Talon Metals to Option Its Boulderdash and Roland Nickel-Copper Targets in Michigan to Lundin Mining
Talon Metals (TLOFF) has entered into an exclusivity agreement with Lundin Mining for potential 70% ownership in the Boulderdash and Roland exploration targets near Lundin's Eagle Mine. Lundin has advanced $5M to Talon to commence drilling once the Option Agreement is finalized.
The agreement covers 33,000 acres of Talon's 400,000-acre Michigan Land Package. Key terms include:
- Lundin to fund up to 30,000 meters of drilling
- After each 10,000 meters, Lundin can decide to proceed with earn-in
- Once Talon earns 51% interest in Michigan Land Package, Lundin will earn 44.625% interest in Optioned Properties
- Lundin can earn additional 25.375% (total 70%) by funding feasibility study
- Talon will retain 10% ownership
If no agreement is reached by March 31, 2025, Talon will either repay $5M or issue equivalent shares based on 5-day VWAP on TSX.
Talon Metals (TLOFF) ha stipulato un accordo di esclusività con Lundin Mining per una potenziale partecipazione del 70% nei target esplorativi Boulderdash e Roland, vicino alla Eagle Mine di Lundin. Lundin ha anticipato 5 milioni di dollari a Talon per iniziare le perforazioni una volta finalizzato l'Accordo di Opzione.
L'accordo copre 33.000 acri del pacchetto di terreni di Talon di 400.000 acri in Michigan. I termini chiave includono:
- Lundin finanzierà fino a 30.000 metri di perforazione
- Dopo ogni 10.000 metri, Lundin può decidere di procedere con l'acquisizione
- Una volta che Talon acquisisce il 51% di interesse nel pacchetto di terreni del Michigan, Lundin acquisirà il 44,625% di interesse nelle proprietà opzionate
- Lundin può guadagnare un ulteriore 25,375% (per un totale del 70%) finanziando uno studio di fattibilità
- Talon manterrà il 10% di proprietà
Se non viene raggiunto un accordo entro il 31 marzo 2025, Talon rimborserà 5 milioni di dollari o emetterà azioni equivalenti basate sul VWAP a 5 giorni sulla TSX.
Talon Metals (TLOFF) ha firmado un acuerdo de exclusividad con Lundin Mining para una posible propiedad del 70% en los objetivos de exploración Boulderdash y Roland, cerca de la Eagle Mine de Lundin. Lundin ha adelantado 5 millones de dólares a Talon para comenzar la perforación una vez que se finalice el Acuerdo de Opción.
El acuerdo abarca 33,000 acres del paquete de tierras de Talon de 400,000 acres en Michigan. Los términos clave incluyen:
- Lundin financiará hasta 30,000 metros de perforación
- Después de cada 10,000 metros, Lundin puede decidir proceder con la adquisición
- Una vez que Talon obtenga el 51% de interés en el paquete de tierras de Michigan, Lundin obtendrá el 44.625% de interés en las propiedades opcionales
- Lundin puede ganar un 25.375% adicional (total del 70%) al financiar un estudio de viabilidad
- Talon retendrá el 10% de propiedad
Si no se llega a un acuerdo antes del 31 de marzo de 2025, Talon reembolsará 5 millones de dólares o emitirá acciones equivalentes basadas en el VWAP de 5 días en la TSX.
탈론 메탈스 (TLOFF)는 룬딘 마이닝과 룬딘의 이글 마인 근처에 있는 볼더대시 및 롤랜드 탐사 목표에 대한 70% 소유권을 위한 독점 계약을 체결했습니다. 룬딘은 옵션 계약이 최종화되면 시추를 시작하기 위해 탈론에 500만 달러를 선불했습니다.
이 계약은 탈론의 400,000에이커 미시간 토지 패키지 중 33,000에이커를 포함합니다. 주요 조건은 다음과 같습니다:
- 룬딘은 최대 30,000미터의 시추 비용을 지원합니다
- 10,000미터마다 룬딘은 인수 진행 여부를 결정할 수 있습니다
- 탈론이 미시간 토지 패키지에서 51%의 이익을 얻으면 룬딘은 옵션 재산에서 44.625%의 이익을 얻습니다
- 룬딘은 타당성 조사 자금을 지원함으로써 추가 25.375% (총 70%)를 얻을 수 있습니다
- 탈론은 10%의 소유권을 유지합니다
2025년 3월 31일까지 합의가 이루어지지 않으면 탈론은 500만 달러를 상환하거나 TSX에서 5일 VWAP에 따라 동등한 주식을 발행합니다.
Talon Metals (TLOFF) a conclu un accord d'exclusivité avec Lundin Mining pour une éventuelle propriété de 70% des cibles d'exploration Boulderdash et Roland, près de la mine Eagle de Lundin. Lundin a avancé 5 millions de dollars à Talon pour commencer le forage une fois que l'Accord d'Option sera finalisé.
L'accord couvre 33 000 acres du paquet foncier de Talon de 400 000 acres dans le Michigan. Les principaux termes incluent :
- Lundin financera jusqu'à 30 000 mètres de forage
- Après chaque 10 000 mètres, Lundin peut décider de poursuivre l'acquisition
- Une fois que Talon obtient 51% d'intérêt dans le paquet foncier du Michigan, Lundin obtiendra 44,625% d'intérêt dans les propriétés optionnées
- Lundin peut gagner un 25,375% supplémentaire (soit un total de 70%) en finançant une étude de faisabilité
- Talon conservera 10% de propriété
Si aucun accord n'est atteint d'ici le 31 mars 2025, Talon remboursera 5 millions de dollars ou émettra des actions équivalentes basées sur le VWAP de 5 jours sur la TSX.
Talon Metals (TLOFF) hat einen Exklusivvertrag mit Lundin Mining über eine potenzielle 70%ige Beteiligung an den Explorationszielen Boulderdash und Roland in der Nähe der Eagle Mine von Lundin abgeschlossen. Lundin hat Talon 5 Millionen Dollar vorab zur Verfügung gestellt, um mit den Bohrungen zu beginnen, sobald der Optionsvertrag finalisiert ist.
Der Vertrag umfasst 33.000 Acres des 400.000 Acres großen Michigan-Landpakets von Talon. Zu den wichtigsten Bedingungen gehören:
- Lundin finanziert bis zu 30.000 Meter Bohrungen
- Nach jeweils 10.000 Metern kann Lundin entscheiden, ob er mit der Earn-in fortfahren möchte
- Sobald Talon 51% Interesse am Michigan-Landpaket erwirbt, erhält Lundin 44,625% Interesse an den optionalen Immobilien
- Lundin kann zusätzliche 25,375% (insgesamt 70%) verdienen, indem er eine Machbarkeitsstudie finanziert
- Talon behält 10% Eigentum
Wenn bis zum 31. März 2025 keine Einigung erzielt wird, wird Talon entweder 5 Millionen Dollar zurückzahlen oder gleichwertige Aktien basierend auf dem 5-Tage-VWAP an der TSX ausgeben.
- Received $5M advance payment from Lundin Mining
- Potential to become cashflow positive after Option Agreement signing
- Strategic partnership with established mining company Lundin Mining
- Drilling and feasibility study to be funded by partner
- Potential significant ownership dilution in Optioned Properties (up to 70%)
- Risk of share dilution if $5M advance payment needs to be converted to equity
L'Anse, Michigan--(Newsfile Corp. - March 5, 2025) - Talon Metals Corp. (TSX: TLO) (OTC Pink: TLOFF) ("Talon" or the "Company") is pleased to announce that it has entered into an exclusivity agreement with Lundin Mining Corporation ("Lundin Mining") as the parties negotiate an earn-in agreement (the "Option Agreement") pursuant to which Lundin Mining may acquire up to a
Lundin Mining has advanced Talon US
In the event that Talon and Lundin Mining do not enter into the Option Agreement for any reason by March 31, 2025 (or such earlier or later date as agreed between the parties), Talon will at its sole election either, (i) repay the Advance Payment in cash, or (ii) issue Lundin Mining that number of common shares of Talon (the "Talon Shares") equal to the Advance Payment at a deemed price per Talon Share based on the 5-day volume weighted average trading price of the Talon Shares on the TSX at such time. The issuance of common shares of Talon is subject to receipt of the approval of the TSX and the satisfaction of other customary closing conditions.
This announcement builds on Talon's exploration success with its discovery at Boulderdash in October 2024 and additional successful drilling (see the Company's press releases dated October 24, 2024 and February 27, 2025). The Optioned Properties consist of approximately 33,000 acres out of Talon's over 400,000 acre mineral package in Michigan's Upper Peninsula (the "Michigan Land Package").
Proposed Option Agreement Terms
The proposed Option Agreement is expected to contain the following terms:
- Talon will provide Lundin Mining with the right to acquire up to a
70% ownership interest in the Optioned Properties.
Lundin Mining will agree to fund up to 30,000 meters of Talon's drilling campaign at the Optioned Properties.
After each 10,000 meters of drilling by Talon on the Optioned Properties, Lundin Mining will have the election whether or not to proceed further with their earn-in.
Talon is currently earning up to an
80% interest in the Michigan Land Package (which includes the Optioned Properties) from UPX Minerals Inc. (a wholly-owned subsidiary of Sweetwater Royalties). Once Talon has earned a51% interest in the Michigan Land Package that is expected to be fulfilled by the drilling Talon will do on the Optioned Properties with Lundin Mining, Lundin Mining will earn a44.625% interest solely in the Optioned Properties.Following the completion of 30,000 meters of drilling on the Optioned Properties, Lundin Mining may fund a feasibility study in respect of any portion of the Optioned Properties in exchange for an additional
25.375% interest, for a total ownership of70% in the Optioned Properties. Talon will retain a10% ownership interest in the Optioned Properties, with the remainder owned by UPX Minerals.
"Talon continues to respond to the call for responsible production of critical minerals in the United States, specifically nickel for defence and national security purposes. The proposed transaction with Lundin Mining is part of Talon's strategy to continue to build Talon's integrated drilling and geophysics business to generate cashflow to progress the feasibility study and permitting of the Tamarack Mining Project in Minnesota and its Battery Minerals Processing Facility in North Dakota. Once the Option Agreement is signed, Talon expects to be cashflow positive, which is a rare achievement for a junior exploration and mine development company," said Henri van Rooyen, Talon's CEO.
ABOUT TALON
Talon is a TSX-listed base metals company in a joint venture with Rio Tinto on the high-grade Tamarack Nickel-Copper-Cobalt Project located in central Minnesota. Talon's shares are also traded in the US over the OTC market under the symbol TLOFF. The Tamarack Nickel Project comprises a large land position (18km of strike length) with additional high-grade intercepts outside the current resource area. Talon has an earn-in right to acquire up to
For additional information on Talon, please visit the Company's website at www.talonmetals.com or contact:
| Media Contact: Cody Mayer (218) 460-9968 mayer@talonmetals.com | Investor Contact: Mike Kicis 1 (647) 968-0060 kicis@talonmetals.com |
FORWARD-LOOKING STATEMENTS
This news release contains certain "forward-looking statements". All statements, other than statements of historical fact that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Such forward-looking statements include statements relating to the terms of the Option Agreement, whether Talon will enter into the Option Agreement, if Talon Shares will be issued and TSX approval relating thereto, potential positive cash flows to Talon, Talon's strategy regarding drilling and geophysics business, and completion of the royalty earn-in in respect of Sweetwater. Forward-looking statements are subject to significant risks and uncertainties including required consents, the risk that the negotiations in respect of the Option Agreement will break down and the Option Agreement will not be entered into, the drilling results on the Optioned Properties may not be positive and other factors that could cause the actual results to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company.
Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/243484
FAQ
What are the key terms of Talon Metals (TLOFF) option agreement with Lundin Mining?
How much did Lundin Mining advance to Talon Metals (TLOFF) and what happens if no agreement is reached?
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How will Lundin Mining's ownership in TLOFF's Optioned Properties be structured?
