Under the terms of the agreement, AEM will acquire all of the outstanding shares of Delta for a purchase price of
The Falea project is a polymetallic (uranium, silver, and copper) deposit located in
The sale of the Falea project is part of GoviEx's strategy of focusing on its two advanced mine-permitted projects, Madaouela in
'This is a strategic deal which will allow GoviEx shareholders to maintain a significant interest in the Falea project whilst allowing the Company to concentrate its efforts on the continued exploration and development of its two mine-permitted, advanced stage development uranium projects, Madaouela and Muntanga. Falea is a solid project with fantastic exploration potential and
'We are excited to become involved in the Falea project. It is a polymetallic project with a significant uranium resource. GoviEx will become an important shareholder of
For so long as GoviEx holds at least 10% of the issued and outstanding common shares of AEM, GoviEx will have the right to appoint one director to AEM's board of directors.
Expected Closing
The transaction is expected to close on or before
All dollar amounts referred to in this announcement are stated in Canadian Dollars.
Financial Advisor
About
GoviEx is a mineral resource company focused on the exploration and development of uranium properties in
Contact:
Head of Investor Relations and Corporate Communications
T: +1-604-681-5529
Email: info@goviex.com
Website: www.goviex.com
About
Cautionary Statement Regarding Forward-Looking Statements
Neither
This news release may contain forward-looking information within the meaning of applicable securities laws. All information and statements other than statements of current or historical facts contained in this news release are forward-looking information.
Forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed here and elsewhere in GoviEx's periodic filings with Canadian securities regulators. When used in this news release, words such as 'will', 'could', 'plan', 'estimate', 'expect', 'intend', 'may', 'potential', 'should,' and similar expressions, are forward- looking statements. Information provided in this document is necessarily summarized and may not contain all available material information.
Forward-looking statements include those in relation to, (i) the timing or ability to receive TSXV approval and close the transaction as agreed; (ii) AEM's ability to get to the re-issuance of the Falea licence; and (iii) GoviEx's ability to become a significant uranium producer through the continued exploration and development of its flagship mine-permitted
Although GoviEx believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, there are no assurances that GoviEx's expectations will be achieved. Such assumptions, may prove incorrect.
Factors that could cause actual results to differ materially from expectations include (i) potential delays due to COVID-19 restrictions; (ii) the failure of the Delta projects, for technical, logistical, labour-relations, political factors, the Falea licence not being re-issued by regulators, or other reasons; (iii) a decrease in the price of minerals below what is necessary to sustain operations; (iv) an increase in the cooperating costs of AEM above what is necessary to sustain its operations; (v) accidents, labour disputes,or the materialization of similar risks; (vi) a deterioration in capital market conditions that prevents AEM from raising the funds it requires on a timely basis; and (vii) generally, AEM's inability to develop and implement its respective successful business plans for any reason.
In addition, the factors described or referred to in the section entitled, 'Risk Factors' in the MD&A for the year ended
Although GoviEx has attempted to identify important factors that could cause actual results, performance, or achievements to differ materially from those contained in the forward- looking statements, there can be other factors that cause results, performance, or achievements not to be as anticipated, estimated, or intended. There can be no assurance that such information will prove to be accurate or that management's expectations or estimates of future developments, circumstances, or results will materialize. As a result of these risks and uncertainties, no assurance can be given that any events anticipated by the forward-looking information in this news release will transpire or occur, or, if any of them do so, that GoviEx will derive a benefit therefrom. Accordingly, readers should not place undue reliance on forward-looking statements.
The forward-looking statements in this news release are made as of the date of this news release, and GoviEx disclaims any intention or obligation to update or revise such information, except as required by applicable law.
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