GREAT ATLANTIC RESOURCES CORP. (TSXV.GR) is pleased to announce that it has initiated a proposal to spin off to its shareholders a portion of its holdings of its wholly-owned subsidiary Atlantic Canada Graphite Inc. (“AC Graphite”). It is expected that AC Graphite will apply for a stock exchange listing of its common shares.
Great Atlantic holds an option to acquire a 100% interest in the Christmas Island gold and graphite property, which is located in Nova Scotia. The Company has completed an exploration program to expand on known gold and graphite showings and conduct the first systematic geological exploration on the property. The program included compilation of current and historic data consisting of Airborne and Ground VLF along with Mag and IP surveys. Surface outcroppings corresponding with the VLF-EM surveys have identified a sizeable graphite-bearing structure. These surveys appear to have identified widely disseminated graphite as well as graphite veining. Prospecting and sampling of known and new outcroppings of graphite and gold were also conducted.
The spin-off will be transacted by way of a statutory plan of arrangement (the “Plan of Arrangement”) under the Business Corporations Act (British Columbia). Pursuant to the terms of the Plan of Arrangement, Great Atlantic will distribute a percentage of the outstanding common shares of AC Graphite to holders of common shares of Great Atlantic.
Great Atlantic will convene a special meeting of Great Atlantic shareholders at which the shareholders will be asked to vote on a special resolution approving the Plan of Arrangement. If approved, the spin-off would be completed shortly thereafter, subject to the receipt of all necessary approvals. Further press releases will be issued by the Company when the exact dates are known.
The spin-off is subject to numerous conditions including shareholder and court approval, approval by, and listing of the common shares of AC Graphite and completion of all regulatory filings.
About Great Atlantic Resources Corp.:
Great Atlantic Resources Corp. is a Canadian exploration company focused on the discovery and development of mineral deposits in Atlantic Canada which is a sovereign risk free domain. Recently New Brunswick was announced as the number one mining region in the world. Great Atlantic has assembled the A-team of explorers in the region with decades of experience and known track records for discoveries. Currently the company is propelling forward under a project generation model with a focus on Antimony, Tungsten and Gold.