The information contained within
this announcement is deemed to constitute inside information as
stipulated under the retained EU law version of the Market Abuse
Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law
by virtue of the European Union (Withdrawal) Act 2018. The
information is disclosed in accordance with the Company's
obligations under Article 17 of the UK MAR. Upon the publication of
this announcement, this inside information is now considered to be
in the public domain.
22 April 2024
Technology Minerals Plc
("Technology Minerals" or the "Company")
Proposed Sale of LRH
Resources Limited to European
Lithium
Technology Minerals Plc (LSE: TM1),
the first listed UK company focused on creating a sustainable
circular economy for battery metals, is pleased to announce it has
signed a binding Heads of Agreement to sell its interest in
exploration licences in Leinster, Republic of Ireland. This is
envisaged to be effected by the sale of 100% of the issued share
capital of LRH Resources Limited ("LRH") held by the Company to
European Lithium Limited (ASX: EUR, FRA: PF8, OTC: EULIF) ("European
Lithium") for a gross consideration of US$10 million
("the Proposed Transaction").
Highlights
·
Technology Minerals has entered into binding Heads
of Agreement with European Lithium to sell 100% of the issued share
capital of LRH, a wholly-owned subsidiary
of Technology Minerals
·
LRH is the owner of licences which comprise the
Leinster Lithium Project in Ireland (the "Project")
·
Consideration of US$10 million to be settled
through the transfer to Technology Minerals of US$10 million worth
of shares held by European Lithium in Critical Metals Corp (Nasdaq:
CRML) ("CRML"), a leading mining company
focused on mining critical metals and minerals, calculated
at 90% of the closing market price of the
shares on the day before the signing of the Heads of Agreement (the
"Consideration Shares")
·
The Consideration Shares will be locked in and
held in escrow until 28 February 2025
·
Completion of the Proposed Transaction is subject
to technical and legal due diligence to be completed by European
Lithium and other conditions customary for this type of
transaction
·
The Company will retain LRH's 100% interests in
the Asturmet Ni-Cu-Co Project, N. Spain
·
The Board believes that this is an excellent
outcome for all stakeholders, and validates the Company's strategy
to identify and advance early-stage projects up the value curve to
attract buyers and/or partners to bring significant additional
value to the Company
Details of the Proposed Transaction
Subject to completion of the
Proposed Transaction, the Company will sell LRH to European
Lithium, which includes 100% of its rights, title and interest in
the following:
·
the 23 licences that comprise the Leinster Lithium
Project (the "Licences") (see Table 1 below);
·
all associated technical
information, including geological, geochemical and geophysical reports,
surveys, mosaics, aerial photographs, samples, drill core, drill
logs, drill pulp, assay results, maps and plans, whether in
physical, written or electronic form relating to the Licences;
and
·
statutory licences, approvals, consents,
authorisations, rights or permits relating to the
Licences.
The Company will retain LRH's 100%
interests in the Asturmet Ni-Cu-Co Project, N. Spain.
Consideration: In consideration
for the Proposed Transaction, European Lithium will transfer to
Technology Minerals US$10 million worth of fully paid ordinary
shares in the capital of Critical Metals Corp (a company
incorporated under the laws of Delaware in the United States and listed on NASDAQ) currently held by European
Lithium, at an issue price equal to 90% of the closing price of
CRML shares on the day prior to the date on which the last of the
parties enters into the Agreement signed date). The Consideration Shares will be held in escrow until 28
February 2025.
Conditions Precedent:
Completion of the transaction is conditional upon completion of due
diligence by
European Lithium as soon as
practicable, Technology Minerals and CRML and its shareholders
agreeing the detailed terms of the escrow and European Lithium
obtaining any necessary third-party approvals or consents to
complete the transaction. Completion will occur five business days
after the last Condition Precedent has been satisfied.
Other Key Terms: Technology
Minerals is obliged to maintain the tenements in good standing and
meet all obligations in respect of the licences up until
completion.
Background to the Leinster Lithium Project
For the purposes of this agreement,
the Leinster Lithium Project will be subdivided into and termed the
North Leinster and a South Leinster Block. The North Leinster Block
will consist of 15 prospecting licences covering an area of 477 km²
and the South Leinster Block with eight licences covering a further
284 km². Each block contains several developing prospect areas
where significant lithium bearing spodumene pegmatites have been
located and confirmed in surface sampling and more recently in
diamond drilling on PL 1597.
The Consideration is split evenly
between Seven licences fully owned by LRH, and 16 licences in
respect of which Canadian-listed Global Battery Metals ("GBML")
currently holds an interest of 55% under an exclusive Earn-in and
option agreement with GBML.
Table 1 -
Licenses
No.
|
Licence
|
Area
|
Status
|
Area
Km2
|
1
|
3030
|
NE Leinster
|
TM-GBML
|
44.94
|
2
|
3285
|
NE Leinster
|
TM-GBML
|
40.59
|
3
|
3799
|
NE Leinster
|
TM-GBML
|
41.88
|
4
|
4540
|
NE Leinster
|
TM-GBML
|
31.07
|
5
|
4541
|
NE Leinster
|
TM-GBML
|
33.71
|
6
|
4545
|
NE Leinster
|
TM-GBML
|
32.53
|
7
|
4546
|
NE Leinster
|
TM-GBML
|
20.12
|
8
|
4536
|
NE Leinster
|
TM-GBML
|
25.58
|
9
|
4537
|
NE Leinster
|
TM-GBML
|
24.58
|
10
|
4538
|
NE Leinster
|
TM-GBML
|
24.93
|
11
|
4539
|
NE Leinster
|
TM-GBML
|
40.34
|
12
|
4542
|
NE Leinster
|
TM-GBML
|
33.06
|
13
|
4543
|
NE Leinster
|
TM-GBML
|
40.65
|
14
|
4544
|
NE Leinster
|
TM-GBML
|
21.90
|
15
|
4547
|
NE Leinster
|
TM-GBML
|
21.50
|
16
|
1597
|
SW Leinster
|
TM-GBML
|
48.32
|
17
|
3895
|
SW Leinster
|
TM
Only
|
23.74
|
18
|
3896
|
SW Leinster
|
TM
Only
|
34.49
|
19
|
4054
|
SW Leinster
|
TM
Only
|
33.09
|
20
|
1541
|
SW Leinster
|
TM
Only
|
36.61
|
21
|
1542
|
SW Leinster
|
TM
Only
|
20.39
|
22
|
3213
|
SW Leinster
|
TM
Only
|
43.42
|
23
|
3214
|
SW Leinster
|
TM
Only
|
43.33
|
|
|
|
|
760.77
|
Table 1:
List of prospecting licenses in the Leinster Area
Alex Stanbury, CEO of Technology Minerals, said:
"We are pleased
to have agreed the proposed sale of LRH Resources Limited, the
owner of the licenses of the Leinster Lithium Project in Ireland,
to European Lithium. The agreement is an endorsement of our ability
to identify and develop early-stage projects with significant
potential. It also underscores our strategy to advance
early-stage projects up the value curve and attract potential
buyers or partners to bring additional value to the Company and its
shareholders."
Enquiries
Technology Minerals Plc
|
|
Robin Brundle, Executive
Chairman
Alexander Stanbury, Chief Executive
Officer
|
c/o +44 (0)20 4582 3500
|
|
|
Oberon Investments Limited (Brokers)
|
|
Nick Lovering, Adam
Pollock
|
+44 (0)20 3179 5300
|
|
|
Gracechurch Group (Financial PR)
|
|
Harry Chathli, Alexis Gore, Rebecca
Scott
|
+44 (0)20
4582 3500
|
Technology Minerals
Plc
Technology Minerals is developing
the UK's first listed, sustainable circular economy for battery
metals, using cutting-edge technology to recycle, recover, and
re-use battery technologies for a renewable energy future.
The Company currently holds 48.35% of the issued share capital of Recyclus
Group Ltd, the UK's first industrial-scale recycler of both
lithium-ion and lead acid batteries.
Technology Minerals is focused on
raw material exploration required for Li-ion batteries, whilst
solving the ecological issue of spent Li-ion batteries, by
recycling them for re-use by battery manufacturers. Further
information on Technology Minerals is available at
www.technologyminerals.co.uk.
About European Lithium
European Lithium Limited is a listed
(ASX: EUR)(FRA: PF8)(OCT: EULIF) mining exploration and development
company focusing on its advancing lithium projects in Europe.
European Lithium aims to be the first and largest local lithium
supplier into an integrated European battery supply
chain.
About Critical Metals Corp.
Critical Metals (Nasdaq: CRML) is a
leading mining company focused on mining critical metals and
minerals, and producing strategic products essential to
electrification and next generation technologies for Europe and its
partners. Its initial flagship asset is the Wolfsberg Lithium
Project located in Carinthia, 270 km south of Vienna, Austria. The
Wolfsberg Lithium Project is the first fully permitted mine in
Europe and is strategically located with access to established road
and rail infrastructure to become the next major producer of key
lithium products to support the growing demand for electric
vehicles (EVs) and Europe's burgeoning lithium-ion battery supply
chain. In addition, Critical Metals owns a 20% interest in
prospective Austrian mineral projects previously held by European
Lithium Ltd (ASX: EUR). For more information, please visit
https://criticalmetalscorp.com/.