Trading Symbol: TSXV: NAR
VANCOUVER, BC, Oct. 28,
2024 /CNW/ - North Arrow Minerals Inc. (TSXV:
NAR) ("North Arrow" or the "Company") is pleased to
announce that, further to the Company's press releases dated
September 3, 2024, September 17, 2024 and October 3, 2024, the Company has received final
approval from the TSX Venture Exchange for both the option
agreement with Rockman Resources Ltd. ("Rockman") under
which North Arrow can earn a 60% interest in the Kraaipan Gold
Project, Botswana as well as the
non-brokered private placement of $2,200,000, which the Company has now closed.
Ken Armstrong, President and
Chief Executive Officer of North Arrow, stated "With the closing of
this financing, North Arrow is fully funded to advance our Year 1
plans to evaluate the underexplored, sixty-kilometre northern
extension of the Kraaipan Greenstone Belt in Botswana, a top tier jurisdiction for mining
and exploration investment. Exploration activities are focused on
discovery of gold mineralization within prospective iron formation
units extending beneath Kalahari Desert sand cover and will benefit
from Rockman's in-country technical team and exploration
technologies."
Kraaipan Option Agreement Terms
Under the terms of the option agreement with Rockman, North
Arrow can earn a 60% interest in the Kraaipan Gold Project (the
"Project") by incurring US$5
million in exploration expenditures over three years as
follows:
i. US$1,000,000 in
exploration expenditures by no later than June 30, 2025 (firm commitment);
ii. an additional US$2,000,000 in
exploration expenditures by no later than June 30, 2026; and
iii. an additional US$2,000,000 in
exploration expenditures by no later than June 30, 2027.
Upon incurring the cumulative $5,000,000 in expenditures, North Arrow will vest
a 60% interest in the Project by delivering to Rockman a
written notice of exercise of the option and issuing to Rockman
1,000,000 common shares of North Arrow.
Within 60 business days of receipt of North Arrow's notice of
exercise, Rockman may elect to:
i. form a joint venture between North Arrow
(60%) and Rockman (40%) (the "Joint Venture Election");
or
ii. grant North Arrow the option to acquire an additional 20%
interest in the Property by funding continued evaluation of the
Project and delivering a Preliminary Economic Assessment
("PEA") of the Project (the "PEA Option
Election").
Under the PEA Option Election, North Arrow may earn an
additional 20% interest in the Project upon delivering a PEA and
issuing to Rockman an additional 2,000,000 common shares in North
Arrow.
Non-Brokered Private Placement
The Company has issued 11,000,000 units (the "Units") at
a price of $0.20 per Unit for total
gross proceeds of $2,200,000. Each
Unit consisted of a common share of the Company (each a
"Share") and one transferable common share purchase warrant
(each a "Warrant"). Each Warrant entitles the holder
to purchase one additional Share at a price of $0.30 for a period of 18 months up to
April 28, 2026.
Insiders of the Company participated in the private placement on
the same terms and conditions as non-arm's length subscribers,
subscribing for a total of 900,000 Units for aggregate proceeds of
$180,000.
The private placement took advantage of the listed issuer
financing exemption (LIFE) whereby the Shares issued pursuant to
the exemption are freely tradeable listed equity securities not
subject to any hold period. Any Shares issued to the Insiders
of the Company are still subject to a four-month hold period
expiring on March 1, 2025.
Proceeds from the private placement will be used to advance
North Arrow's exploration on the Project, and for general corporate
purposes.
In connection with the placement, North Arrow paid finder's fees
of $69,840 and 349,200 finder's
warrants (the "Finder's Warrants"). Each Finder's Warrant
has the same terms as a Warrant. All Warrants are
subject to an accelerated expiry provision whereby if, over a
period of 10 consecutive trading days between the date that is four
months following the date of issue of the Warrants and the expiry
of the Warrant, the closing price of the common shares on the TSX
Venture Exchange or on such other stock exchange on which the
common shares are listed exceeds $0.50, the Company may accelerate the expiry date
of the Warrants by giving notice to the holders thereof and, in
such case, the Warrants will expire on the 30th day after the date
on which such notice is given by the Company unless exercised by
the holders prior to such date.
About the Kraaipan Gold Project, Botswana
The Kraaipan Gold Project is comprised of 1,266 km2
of mineral concessions covering the full 60-kilometre strike extent
of the Kraaipan Greenstone Belt ("KGB") in Botswana. The KGB is a highly prospective
Archean greenstone belt that straddles the Botswana - South
Africa border, with proven mineral endowment including
Harmony Gold's Kalgold gold mine in
South Africa, approximately 40km
south of the Project. Past exploration of the northern extent of
the KGB has been challenged by Kalahari Desert sand cover,
impacting approximately 80% of the KGB within Botswana. The sand cover, while extensive, is
typically less than 20 metres over much of the Project but can
locally reach depths of up to 70 metres. Limited past exploration
of the KGB in the Project area has identified local gold
mineralization in shallow drilling of exposed banded iron formation
("BIF") targets. A focus of new exploration will be to
identify BIF-related gold mineralisation beneath the sand cover. To
do this, North Arrow will have access to Rockman's highly
experienced Botswana-based
exploration team, who are capable of deploying cost-effective
proprietary exploration solutions including drone geophysics,
truck-mounted drilling and, potentially deep machine learning
technologies to rapidly advance the Project.
About North Arrow Minerals
North Arrow is a Vancouver,
BC-based exploration company currently focused on the
evaluation of the Kraaipan Gold Project in Botswana. North Arrow's management, board of
directors and advisors have significant successful experience in
the global exploration and mining industry. North Arrow is also
evaluating spodumene pegmatites at its 100% owned LDG, MacKay, and
DeStaffany Lithium Projects (NWT), and continues to maintain its
diamond interests in the Naujaat (NU), Pikoo (SK), and Loki (NWT)
Projects. North Arrow's exploration programs are conducted under
the direction of Kenneth Armstrong,
P.Geo. (NWT/NU, ON), President and CEO of North Arrow and a
Qualified Person under NI 43-101.
North Arrow Minerals Inc.
/s/ "Kenneth A. Armstrong"
Kenneth Armstrong
President and CEO
Neither the TSX Venture Exchange nor its
Regulation Services Provider accepts responsibility for the
adequacy or accuracy of this release.
This news release contains "forward-looking statements"
including but not limited to statements with respect to North
Arrow's plans, the estimation of a mineral resource and the success
of exploration activities. Forward-looking statements, while based
on management's best estimates and assumptions, are subject to
risks and uncertainties that may cause actual results to be
materially different from those expressed or implied by such
forward-looking statements, including but not limited to: risks
related to the successful integration of acquisitions; risks
related to general economic and market conditions; closing of
financing; the timing and content of upcoming work programs; actual
results of proposed exploration activities; possible variations in
mineral resources or grade; failure of plant, equipment or
processes to operate as anticipated; accidents, labour disputes,
title disputes, claims and limitations on insurance coverage and
other risks of the mining industry; changes in national and local
government regulation of mining operations, tax rules and
regulations. Although North Arrow has attempted to identify
important factors that could cause actual results to differ
materially from those contained in forward-looking statements,
there may be other factors that cause results not to be as
anticipated, estimated or intended. There can be no assurance that
such statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in
such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. North Arrow undertakes no
obligation or responsibility to update forward-looking statements,
except as required by law.
SOURCE North Arrow Minerals Inc.