Mr. Peter Berdusco reports
CANADA ONE PROVIDES UPDATE ON MATABITCHUAN COBALT PROJECT, ONTARIO, CANADA
Canada One Mining Corp. has released an update on the acquisition of the Matabitchuan cobalt project previously announced on Aug. 23 and Sept. 6, 2022, pursuant to which the company will acquire the right to earn an interest from arm's-length third parties in the Matabitchuan, Eldridge Pubelow, Cooper and Golden Lake properties.
The company recently commissioned a technical report to be written on the properties. This report is now in its final stage of completion. Once completed, the company will file the report and accompanying transaction documentation with the TSX Venture Exchange.
The transaction represents a fundamental acquisition for the company in accordance with the rules of the TSX Venture Exchange and will replace the proposed transaction involving the Franelle copper project which had been previously identified by the company. The company is currently renegotiating the terms of the Franelle copper project and will provide additional updates as further information becomes available.
In connection with completion of the transaction, it is contemplated that the company will complete a non-brokered private placement of up to $2-million of additional capital to satisfy obligations associated with the transaction, extinguish debt and liabilities and to further develop its properties. Further details of the private placement will be announced at a later date.
Closing of the transaction remains subject to the completion of a technical report in respect of the properties, completion of the offering, and the approval of the TSX Venture Exchange. The transaction cannot be completed until approval of the TSX Venture Exchange is received. Trading in the common shares of the company is currently halted and is expected to remain halted pending completion of further filings with the TSX Venture Exchange.
The Matabitchuan project (9,664 hectares) is located 50 kilometres south of Cobalt, Ont., mining camp, a five-element (cobalt-nickel-silver-copper-plus/minus-gold) vein-style district which became one of the largest silver-producing areas in the world, eventually yielding a total of 460 million ounces (more than 13 million kilograms) of silver. The district contains several known deposits, historically mined, which have been targeted for their cobalt potential.
Despite the project's proximity to this district and the mining towns of Temagami and Silver Centre (abandoned), it has received comparatively little geological or exploration attention over the years.
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