Vancouver, British Columbia – (May 15, 2019) – Bankers Cobalt Corp. (TSXV: BANC; FSE: BC2; OTCQB:NDENF) (the “Corporation” or “Bankers”) ”), has entered into a binding letter agreement (the “Letter Agreement”) to acquire a 70 per cent interest in the M’Sesa copper and cobalt tailings project located near the village of Kambove, in Katanga Province, Democratic Republic of Congo (“DRC”) (the “M’Sesa Project”).
“We are excited to become involved in a more advanced project,” said Grant Dempsey, Bankers President and COO. “This represents an important change in Bankers strategy, using key relationships developed over years of involvement in the DRC to become the operator in a production project with the potential for near term positive cash flow.
Kevin Torudag, the founder of Bankers added: “We’ve been involved in the DRC community for over six years. The relationships we have built during that time have made this opportunity possible. The M’Sesa Project has the potential of providing good and safe employment in accordance with high Canadian standards for the local community. We are also working on other long-term initiatives in collaboration with local organizations that will have a positive social impact in the DRC.”
M’Sesa Project, DRC
The M’Sesa Project will be a 70/30 joint venture between Bankers and an arms-length private DRC company (the “JV Partner”). No upfront consideration will be paid. Bankers will be operator taking advantage of the extensive DRC tailings operations experience of President and COO Grant Dempsey. The Letter Agreement provides Bankers with a 90-day due diligence period. Planned due diligence will include auger drilling to confirm representations of the estimated tons and grades available in the tailings and waste material. Bankers expects the confirmation auger drilling program once commenced will take 60 days to complete. The Letter Agreement contains certain other customary conditions precedent, including the execution of definitive agreements.
“This project represents the first stage of a strategic shift to involve Bankers in production and cash flow operations in the DRC reducing our dependence on equity capital,” said Stephen Barley, Bankers Chairman and CEO. “It is taking full advantage of the operational experience and DRC relationships of our management team. We remain committed to building value for our stakeholders and contributing to the local community in a transparent and ethical manner.”
Bankers is a natural resource company with a primary focus on the acquisition, exploration, development and operation of cobalt and copper mineral projects in the DRC and Namibia. Bankers has entered an agreement to operate and process the DRC based M’Sesa tailings and waste materials to recover copper and cobalt. Bankers has also acquired an option on licenses covering 1,078 km² in Namibia with the potential for copper, cobalt and other metals. Bankers holds rights to nine mineral projects strategically located in the southern DRC Copperbelt. Bankers has the intention to acquire interests in additional concessions or relinquish concessions in the normal course of business. All DRC concessions were obtained as either new grants or through reputable DRC partners and have clean title. Bankers has an experienced management team operating in the southern CopperBelt of the DRC and Namibia.
ON BEHALF OF THE BOARD OF BANKERS COBALT CORP.
President & CEO.
For further information:
Neither 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.
This news release contains “forward-looking information” within the meaning of applicable securities laws including statements relating to the outlook of the business of the Corporation, including statement relating to the closing of the acquisition of the M’Sesa Project, the Corporation’s ability to complete confirmatory drilling, and the results of such confirmatory drilling and other due diligence. Although the Corporation believes considering the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate, that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them as the Corporation can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that the Corporation will not complete the transactions contemplated by the Letter Agreement and that confirmatory due diligence results will be different than expected. The statements in this press release are made as of the date of this release. The Corporation undertakes no obligation to comment on analyses, expectations or statements made by third-parties in respect of the Corporation its securities, or its financial or operating results.