|Mon Apr 12, 2021|
Apex Resources Sells Remaining Stake in the Kena Property to West Mining
April 12, 2021, Apex Resources Inc. ("Apex”) (TSXV: APX) is pleased to announce that subject to regulatory approval, it has entered into an asset purchase agreement (the “Agreement”) on April 7, 2021 with West Mining Corp. (“West”) for West to acquire Apex’s remaining 20% interest in the Kena and Daylight Gold-Copper Properties (the "Project") in British Columbia in exchange for: aggregate cash payments of $300,000; an aggregate of 1,500,000 common shares of West (each, a “Share”); and West granting Apex a 1.0% net smelter returns royalty on the Project, with West having the right to purchase the NSR for $500,000 at any time prior to the commencement of commercial production on the Project.
Closing of the Agreement is subject to receipt of approval of the Canadian Securities Exchange (if and required) by West and of the TSX Venture Exchange by Apex.Apex has received a $100,000 cash payment on execution of the Agreement, with the remaining $200,000 due upon regulatory approval. West will issue the Shares to Apex on the closing date as follows:375,000 Shares will be subject to a four month hold period; additional 375,000 Shares will be subject to a four month hold period and a voluntary six month escrow period; and additional 750,000 shares will be subject to a four month hold period and a voluntary 12 month escrow period.
The Project covers approximately 8,000 hectares of mineral claims located near Nelson, British Columbia. The Kena property is comprised of the Kena Gold, Gold Mountain and Copper King showings together with the historic Euphrates and Gold Cup gold mines. The adjacent Daylight property is comprised of the historic Daylight, Starlight, Victoria and Great Eastern gold mines.
Apex had previously entered into an option agreement (“the Option”) (see Apex’s News Release of September 26, 2016) with 1994854 Alberta Ltd. (“1994854”), a wholly owned subsidiary of Boundary Gold and Copper Mining Ltd. (“Boundary”),whereby 1994854 has an option to earn an 80% interest in the Project.In conjunction with the asset purchase agreement with Apex, West has also entered into an amending agreement dated April 7, 2021 with Boundary and 1994854 which amends a share option agreement dated as of January 25, 2021 between the parties (see the West’s press release dated January 26, 2021 for a description of the share option agreement).Under the share option agreement, West has the right to acquire all of the issued and outstanding shares of 1994854 from Boundary. The amending agreement provides that West can complete its acquisition of all of 1994854’s shares from Boundary.
On closing of the acquisition of the Project from Apex and of the 1994854 shares from Boundary, West will hold a 100% interest in and to the Project, subject to the NSR granted to Apex described above and the underlying NSRs described in West’s press release respecting the Project dated January 26, 2021.
Arthur Troup, President and CEO of Apex, stated, “Apex wishes to thank the Management of West Mining Corp., Boundary Gold and Copper Mining Ltd. and 1994854 Alberta Ltd. for the professionalism and cooperation in facilitating this transaction.This transaction will allow Apex to focus resources on the further advancement and development of Apex’s other projects: the Jersey Emerald, Ore Hill and Mt. Anderson properties.”
About Apex Resources Inc.
Apex is a Canadian mining exploration and development company focused on British Columbia and the Yukon Territories. Apex has a portfolio of quality properties including:
Apex management has a track record of mine discovery that includes the discovery and development of the renowned Hemlo Gold Mine in Ontario and the Mengapur copper-gold-molybdenum porphyry deposit (225Mt @ 0.59% Cu equivalent) in Malaysia now under development by Monument Mining Ltd.
For further information on the Company's projects, visit www.apxresources.com.
Arthur G. Troup, P.Eng., Geological
This release was prepared by Apex's management. Neither TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that Apex expects are forward-looking statements. Although Apex 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 the 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, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on Apex, investors should review Apex's filings that are available at www.sedar.com or Apex's website at www.apxresources.com.
You can view the Next News Releases item: Wed May 5, 2021, Apex Resources Inc. Announces Closing of Kena Property Sale
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