Kiska Metals Corp. Signs Agreement Regarding Sale of Whistler Project
21.07.2015 | Accesswire
VANCOUVER, BC / ACCESSWIRE / July 21, 2015 / Kiska Metals Corporation ("Kiska" or the "Company") is pleased to announce that it has signed a binding Asset Purchase Agreement ("APA") with Brazil Resources Inc. ("BRI") (TSX VENTURE: BRI) pursuant to which BRI will acquire Kiska's 100% interest in the Whistler Project in Alaska.Under the APA BRI will acquire the Whistler Project, including the mining claims and other assets belonging to the project, in exchange for the issuance of 3,500,000 common shares in the capital of BRI. The BRI common shares will be subject to resale restrictions providing for the release of 25% of the BRI shares at each 5 month anniversary after closing for a period of 20 months. In addition, the parties will enter into a Management Services Agreement whereby Kiska will provide certain management services in respect of the Whistler Project, in consideration for a fee of $10,000 per month, for 15 months following completion of the transaction.
"This transaction greatly increases the Company's flexibility going forward. Kiska will no longer incur any holding or exploration costs, and it retains excellent carried participation in the future upside of the Whistler Project and other projects through its shareholding in BRI," stated Kiska's President Grant Ewing.
The Whistler Project comprises 304 mining claims over an area of 170 km2 in a gold-copper district in central Alaska. It also contains an all-season runway and exploration camp infrastructure. Although Kiska considers the Whistler Project to be an advanced stage exploration project, little exploration has been conducted at Whistler by the Company since 2011 due to market conditions. During this period the Company has been focused on advancing its other partnered projects and acquiring new exploration opportunities under its prospect generator business model.
The transaction is subject to TSX-V acceptance and receipt of required third party consents. No finder's fee is payable by Kiska with respect to this transaction. The transaction was negotiated at arm's length.
About Kiska Metals Corporation
Kiska Metals Corporation is a prospect generator company with a high quality portfolio of gold and copper projects throughout North America. Two of Kiska's projects are held under option agreements with major mining companies. Kiska has several other gold and copper projects available for option-joint venture as well as an extensive royalty portfolio.
On behalf of Kiska Metals Corporation
"Grant Ewing"
Grant Ewing, President & CEO
TEL: 604.669.6660
Neither TSX Venture Exchange nor its Regulation Services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
CAUTIONARY STATEMENT: No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". Other than statements of historical fact, all statements included in this release, including, without limitation, statements regarding future plans and objectives of Kiska Metals Corporation, are forward-looking statements that involve various 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 Kiska's expectations are the risks detailed herein and from time to time in the filings made by Kiska Metals Corporation with securities regulators. Those filings can be found on the Internet at http://www.sedar.com.