REG - Panther Metals PLC - Obonga: Extension and Amendment of Purchase Terms

Panther MetalsAnnouncement

03/04/2025 07:00

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RNS Number : 4390D  Panther Metals PLC  03 April 2025

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 FOR IMMEDIATE RELEASE

PANTHER METALS PLC

("Panther" or the "Company")

(Incorporated in the Isle of Man with company number 009753V)

3 April 2025

Obonga: Extension and Amendment of Purchase Agreement

Panther Metals PLC (LSE:PALM) the company focused on mineral exploration in
Canada, is pleased to announce the amendment and extension to the purchase
agreement (the "Amending Agreement") with Broken Rock Resources Ltd ("Broken
Rock") over the Obonga Project ("Obonga" or the "Property"), which covers over
90% of the Obonga Greenstone Belt, in Ontario, Canada.

 

The Amending Agreement to the 2021 purchase agreement (announced 2 August
2021)(1,2) allows for an additional year to meet the exploration commitment at
Obonga which has advanced from a greenfield regional data based target area,
through proof of concept to drilling success with two base metal volcanogenic
massive sulphide ("VMS") discoveries, at Wishbone and Survey Lake targets and
a graphite discovery in the Awkward area.(3,4,5)

 

The Awkward magmatic feeder conduit target at Obonga is focused on a
nickel-copper-platinum-palladium discovery, the significant pathfinders in the
Awkward area continue to gain traction within the industry.

 

Under the Amending Agreement the exploration commitment is now spread over
five years; whilst the original net smelter return royalty is replaced with a
gross revenue royalty equal to 1.5% of the gross value of the sale proceeds
actually received by the royalty payor from activity carried out on the
Property. In connection with the signing of the Amending Agreement Panther
will allot and issue 42,070 new ordinary  shares (the "Consideration Shares")
with a value of Canadian $30,000 to Broken Rock (based on the mid-market
closing price of Panther's ordinary shares on  27 March 2025 and an exchange
rate of CAD$1.85 to £1.00.

 

With Panther's Wishbone and Survey Lake discoveries the Obonga Greenstone Belt
has become an emerging base metal VMS Camp. Located approximately a 2.5 hour
drive north of Thunder Bay Obonga is situated between the Mattabi/Sturgeon
Lake Mining Camp on the Sturgeon Lake Greenstone Belt, where five past
producing base metal VMS mines were operated by Noranda Minerals between 1972
to 1991, and the Beardmore-Geraldton Greenstone Belt that hosts over twenty
current/former mines including the Equinox Gold Greenstone Gold Mine, one of
the largest open-pit mines in Canada, which achieved commercial production in
2024.

 

When issued, the Consideration Shares will be credited as fully paid and will
rank pari passu in all respects with the existing Ordinary Shares in the share
capital of the Company, including the right to receive all dividends and other
distributions declared, made, or paid on or in respect of such shares after
the date of issue of the Consideration Shares.

 

Application will be made to the Financial Conduct Authority ("FCA") for
admission of the Consideration Shares to the equity shares (transition)
category of the Official List maintained by the FCA and to the London Stock
Exchange (the "LSE") for admission to trading of the Consideration Shares on
the LSE's Main Market for listed securities (together "Admission"). It is
expected that Admission will take place at 8.00 a.m. on 8 April 2025 and that
dealings in the Consideration Shares on the LSE's Main Market for listed
securities will commence at the same time.

 

Total Voting Rights

 

Following Admission, the Company's total issued share capital consists of
5,231,150 Ordinary Shares. The Company does not hold any Ordinary Shares in
treasury.

 

Therefore, following Admission, the total number of voting rights in Panther
Metals plc is 5,321,150. This figure may be used by shareholders as the
denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change in their interest in, the
Company under the FCA's Disclosure Guidance and Transparency Rules.

 

Darren Hazelwood, CEO, commented:

 

"We are pleased to extend our agreement with Broken Rock Resources, securing
additional time to unlock the full potential of the Obonga Project.

 

With two VMS systems already identified and increasing industry interest in
our Awkward conduit theory, we believe Obonga has the makings of Canada's next
major base metal and VMS camp.

 

While Ontario's greenstone belts are well-explored, Obonga remains a frontier
with significant untapped potential. Our commitment to systematic exploration
continues to yield exciting results, and we look forward to advancing this
highly prospective project area. With a robust understanding of the geology, a
clear exploration strategy, and a dedicated team, we are confident that Obonga
will become a cornerstone asset, driving medium to long-term value for our
shareholders and stakeholders alike."

 

 

References

 

1:             Company announcement, dated 2 August 2021,
'Acquisition, issue of equity, grant of options and total voting rights,
Canada - Major Acquisition on the Obonga Greenstone Belt'

                (
https://polaris.brighterir.com/public/panther_metals/news/rns/story/xz9m6or
(https://polaris.brighterir.com/public/panther_metals/news/rns/story/xz9m6or)
)

 

2:             Company announcement, dated 5 March 2024, 'Obonga:
Extension of Purchase Agreement'

                (
https://polaris.brighterir.com/public/panther_metals/news/rns/story/rggz6zr
(https://polaris.brighterir.com/public/panther_metals/news/rns/story/rggz6zr)
)

 

3:             Company announcement, dated 11 January 2024,
'Graphite Discovery Grows Significantly at Obonga'

( https://polaris.brighterir.com/public/panther_metals/news/rns/story/wv484pw
)

 

 

4:             Company announcement, dated 2 February 2023,
'Obonga: New VMS Camp Discovered & High Grades Intersected'

( https://polaris.brighterir.com/public/panther_metals/news/rns/story/x4gy0kx
(https://polaris.brighterir.com/public/panther_metals/news/rns/story/x4gy0kx)
)

 

5:             Company announcement, dated 18 January 2022, 'VMS
Mineral System Discovered on Obonga Project'

(
 https://polaris.brighterir.com/public/panther_metals/news/rns/story/x8kld5x
(https://polaris.brighterir.com/public/panther_metals/news/rns/story/x8kld5x)
)

 

 

 

For further information please contact:

 

 

Panther Metals PLC:

Darren Hazelwood, Chief Executive Officer:            +44(0) 1462
429 743

 
                              +44(0) 7971 957 685

Brokers:

Tavira Financial Limited

Christopher James
Kipling                               +44(0) 203
833 3743

SI Capital Limited

Nick Emerson
                         +44(0) 1438 416 500

 

Notes to Editors

Panther Metals PLC is an exploration company listed on the main market of the
London Stock Exchange. Panther is focussed on the discovery of commercially
viable mineral deposits. The Company's operational focus is on established
mining jurisdictions with the capacity for project scalability. Drill targets
are assessed rapidly utilising a combination of advanced technologies and
extensive geological data to decipher potential commercial viability and act
accordingly. Panther's current geological portfolio comprises of three highly
prospective properties in Ontario, Canada.

Obonga Project

Panther Metals acquired the Obonga Greenstone Belt in July 2021 and have
already identified five prospective primary targets: Wishbone, Awkward,
Survey, Ottertooth and Silver Rim. A successful Phase 1 drilling campaign at
Wishbone in Autumn 2021 revealed the presence of significant VMS-style
mineralised systems on the property - the first such discovery across the
entire greenstone belt. Intercepts include 27.3m of massive sulphide in hole
one, and 51m of sulphide-dominated mineralisation in hole two. Both drill
holes contained multiple lenses. Anomalous high-grade copper in lake sediment
close to the target area has also been identified, increasing confidence in
the prospectivity of the location.

Awkward is a highly anomalous magnetic target, interpreted to be a layered
mafic intrusion and magmatic conduit based on mapped geology and airborne
geophysics. Historic sampling in the area returned anomalous platinum and
palladium (Pt, Pd) values, while historic drilling on the periphery of the
target intersected non-assayed massive sulphide and copper (assumed to be
chalcopyrite), non-assayed disseminated pyrite and chalcopyrite in coarse
gabbro, and non-assayed 'marble cake' gabbro (matching the description of the
Lac des Iles Mine varitexture gabbro ore zone).

Two additional named targets, Survey and Ottertooth, both displays further
coincident magnetic and electromagnetic anomalies and are adjacent to the
contact between intrusive and extrusive mafic rocks. Historic drilling at
Survey intersected several meters of massive sulphides in multiple
intersections (main parts of the anomaly remain untested) while Ottertooth
remains untested in its entirety.

Dotted Lake Project

Panther Metals acquired the Dotted Lake Project in July 2020, it is situated
approximately 16km from Barrick Gold's renowned Hemlo Gold Mine. An extensive
soil programme conducted in 2021 identified numerous gold and base metal
targets, all within the same geological footprint. Following the installation
of a new trail providing direct access to the target location, an initial
drilling programme in Autumn 2021 confirmed the presence of gold
mineralisation within this system with anomalous gold continuing along strike
and present within the surrounding area.

Fulcrum Metals Plc

Fulcrum Metals PLC (LON: FMET) is an AIM listed exploration company which
finances and manages exploration projects focused on Canada, widely recognised
as a top mining jurisdiction.

 

Fulcrum's strategy is to focus on discovery and commercialisation of its
Projects through targeted exploration programmes. The primary focus is to make
an economic discovery on the flagship Schreiber-Hemlo Properties and
establishing the prospectivity of its wider Ontario and Saskatchewan portfolio
with a view to securing potential joint venture and/or acquisition interest.

 

Panther Metals Plc own 12.38% of the issued share capital of Fulcrum Metals
Plc and a 2% NSR on the Big Bear project.

Conclusion

Panther Metals understand that the commercial realities of building an
exploration company requires expertise in geology, finance, and the markets
within which they operate. The Company's extensive network of industry leaders
allows it to meet these objectives. Ultimately however, drilling success is
the only route to discovery: the fundamental objective of any exploration
company. Once Panther's world-class geological team identify the anomalies,
they work hard to get drilling. The drill hole is the only place where
substantial and sustained capital growth originates and it's with that
operational focus Panther Metals will continue to advance.

 

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