back Global Cobalt Names Spin-Out Company and Confirms Go Forward Dates
June 2, 2015 | Category: Press Releases
VANCOUVER, BC / JUNE 2nd, 2015 / GLOBAL COBALT CORP. (TSXV:GCO, OTCBB:GLBCF, FRA:3P0) ("Global Cobalt" and/or the "Company") is pleased to announce the naming of the proposed SpinCo as Global Energy Metals Corporation. The name reflects the company's strong focus on those metals fundamental to the battery and energy sector and the increasingly international scope of its business activities.
Erin Chutter, President & CEO of Global Cobalt commented:
"We are convinced that the spin out and new organizational structure is the correct strategy, one which will enhance shareholder value by providing a sharper strategic focus for both companies moving forward. The reorganization will unlock value and enable us to accelerate the expansion of our North American projects in Global Energy Metals Corp. while providing shareholders exposure to Karakul and the Altai Satellites that will remain with Global Cobalt."
The Company is also pleased to confirm the following dates with respect to the spin-out transaction and plan of arrangement:
- Record Date for Voting at the Annual General Special Meeting: June 10th, 2015
- Mailing of Information Circular: June 15th, 2015
- Annual General Special Meeting: July 10th, 2015
- Record Date for Global Cobalt shareholders to receive Global Energy Metals shares will be as of the Effective Date which is expected to be July 20th, 2015
Highlights of the Agreement include:
- Spin-out of Global Energy Metals Corporation to focus on M&A and project development in battery metals projects as well as holding the current North American projects of Werner Lake and Iron Creek,
- Global Cobalt will continue to hold those agreements associated with Karakul and the Altai Satellite projects in Russia,
- Global Cobalt shareholders to receive shares of Global Energy Metals on 1:1 basis to holdings in Global Cobalt,
- Shareholder meeting scheduled July 15th, 2015 for holders of record of common shares of Global Cobalt as at 12:01 a.m. on June 10th, 2015 with the registrar and transfer agent of Global Cobalt, and
- Global Cobalt will, as a condition of closing the Transaction, acquire a significant interest in a qualifying mineral property (the "Qualifying Property") that meets the TSX-V initial listing requirements for a Tier II mining issuer and obtain a NI 43-101 compliant technical report thereon should Karakul not meet these requirements.
The strategic reorganization remains, among other things, conditional on the approval of final documentation by the Board of Directors of Global Cobalt, approval of the strategic reorganization by the TSX Venture Exchange, approval of shareholders of Global Cobalt, and approval of the Supreme Court of British Columbia.
Global Cobalt Corporation:
Global Cobalt Corporation is a publicly traded Canadian resource company that was founded in 2007 to take advantage of the global transformation that is occurring in the strategic metals sector of the mining industry. Through a combination of acquisitions and internally developed businesses, Global Cobalt exploits market opportunities as they emerge in various sectors of the energy metals sector with emphasis on those metals, such as cobalt, used in the rechargeable battery space.
For Further Information:
Mr. Mitchell Smith, Corporate Development
Suite 1501-128 West Pender Street
Vancouver, BC V6B 1R8
Tel: +1 (604) 688-4219
Fax: +1 (604) 688-4215
Email: [email protected]
www.GlobalCobaltCorp.com
TSXV:GLOBAL COBALT; OTCBB:GLBCF; FRA:3P0; CUSIP:37890F
Cautionary Statement on Forward-Looking Information:
This news release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable securities laws, concerning the business, operations and financial performance and condition of the Company. All statements, other than statements of historical fact, are forward-looking statements. Forward-looking statements contained in this news release include statements with respect to: expectations regarding shareholder approval of the Amendment; the delivery of a National Instrument 43-101 compliant technical report and mineral resource estimate for the Karakul cobalt project and the ability of the Company to raise the additional funds required for the continued development of its mineral properties. Forward-looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from our expectations include uncertainty about the level of shareholder support for the Amendment and the share issuances contemplated thereunder; the need to obtain permits and governmental approvals; risks of construction and mining projects such as accidents, equipment breakdowns, bad weather, non-compliance with environmental and permit requirements, unanticipated variation in geological structures, ore grades or recovery rates; unexpected cost increases; fluctuations in metal prices and currency exchange rates; the impact of economic sanctions on companies conducting business in Russia; and other risk and uncertainties disclosed in reports and documents filed by the Company with applicable securities regulatory authorities from time to time. The forward-looking statements made in this news release reflect management's beliefs, opinions and projections on the date the statements are made. Except as required by law, Global Cobalt assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change.
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.