May 19, 2017
MetalCorp Announces Proposed Finder’s Fee Payment
THUNDER BAY, ONTARIO, CANADA (May 19, 2017) - MetalCorp Limited (“MetalCorp”) (TSXV – MTC) announces its intention to pay Bernard DeLuce (the “Finder”) a finder’s fee comprised of 500,000 common shares of MetalCorp with a deemed value of $0.05 per share and 300,000 finder’s warrants, with each finder’s warrant entitling the Finder to acquire one (1) common share of MetalCorp at a price of $0.05 per share at any time within five (5) years from the date of issuance of such finder’s warrants.
The finder’s fee is proposed to be paid in connection with the entering into the option agreement between MetalCop and Golden Peak Minerals Inc. (a company introduced to MetalCorp by the Finder) (“Golden Peak”) on February 1, 2017, granting Golden Peak an option to earn a 100% interest in the western half of MetalCorp’s Hemlo East Property near Marathon, Ontario – namely an option on 32 mineral exploration claims west of the White River, between Barrick Gold’s Hemlo Mines and the White River. To earn a 100% interest, Golden Peak agreed to pay Cdn$340,000, incur Cdn$1,800,000 of exploration expenditures on the property and issue 2,250,000 shares to MetalCorp over a 3-year period. On completion of the exercise of the option, MetalCorp will retain a 2.5% net smelter returns royalty, one-fifth of which may be purchased by Golden Peak for US$1,000,000 reducing the royalty to 2.0% of the net smelter returns. In February 2017, following approval of Golden Peak’s application to the TSX Venture Exchange (“TSXV”) of its proposed transaction, Golden Peak made the first payment of $100,000 and issued 750,000 shares to MetalCorp.
As the Finder has not received and will not receive any fee or other form of compensation from Golden Peak, MetalCorp agreed, subject to TSXV approval, to payment of the proposed finder’s fee payable in shares and warrants as set out above.
MetalCorp is a mineral exploration company based in Thunder Bay, Ontario, with gold and base metal projects in the Canadian Shield of Northern Ontario, Canada, one of the most prolific mineral districts in the world. To find out more about MetalCorp visit its website at www.metalcorp.ca.
For further information, please contact: Donald A. Sheldon, Chief Executive Officer. Phone: (416) 777-4017, or via email: info(at)metalcorp(dot)ca
Except for statements of historical fact contained herein, information in this press release may constitute "forward-looking information" within the meaning of Canadian securities laws. Other than statements of historical fact, all statements that involve various known and unknown risks, uncertainties and other factors are "forward-looking statements". There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this news release are cautioned not to place undue reliance on these "forward-looking statements". Except as otherwise required by applicable securities statutes or regulation, MetalCorp expressly disclaims any intention or obligation to update publicly any forward-looking information, whether as a result of new information, future events or otherwise.
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, accuracy or contents of this news release.
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