FREDERICTON, New Brunswick, Sept. 09, 2020 (GLOBE NEWSWIRE) -- Trius Investments Inc. (TSXV: TRU) (“Trius” or the “Company”) is pleased to announce that its wholly-owned subsidiary (the “Subsidiary”) has entered into an asset purchase agreement (the “Purchase Agreement”) with several arm’s length vendors (collectively, the “Vendors”), pursuant to which the Company has indirectly agreed to purchase a mineral license for the Gander West exploration property in Newfoundland (the “Property”), along with all related permits and technical data (collectively, the “Purchased Assets”).
The Property consists of 120 claims covering nearly 3,000 hectares, and is located approximately 16 kilometres from the centre of New Found Gold Corp.’s Queensway Project.
Figure 1: Gander West Property
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Trius’ President and CEO Joel Freudman commented: “We’re excited to announce our acquisition of the Property, following on the recent major gold discovery in the same region by New Found Gold. We think the Property can be explored, advanced, and monetized in a number of ways.”
Pursuant to the Purchase Agreement, the Vendors will receive the following consideration for the Purchased Assets: (i) the issuance by Trius of an aggregate of 2,000,000 common shares in the capital of Trius at a deemed price of $0.19 per share; (ii) the payment by the Subsidiary to certain of the Vendors of an aggregate of $25,000 in cash; and (iii) the granting by the Subsidiary to certain of the Vendors of a 3.0% net smelter returns royalty from any future mineral production at the Property. The acquisition of the Purchased Assets is expected to be completed as soon as practicable, subject to regulatory approval by the TSX Venture Exchange.
Trius is acquiring the Purchased Assets as a passive investment, and does not intend to operate the Property. The Purchased Assets will be a novel, direct mineral exploration holding within the Company’s broader investment portfolio.
About Trius Investments Inc.
Trius is an investment issuer searching for new investments and/or business opportunities, with existing investments in the precious metals and e-commerce / consumer goods sectors. Trius’ common shares trade on the TSXV under the symbol “TRU”.
Trius is a portfolio company of Resurgent Capital Corp. (“Resurgent”), a merchant bank providing venture capital markets advisory services and proprietary financing. Resurgent works with promising public and pre-public micro-capitalization Canadian companies.
For further information, please contact:
Joel Freudman
President & Chief Executive Officer
Trius Investments Inc.
Phone: (647) 880-6414
Cautionary Statements
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release may contain certain forward-looking statements. These statements are based on numerous assumptions regarding the Purchase Agreement and the Purchased Assets that are believed by management to be reasonable in the circumstances, and are subject to a number of risks and uncertainties, including without limitation: the completion of the transactions contemplated by the Purchase Agreement, the exploration or monetization potential of the Purchased Assets and specifically the Property, and those other risks described in the Company’s continuous disclosure documents. Actual results may differ materially from results contemplated by the forward-looking statements herein. Investors and others should carefully consider the foregoing factors and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward-looking statements herein except as required by applicable securities laws.