Archer’s flagship and core asset is the Grasset Project, located within the Abitibi greenstone belt approximately 55 kilometres west-northwest of Matagami Quebec
Wallbridge completes sale of nickel assets to Archer. (Credit: Khusen Rustamov from Pixabay)
Wallbridge Mining Company Limited (TSX:WM, OTCQX:WLBMF) (“Wallbridge” or the “Company”) today announced that it has completed the previously-announced sale of all of the property, assets, rights, and obligations related to Wallbridge’s portfolio of nickel assets (the “Transaction”) to Archer Exploration Corp. (CSE: RCHR) (“Archer”).
Under terms of the Transaction, Wallbridge has received 66,211,929 common shares of Archer (the “Archer Shares”) with an aggregate deemed value of approximately $53.6 million (valued using the July 12, 2022, closing price of the Archer Shares). Additional consideration includes retention of a 2% net smelter royalty on production from the Grasset project. Wallbridge has nominated two representatives to the Archer board of directors – Marz Kord, President & CEO and Brian Penny, CFO of Wallbridge – both of whom were elected at Archer’s shareholder meeting held on October 12, 2022 subject to today’s closing of the Transaction.
“The Transaction is in line with Wallbridge’s strategy of moving forward as a pure-play gold company focused on its core Detour-Fenelon Gold Trend properties while enabling Wallbridge shareholders to participate in the potential economic upside in Archer,” said Marz Kord, President and CEO. “Archer is a focused exploration and development company which we believe has the management group and funding in place to deliver long-term value for our shareholders.”
Wallbridge will distribute 48,168,171 of the Archer Shares to the Company’s shareholders of record as of November 16, 2022 on a pro rata basis and will retain 18,043,758 Archer Shares representing approximately 19.9% of the outstanding common shares of Archer. The Archer Shares will have a hold period of four months and one day from November 18, 2022, the closing date of the Transaction.
Source: Company Press Release