REG - Gunsynd PLC - New Project Acquisition, Issue of Equity & RPT

GunsyndAnnouncement

21/11/2024 07:00

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RNS Number : 0485N  Gunsynd PLC  21 November 2024

Gunsynd Plc

("Gunsynd" or the "Company")

Acquisition of Additional Canadian project in Nunavut, Issue of Equity &
Related Party Transaction

Gunsynd (AIM: GUN), an investing company, is pleased to announce that it has
entered into a legally binding agreement to acquire the Greylark uranium
project in Canada ("Greylark" or the "Project") (the "Transaction").

Terms

Gunsynd has acquired a 100% legal and beneficial interest in the Greylark
uranium project in Nunavut Canada from Pinwheel Resources Ltd ("Pinwheel") and
Eric Sondergaard (together the "Vendors") for consideration of £50,000 which
will be satisfied by:

-      Issue of 37,500,000 new ordinary shares at a price of 0.12 pence
per share for a total consideration of £45,000; and

-      £5,000 in cash.

The Vendors will hold the Project on trust for Gunsynd until transfer to a
special purpose vehicle or termination of the Agreement. The Pinwheel will be
appointed as initial operator of the Project.

Gunsynd has agreed to grant Pinwheel a 1.5% net smelter royalty ("NSR"),
payable over the license/permits in the Project, comprising the gross proceeds
of the sale of ores, concentrates, metals, minerals and mineral by-product
that are produced or extracted at the Project.

 Claim Number  Claim Status  Issue Date  Anniversary Date  Area (Ha)  Number of Units
 104831        Active        13/7/24     13/7/26           1268       81

 

Related Party Transaction

 

The Transaction is a related party transaction pursuant to AIM Rule 13 due to
the Vendors being a substantial shareholder of the Company (as defined under
the AIM Rules). The directors all of whom are independent of the Transaction,
having consulted with the Company's nominated adviser, believe that the terms
of the Transaction are fair and reasonable insofar as shareholders are
concerned.

 

Employee Benefit Trust and Issue of Equity

 

Gunsynd has also issued 40,000,000 new ordinary shares (the "EBT Shares") to
the Gunsynd Employee Benefit Trust ("EBT") at a price of 0.085p (being par
value) per new ordinary share, following a subscription by the trustee of the
EBT, LGL Trustees Jersey, at an aggregate cost to the Company of £34,000.
Following admission of the EBT Shares, the EBT will hold 90,000,000 ordinary
shares representing approximately 8.85% of the enlarged issued share capital
of the Company following Admission (as defined below).

 

Admission

Application will be made to the London Stock Exchange for the admission of
77,500,000 new ordinary shares to trading on AIM ("Admission"). Admission is
expected to occur on or around 26 November 2024. The new ordinary shares will
rank pari passu with the existing ordinary shares.

Total Voting Rights

 

For the purposes of the Disclosure and Transparency Rules, following
Admission, the Company's issued share capital will comprise 1,017,245,223
ordinary shares of 0.085p each. This figure may be used by shareholders as the
denominator for calculations to determine if they are required to notify their
interest in, or a change to their interest in, the Company under the
Disclosure and Transparency Rules.

 

Hamish Harris, Chairman of Gunsynd, commented:

"We are pleased to announce the acquisition of additional highly prospective
licences in close proximity to our existing Falcon Lake and Merlin Projects in
Canada. The recent sale price of the Mountain Lake project by Iso Energy to
Future Fuels (as detailed further below) gives a substantial look through to
the potential valuation for these licences well in excess of our purchase
price and indicates substantial value accretion to shareholders in a very
short period of time."

Forward Looking Statements

This announcement contains forward-looking statements relating to expected or
anticipated future events and anticipated results that are forward-looking in
nature and, as a result, are subject to certain risks and uncertainties, such
as general economic, market and business conditions, competition for qualified
staff, the regulatory process and actions, technical issues, new legislation,
uncertainties resulting from potential delays or changes in plans,
uncertainties resulting from working in a new political jurisdiction,
uncertainties regarding the results of exploration, uncertainties regarding
the timing and granting of prospecting rights, uncertainties regarding the
Company's ability to execute and implement future plans, and the occurrence of
unexpected events.  Actual results achieved may vary from the information
provided herein as a result of numerous known and unknown risks and
uncertainties and other factors.

This announcement contains inside information for the purposes of the UK
Market Abuse Regulation and the Directors of the Company are responsible for
the release of this announcement.

 

For further information, please contact:

 Gunsynd plc                   +44 (0) 78 7958 4153

 Hamish Harris/ Peter Ruse

 Cairn Financial Advisers LLP  +44 20 7213 0880

 James Caithie / Liam Murray

 Peterhouse Capital Limited    +44 20 7469 0936

 Lucy Williams

Project details

The Greylark Project covers 1,268 hectares of highly prospective uranium and
copper exploration tenure in Nunavut, northern Canada. Greylark is situated
south of the Merlin project, and less than 5km west of Mountain Lake (formerly
owned by Iso Energy Ltd).

The price paid by Gunsynd is the equivalent of circa CAD$70 per hectare.

Iso Energy has recently (14 November 2024) announced the sale of its Mountain
Lake property to Future Fuels (TSXV: FTUR) at just over CAD$700 per hectare.
We encourage shareholders to take note of the recently announced transaction
on the link provided below:

https://www.isoenergy.ca/news-media/isoenergy-announces-strategic-sale-of-its-mountain-lake-property-in-nunavut
(https://www.isoenergy.ca/news-media/isoenergy-announces-strategic-sale-of-its-mountain-lake-property-in-nunavut)

This acquisition adds to an already significant land position for Gunsynd in
the Hornby Basin-one of Canada's prominent Uranium basins.

Location map * West Dismal Project is now known as the Merlin Project

 

 

 

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