Eagle Plains Concludes Sale of Saskatchewan Properties to Trident Resources

Transaction Overview

Eagle Plains Resources Ltd. has successfully finalized a purchase and sale agreement with Trident Resources Corp. concerning seven non-core claim blocks in Saskatchewan. This deal includes a total area of 4,711 hectares and was made following conditional approval from the TSX Venture Exchange.

Agreement Details

Under this arrangement, Trident Resources will acquire a full 100% interest in the specified properties for a cash payment of $5,000. Additionally, Eagle Plains will maintain a 2% Net Smelter Royalty (NSR) on all claims, with half of that royalty being available for purchase by Trident for $1 million.

Related Party Transaction

This transaction is noted as a Non-Arm's-Length deal due to overlapping directorships between the two companies, specifically involving Tim Termuende, who serves roles in both Eagle Plains and Trident Resources. As a result, the deal is subject to certain regulations under Multilateral Instrument 61-101.

Regulatory Compliance

Eagle Plains has indicated that they benefitted from exemptions concerning formal valuations and minority approvals, relying on specific sections of MI 61-101 given the transaction's value being less than 25% of the company’s overall market capitalization.

Company Background and Strategic Focus

Founded in 1992 and based in Cranbrook, British Columbia, Eagle Plains is dedicated to exploring and developing mineral projects in Western Canada, particularly in critical metals aligned with today’s decarbonized economy. Their strategic initiatives include the establishment of Osprey Power Inc., which aims to facilitate investments in clean energy projects across Canada.

Shareholder Value Initiatives

The company has a history of creating significant shareholder value, including successful spin-outs that have returned over $110 million to shareholders. Eagle Plains remains focused on advancing its project portfolio through extensive exploration efforts and partnerships.

Key Takeaways

Eagle Plains Resources has concluded a property sale agreement with Trident Resources for $5,000.

The deal includes a 2% Net Smelter Royalty, with half available for future purchase by Trident.

This transaction has been classified as Non-Arm's-Length due to directorship overlaps.

The company is exempt from formal valuation requirements due to the transaction’s market impact.

Eagle Plains continues to prioritize shareholder value and expansion in critical and green energy sectors.