Spearmint to Diversify into Crypto
Rhea-AI Summary
Spearmint Resources Inc. (CSE: SPMT) has announced plans to diversify a portion of its cash holdings into cryptocurrency investments. The company will allocate up to 20% of its cash reserves specifically into Bitcoin, Ethereum, or Solana through a public firm. This strategic move follows what the company perceives as improved crypto sentiment after the Republican Party's victory in the US election. Spearmint maintains its primary focus as a mining company, with notable assets including the McGee lithium clay deposit in Clayton Valley, Nevada, which contains 2,092,000 tonnes of lithium carbonate equivalent (LCE).
Positive
- Company has sufficient cash reserves to consider investment diversification
- Clear investment limit set at 20% of cash holdings
- McGee lithium deposit contains substantial 2,092,000 tonnes LCE resource
Negative
- Deviation from core mining business into volatile crypto markets
- Exposure to cryptocurrency market risks
- Potential shareholder concern over cash allocation to speculative assets
News Market Reaction 1 Alert
On the day this news was published, SPMTF gained 16.56%, reflecting a significant positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Vancouver, British Columbia--(Newsfile Corp. - November 12, 2024) - Spearmint Resources Inc. (CSE: SPMT) (OTC Pink: SPMTF) (FSE: A2AHL5) (the "Company" or "Spearmint") wishes to announce that the board has decided to diversify a portion of the cash on hand into the crypto market.
James Nelson, President of Spearmint stated, "With the Republican Party winning the USA election, the sentiment towards crypto has become much friendlier. We plan to take a portion of the cash on hand and move it into the highest quality portions of the crypto market. Management feels that the longer term prospects of high quality crypto may outperform the banking rates and it makes sense to allocate a portion of our cash on hand to this area."
About Spearmint Resources Inc.
Spearmint's projects include four projects in Clayton Valley, Nevada: the 1,136-acre McGee lithium clay deposit, which has a resource estimate of 1,369,000 indicated tonnes and 723,000 inferred tonnes of lithium carbonate equivalent (LCE) for a total of 2,092,000 tonnes of LCE, directly bordering Pure Energy Minerals & Century Lithium Corp.; the 280-acre Elon lithium brine project, which has access to some of the deepest parts of the only lithium brine basin in production in North America; the 124-acre Green Clay lithium project; and the 248-acre Clayton Ridge gold project.
Cautionary note and disclaimer on the crypto diversification:
Management plans to look at Bitcoin, Ethereum or Solana and will not allocate more than 20 percent of the cash on hand to this plan. Spearmint is a mining company and not an investment issuer and has no plans to pursue that. Management feels that allocating a portion of the cash may benefit the shareholders. All allocated capital will be through a public firm and will not exceed 20 percent.
Qualified person for mining disclosure:
The technical contents of this release were reviewed and approved by Bain, PGeo, a director of the company and qualified person as defined by National Instrument 43-101.
Contact Information
Tel: 1604646-6903
www.spearmintresources.ca
"James Nelson"
President
Spearmint Resources Inc.
The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/229568
FAQ
How much cash will Spearmint Resources (SPMTF) invest in cryptocurrency?
Which cryptocurrencies will Spearmint Resources (SPMTF) invest in?
What is Spearmint Resources' (SPMTF) main lithium resource?
