risks detailed from time to time in the filings made by the Companies with securities regulators. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Companies. The reader is cautioned not to place undue reliance on any forward-looking information, including, but not limited to, statements regarding the Transaction and the Mountain Lake Property, including the anticipated benefits thereof, the issuance of the Deferred Shares, the appointment of a nominee director or exercise of participation rights by IsoEnergy under the Investor Rights Agreement, the prospects of Future Fuels' newly acquired mineral claims, which are not at an advanced stage of development, Future Fuels' anticipated business and operational activities, and Future Fuels' plans with respect to the exploration of the Mountain Lake Property. Factors that could cause actual results to vary from forward-looking statements or may affect the operations, performance, development and results of Future Fuels' business include, among other things, Future Fuels' ability to generate sufficient cash flow to meet its current and future obligations; that mineral exploration is inherently uncertain and may be unsuccessful in achieving the desired results; that mineral exploration plans may change and be re-defined based on a number of factors, many of which are outside of Future Fuels' control; Future Fuels' ability to access sources of debt and equity capital; competitive factors, pricing pressures and supply and demand in the Companies' industry; and general economic and business factors. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Companies will update or revise publicly any of the included forward-looking statements as expressly required by applicable law.
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SOURCE IsoEnergy Ltd.
FAQ
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