Resource Mining Corporation Ltd (ASX:RMI) has executed a binding term sheet to acquire Element92 Pte Ltd, the owner of three projects in Finland: the Ruossakero Nickel Project in Northern Finland, the Kola Lithium Project in Central Finland, and the Hirvikallio Lithium Project in Southern Finland.
The company completed extensive due diligence activities on the target projects, including acquiring a large volume of historical data on the projects and the commissioning of an external review by Skapto.
Resource Mining Corporation’s executive chair and consultants then confirmed the review's findings with a site visit that generated new prospective lithium targets on the tenure.
RMI negotiated all-scrip acquisition terms to the tune of 40 million RMI shares at $0.10 per share. The agreement is now subject to execution of formal documentation.
Search begins for strategic partners
“We are excited to have secured agreement to acquire this portfolio of highly prospective nickel and lithium projects in Finland following an extensive due diligence process,” Resource Mining Corporation executive chair Asimwe Kabunga said.
“We are already in early-stage discussions with potential strategic partners for the development of these projects and I look forward to completing this acquisition and finalising those negotiations which will add significant further value to our shareholders.”
The projects sit near other companies' lithium projects, and are host to historical mines and known lithium pegmatite occurrences, giving RMI confidence in the tenements' prospectivity.