Fortune extends option to acquire refinery site for the NICO Critical Minerals Project

Fortune plans to construct a hydrometallurgical refinery at this site to process concentrates from the company’s NICO cobalt-gold-bismuth-copper critical minerals deposit and planned mine and concentrator in the Northwest Territories (NWT) (collectively, the NICO Project). The NICO Project would produce three metals identified on Canada’s Critical Minerals List needed in the energy transition and new technologies, being cobalt, bismuth, and copper. In addition to the Critical Minerals, the Mineral Reserves for the NICO deposit also contains more than 1 million oz of gold.

Fortune can maintain the refinery site option under the same terms and conditions that are currently in place and acquire the facilities for CAN$5.5 million before 31 March 2024. JFSL’s has the right to solicit competing offers for the facility during the option period, subject to Fortune’s right to complete its purchase at the end of each month of extension at the agreed purchase price and/or exercise its right of first refusal to match the competing offer.

Fortune closed a private placement of 22 million units in late December 2023 to fund a metallurgical test work programme to validate some process optimisations and provide additional information for detailed engineering. The units were issued at a price of CAN$0.04 per unit to raise gross proceeds of CAN$880 000 with each unit consisting of one common share issued on a flow-through basis and one half of a share purchase warrant exercisable at a price of CAN$0.07 per full warrant for a period of 24 months after closing. Fortune is waiting for the government ice road from Whati to Gameti to open, which would enable the company to truck ore samples from its existing stockpiles at the NICO site to SGS Canada Inc. in Lakefield, Ontario, for the planned test work programme.

Read the article online at: https://www.globalminingreview.com/mining/05022024/fortune-extends-option-to-acquire-refinery-site-for-the-nico-critical-minerals-project/