Clean Air Metals and Fort William First Nation, Red Rock Indian Band and the Biinjitiwaabik Zaaging Anishinaabek jointly announced that they have advanced their relationship through a signed Memorandum of Agreement (the "MOA") effective as of January 8, 2020.
Clean Air Metals and its wholly-owned subsidiary, Panoramic PGMs (Canada) Ltd., are undertaking mineral exploration activities on mining claims located in the Greenwich Lake Area and Tartan Lake Area, related to the Company's Thunder Bay North Project.
The Company's exploration activities are located on lands which the Participating First Nations assert are part of their traditional territory and in which the Participating First Nations assert their members hold and exercise Aboriginal and/or Treaty rights.
As part of the consideration for the Participating First Nations working with Clean Air Metals on the design, approval and development of the Project and as part of the Company's accommodation of the Participating First Nations' interests and rights related to the Project, Clean Air Metals will issue to each of the Participating First Nations, 1 million (1,000,000) warrants to purchase common shares of Clean Air Metals on the terms set out below and subject to TSX Venture Exchange approval and applicable securities law, including the availability of exemptions from registration and prospectus requirements and regulatory hold periods, including a hold period of four months and one day from the date of issue of the warrants.
Each Warrant will have the following terms:
a. The exercise price of each Warrant will be $0.39, or such higher price as permitted by the TSX Venture Exchange.
b. The Warrants will expire five years from the date of this agreement and will be evidenced by a warrant certificate containing customary terms.
c. No Participating First Nation may, without the consent of the Company, transfer, sell or otherwise dispose of the Warrants or the common shares issued upon the exercise of such Warrants before the two-year anniversary of the signing of this agreement, except to one or more entities holding property for the benefit of that Participating First Nation, provided such entities agree to be bound by commitments in this section. ■