Acquisition of Lithium Project
Acquisition of Lithium Project Vancouver – July 4, 2022 – True North Gems Inc. (TSXV: TGX, or the "Company") reports that it has organized a wholly owned subsidiary to be named Laval Critical Elements Inc,. to acquire, pursuant to an agreement dated June 30, 2022, a 50% interest in the Cyr-Kapiwak Lithium Project held by Lithium One Metals Inc. ("L1"). This transaction remains subject to regulatory approval.
The Cyr-K Lithium Project is comprised 42 mineral claims in a group of three non-contiguous lithium properties, Key lithium, Amisk West lithium and Amisk East lithium, having a total area of 2,220.02 hectares, in the James Bay area of Quebec.
The Cyr-Kapiwak project consists of 42 mineral claims with a total area of 2,220 hectares (22.20 square kilometres) located roughly 100 km east of the town of Eastmain and 170 km south of the town of Radisson.
The Key lithium property is contiguous with Allkem Ltd.'s James Bay lithium mine property and three km from the James Bay lithium mine project (planned mine) itself. The Amisk West and Amisk East lithium properties are located several kilometres south of the Key lithium property and are both contiguous with Medaro Mining Corp.'s Cyr South lithium property. The Amisk properties encompass large tracts of pegmatite-bearing granites that remain largely unexplored.
The Cyr-Kapiwak project area is considered highly prospective for lithium hosted in spodumenebearing pegmatites, with several historic occurrences mapped in the region. The Key property contains three unique locations along a 1.5-kilometre east-west structural geological trend where lithium-bearing boulders have been recorded.
Terms of the Acquisition
Subject to regulatory approval, the Company shall acquire an undivided 50% interest in the Cyr- Kapiwak Lithium Property by:
1. Issuing 1,000,000 units of True North Gems Inc.(each Unit comprises one common share and and 1,000,000 warrants exercisable at 20 cents for 24 months from the date of issuance of the underlying common shares) to L1 within 10 days of regulatory approval;
2. Expending $250,000 on exploration within 24 months;
3. The original vendor to L1 retains a 2% Net Smelter Royalty on the property. L1 has the right to buy 1% of the royalty for at any time for CAN$1 million.
In addition, the Company reports that its field work on its Cobalt Hill and Chuchinka REE, although delayed by heavy snowpack, is scheduled to commence in the third week of July.
On behalf of the Board of Directors of True North Gems Inc.
"Owen King" (signed)
Owen King CEO & Director 604-618-1835 For further information, contact:
Email: [email protected]
Neither the 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.
This document contains “forward-looking information” and “forward-looking statements” (together, “forward-looking statements”) within the meaning of applicable securities legislation, which are made as of the date of this document or the document(s) referred to herein. Statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects”, “anticipates”, “plans”, “projects”, “estimates”, “intends”, “strategy”, “goals”, “objectives” or variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements. Forward-looking statements include, without limitation, statements with respect to:. The forward-looking statements are made based upon certain assumptions which, if untrue, could cause the actual results, performances or achievements of the Company to be materially different from future results, performances or achievements expressed or implied by the forward-looking statements. By their very nature, forward-looking statements involve inherent risks and uncertainties that could cause actual results, performances or achievements to differ materially from those in the forwardlooking statements. These include, without limitation: price volatility, discrepancies between actual and estimated production, mineral reserves and resources and metallurgical recoveries, mining operational and development risks, regulatory restrictions (including environmental regulatory restrictions and liability), activities by governmental authorities, the speculative nature of mineral exploration, the global economic climate, dilution, share price volatility, competition, loss of key employees; additional funding requirements and defective title to mineral claims or property]. This list is not exhaustive. See also, for example, the risks disclosed in the Company’s other disclosure documents filed at www.sedar.com, including, without limitation, those disclosed in the Company’s management’s discussion & analysis. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements, except as otherwise required by applicable securities legislation.