First Nordic Metals

First Nordic Completes Acquisition of its 100%-Owned Oijärvi Project in Finland

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First Nordic Completes Acquisition of its 100%-Owned Oijärvi Project in Finland

August 1, 2024
Regulatory

VANCOUVER, BC, August 1, 2024 – First Nordic Metals Corp. (“FNM” or the “Company“) (TSX.V: FNM, OTCQB: FNMCF, Frankfurt: HEG0) is pleased to announce that yesterday it completed its acquisition of the Oijärvi Gold Project (“Oijärvi” or the “Project“) that was announced on July 15, 2024 (the “Transaction“). Oijärvi is a 17,600 hectare greenstone belt land package that includes the Kylmäkangas gold deposit, which contains a high-grade underground resource that has seen limited drilling.

The Transaction was effected by way of a subscription agreement between FNM and Agnico Eagle Mines Limited (“Agnico Eagle“), pursuant to which Agnico Eagle exchanged amounts due under the asset purchase agreement between certain subsidiaries of FNM, certain subsidiaries of Agnico Eagle and EMX Royalty Corporation dated March 19, 2021, as amended May 1, 2023 (the “Purchase Agreement“) for 27,954,872 common shares of the Company (the “Shares“).[1]

FNM issued the 27,954,872 Shares to Agnico Eagle at a subscription price of C$0.2925 per Share for gross proceeds of $8,176,800, which proceeds were used by FNM to immediately satisfy the remaining consideration payable to certain subsidiaries of Agnico Eagle under the Purchase Agreement. The Transaction was treated as a shares-for-debt transaction under the policies of the TSX Venture Exchange (the “TSXV“) and remains subject to final acceptance of the TSXV.

In connection with the Transaction, Agnico Eagle and FNM entered into an investor rights agreement that provides Agnico Eagle with, among other things, certain rights in the event it maintains minimum ownership thresholds in the Company, including: (i) the right to participate in equity financings; (ii) a top-up right that would permit Agnico Eagle to increase its holdings in FNM to 19.9%; and (iii) the right (which Agnico Eagle has no present intention of exercising) to nominate one person to FNM’s board of directors.

The Shares issued to Agnico Eagle in connection with the Transaction are subject to a four month hold period from yesterday’s date in accordance with applicable securities laws.

ABOUT FIRST NORDIC METALS
The Company’s flagship asset is the Barsele gold project, located in Sweden and in a joint venture with senior gold producer Agnico Eagle Mines Limited. Ownership in the Barsele gold project is currently 55% Agnico Eagle and 45% FNM (Agnico Eagle has the right to earn an additional 15% by completing a pre-feasibility study). Immediately surrounding the Barsele project, FNM is the 100%-owner of a district-scale license position of close to 100,000 hectares on both the prolific Gold Line and Skelleftea VMS belts. Additionally, in northern Finland FNM holds the entire underexplored Oijärvi Greenstone Belt.[2]

ON BEHALF OF THE BOARD OF DIRECTORS
Taj Singh, M.Eng, P.Eng, CPA
President & CEO, Director

Additional Information & Qualified Person:
[1] Details of the acquisition of the Project are set out in the Purchase Agreement, which has been filed by Gold Line Resources Ltd. (acquired by FNM) under its profile on SEDAR+.

[2] All technical information on the Project is based on the 2022 Technical Report by ARFY Finland Oy entitled “Mineral Resource estimate NI 43-101 Technical Report – Kylmäkangas Gold Project, AFRY Finland Oy, July 25, 2022” effective date of July 25, 2022, filed on SEDAR+ by Gold Line Resources Ltd. (acquired by FNM).

Benjamin Gelber, Chief Technical Director of FNM, a qualified person as defined in National Instrument 43-101, has reviewed and approved the technical disclosure contained in this news release.

For further information contact:
Alicia Ford
Business Development Manager
Phone: 604-687-8566
Email: info@fnmetals.com

Follow First Nordic Metals:
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Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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Cautionary Note Regarding Forward-Looking Statements

This press release contains statements which constitute “forward-looking information” within the meaning of applicable securities laws, including statements regarding the terms and conditions of the Arrangement, timing for the hearing for the final order of the Supreme Court of British Columbia to approve the Arrangement and the timing and ability of Gold Line to complete the Arrangement. Forward-looking information is often identified by the words “may”, “would”, “could”, “should”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” or similar expressions.

Investors are cautioned that forward-looking information is not based on historical facts but instead reflect Gold Line’s respective management’s expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although Gold Line believes that the expectations reflected in such forward-looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of Gold Line. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking information are the following: the ability to obtain necessary approvals in respect of the Arrangement, the ability to consummate the Arrangement,; the ability to obtain requisite court approvals and the satisfaction of other conditions to the consummation of the Arrangement on the proposed terms and schedule; the potential impact on exploration activities; the potential impact of the announcement or consummation of the Arrangement on relationships, including with regulatory bodies, employees, suppliers, customers and competitors; the re-rating potential following the consummation of the Arrangement; changes in general economic, business and political conditions, including changes in the financial markets; changes in applicable laws; compliance with extensive government regulation; and the diversion of management time on the Arrangement. This forward-looking information may be affected by risks and uncertainties in the business of Gold Line and market conditions. This information is qualified in its entirety by cautionary statements and risk factor disclosure contained in filings made by Gold Line with the Canadian securities regulators, including Gold Line’s financial statements and related management’s discussion and analysis for the financial year ended December 31, 2022 and its interim financial reports and related management’s discussion and analysis for the period ended September 30, 2023 filed with the securities regulatory authorities in certain provinces of Canada and available at www.sedarplus.ca.

Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although Gold Line has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended, and do not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.