Vancouver, British Columbia--(Newsfile Corp. - June 3, 2024) - Commander Resources Ltd. (TSXV: CMD) ("Commander" or the "Company") has received final approval and satisfied all closing conditions for the royalty purchase agreement as announced on January 25th, 2024. The Company had agreed to sell a portfolio of its royalty interests (the "Transaction") to TMRF Canada Inc., a subsidiary of Taurus Mining Royalty Fund L.P., for total consideration of US $4.1 million in cash (~CDN $5.6 million). The Company is pleased to announce that it has closed the Transaction and has received all funds due.
Robert Cameron, President and CEO, states, "This Transaction achieves a highly accretive monetization of our non-core royalty portfolio, unlocking value for shareholders and providing considerable, non-dilutive funding to re-deploy into the Company's ongoing and future exploration efforts."
GenCap Mining Advisory Ltd. acted as financial advisor for a service fee equal to 2.0% of the Transaction value payable in cash upon closing, and Harper Grey LLP acted as legal counsel to the Company in connection with the Transaction. A sum of CDN $126,821 was paid to Glengarry Development, an arms length private company, as its share of the proceeds reflecting its 10% ownership of the Mt. Polley Royalty.
Commander intends to use the Transaction sale proceeds to fund drilling of our top priority projects as well as advance the next tier of 100% owned exploration projects. The Company has also initiated and advanced a process to look outside of its in-house portfolio for targeted opportunities to grow the company's exposure to premium exploration projects, primarily in the copper-gold space. This process was activated in late 2023 while the royalty sale was in progress and well advanced.
"Given the recent dramatic change in general commodity market conditions and the Company's experienced management team, standout property base, low number of shares outstanding and healthy treasury, Commander strongly believes that it stands apart from many other exploration companies. This position has been arrived at by a very disciplined, targeted, professional, focused, and cost-effective business model under the direction of a highly experienced and successful team." continued Robert Cameron, President and CEO.
About Commander Resources
Commander Resources is a Canadian focused exploration company that has leveraged its success in exploration through a combination of partnerships and sole funded exploration. Commander has a portfolio of base and precious metal projects across Canada including our flagship Burn Project, a joint venture with Freeport-McMoRan Mineral Properties Canada Inc. The company has an aggressive plan to drill test additional copper gold targets over the next two years including our October Dome Copper and Gold porphyry target in central British Columbia and our Sabin VMS project in Ontario.
On behalf of the Board of Directors
Robert Cameron, P. Geo.
President and CEO
For further information, please call:
Robert Cameron, President and CEO
778-989-1501
[email protected]
Twitter: @CommanderCMD
www.commanderresources.com
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 or accuracy of this release.
This news release may include forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required under the applicable laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/211426