Cornish Metals Inc today announced that it had reached an agreement with Osisko Gold Royalties Ltd to convert an outstanding amount of CA$7.17 million under the 2018 note financing into a royalty.
One of the conditions for Canadian company Cornish Metals, formerly known as Strongbow, is a successful listing on the London Stock Exchange’s alternative investment market for smaller and growing organisations, AIM.
A statement from Cornish Metals said that upon listing on AIM the note would convert into a 1.5% net smelter return (NSR) royalty on the South Crofty Tin Project and a 0.5% NSR royalty on any other mineral rights held by Cornish Metals in Cornwall that do not form part of the South Crofty Tin Project.
“This transaction clears the path forward for our company with a much cleaner balance sheet as we embark on our UK listing,” said Cornish Metals chief executive Richard Williams.
Cornish Metals Inc is an associate company of Canadian miner Osisko, and is building a portfolio of strategic metals assets in North America and the UK.