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Vancouver, British Columbia--(Newsfile Corp. - May 1, 2024) - European Energy Metals (TSXV: FIN) (FSE: W28) ("European Energy Metals" or the "Company") is pleased to announce that it has completed its previously announced acquisition of the Finnish Pegmatite Project from Capella Minerals Ltd. ("Capella"). The Finnish Pegmatite Project was previously the subject to an earn-in agreement between the Company and Capella.
In exchange for a 100% interest in the Finnish Pegmatite Project, the Company paid Capella $250,000 in cash and issued 1,100,000 common shares (the "Consideration Shares") on closing. Capella also received a 2% net smelter royalty on the project, half of which may be repurchased by the Company at any time in exchange for the payment of 1,000,000 Euro. The Consideration Shares are subject to a statutory four month hold period as well as contractual restrictions on resale.
Jeremy Poirier, the Company's Chief Executive Officer, commented, "We are very pleased to obtain the TSX approval and close this previously announced transaction. We will now follow up on our highly successful 2023 exploration program. We expect to announce our 2024 exploration plans in coming weeks with commencement beginning before the end of May."
About European Energy Metals Corp.
European Energy Metals Corp. is a junior mining company currently focussed on the Lithium-Cesium-Tantalum Finnish Pegmatite Project in central Finland. Governing bodies in Europe and Finland are legislating environmentally friendly and energy independent laws and policies. One of the key components is access to REE and, specifically, lithium. The Company's concessions are located within 15 kms of the Keliber mine and production complex, currently under construction and expected to begin production in H2 2025. The Company cautions the presence of lithium mineralization on Keliber's properties is not necessarily indicative of similar mineralization on the Company's mineral reservations.
An estimated €600 million investment by Keliber's parent company Sibanye-Stillwater Limited (NYSE: SBSW) in partnership with the Finnish Minerals Group (www.mineralsgroup.fi) is underway in the Kautinen Region and will see the development of open-pit and underground mining from several deposits, construction of a central spodumene concentrator plant and a lithium hydroxide chemical plant at tidewater in Kokkola. When completed, this complex will comprise a complete hard-rock spodumene pegmatite lithium supply chain (source: www.sibanyestillwater.com).