Capella Minerals – Definitive Agreement For The Sale Of The Norway Copper-Cobalt Projects For $7million
Eric Roth, President and CEO of Capella Minerals (TSX.V:CMIL – OTCQB:CMILF) joins me to discuss the recent news on the agreement signed with NickelX for the sale of the Company’s copper, zinc and cobalt projects in central Norway. The total value of the sale is $7million, which encompasses $5million in cash and $2million worth of shares on the IPO of NickelX. The Company plans to then distribute the NickelX to shareholders.
There are four key steps that need to happen for the deal to close. I have Eric outline these steps and the expected timing of each. I also ask about the focus of Capella after this deal closes. This ties in with the proposed financing that was updated in the news and includes a new lead order.
Eric and I also discuss the market valuation of the Company. He compares the current market valuation of around $4million to the sale of the Projects for $7million.
If you have any follow up questions for Eric please email me at Fleck@kereport.com.
Thank you for the Excellent Interview, Cory.
Though the deal looks good in the present market conditions, as a large Capella share holder I still feel deprived or let down of my desire to be in the Cu exploration in Norway. The only reason I invested in Capella was for the Copper. Now that is been thrown out of the window and Eric claims that we may still have some exposure to Cu in Norway. I would like to know exactly how much exposure in the new outfit and whether that will be listed and traded in Canada.
Thank you.
Joe Tharayil