BULLETIN V2026-3025
GRID METALS CORP. ("GRDM")
BULLETIN TYPE: Property-Asset or Share Disposition Agreement
BULLETIN DATE: September 24, 2026
TSX Venture Tier 2 Company
TSX Venture Exchange has accepted for filing documentation pertaining to a Joint Venture Agreement dated July 20, 2026 (the "JV Agreement"), between the Company and Avenir Minerals Limited ("Avenir"), a wholly-owned subsidiary of Agnico Eagle Mines Limited, to form a joint venture for the Company's Falcon West Cesium Property (the "Property") located in southeastern Manitoba, Canada.
Pursuant to the terms of the JV Agreement, Avenir will acquire an initial 15% interest in the Property and resulting joint venture for CA$3,750,000 in cash payable to the Company. The Company will retain an 85% interest and will continue to serve as operator of the Property.
Avenir has also been granted the following options:
(i) an option (the "Phase Two Option") to acquire an additional 15% interest in the Property, for a total interest of 30%, exercisable upon the earlier of the completion of a preliminary economic assessment or the adoption of a mine plan in respect of the Property by the joint venture's management committee. The exercise price of the Phase Two Option will be calculated at 40% of the net present value of the Property on a 100% basis, using a discount rate of 8% per annum, multiplied by 15% in accordance with the terms of the JV Agreement. During the course of the joint venture, the Company and Avenir will fund their respective pro rata share of project and development costs.
(ii) an option (the "Equity Option") to subscribe for up to 19.99% of the Company's issued and outstanding common shares, including Avenir's then-current holdings. This option will become exercisable by Avenir, subject to TSX Venture Exchange approval, following the Company having publicly announced a mineral resource estimate in respect of the Property. In connection with the exercise of the Equity Option, the Company and Avenir will enter into an amended and restated investor rights agreement ("A&R IRA").
If the Company's or Avenir's interest in the Property is diluted below 5.0%, its interest will be converted to a 1.0% net smelter return royalty on the Property, of which 0.5% may be repurchased by the royalty payor for a cash payment of CA$1,000,000.
For further details, please refer to the Company's news releases dated July 20, 2026 and July 31, 2026.
_______________________________________
|
|
