In This Article:
Vancouver, British Columbia--(Newsfile Corp. - February 20, 2025) - Forge Resources Corp. (CSE: FRG) (OTCQB: FRGGF) (FSE: 5YZ) ("FRG" or the "Company") is pleased to announce that, further to its previous news release dated February 12, 2025, it has formally closed the acquisition of a further interest in Aion Mining Corp., ("Aion") bringing the Company's total interest to 60%.
Aion Acquisition
Pursuant to the formal agreement, the Company acquired common shares of Aion in order to bring the total ownership of the Company to 60% of the post-issuance common shares of Aion, calculated on a fully-diluted basis. In consideration, the Company paid an aggregate amount of $5,308,955.68 to Aion consisting of:
-
$2,808,955 in cash on closing; and
-
2,873,564 common shares of the Company at a deemed price of $0.87.
The Company and Aion plans to use the proceeds of the transaction to further the development of its La Estrella project.
The Company was also granted a right of first refusal for four years, allowing it to purchase common shares in Aion to offset any further issuances by Aion of securities in order to allow the Company to maintain a post-closing control position of 60% in Aion's voting securities on a fully-diluted basis.
Aion is a non-arm's length party to the Company by reason of Cole McClay being a director of both companies and Camilo Amador being a director of Aion and an officer of Forge. The terms of the formal agreement were reviewed and approved by a committee of the Company's independent directors.
PJ Murphy, CEO of Forge states: "We are excited to report the successful closing of our acquisition, which now brings our total interest in Aion Mining Corp. to 60%. This strategic milestone underscores our commitment to expanding our footprint in the mining industry and aligns with our vision for sustainable growth. Aion's proceeds from this transaction will be dedicated to developing the project's infrastructure, ensuring we have the robust foundations needed to advance our initiatives."
Completion of Audit and Independent Valuation
The Company completed an independent valuation conducted by Evans and Evans, Inc., a Chartered Business Valuator (CBV), which has affirmed the company's asset value. WDM Chartered Professional Accountants has performed an audit of Aion Mining Corp. to align with the ongoing audit requirements of Company.
About Forge Resources Corp.
Forge Resources Corp. is a Canadian-listed junior exploration company. The Company holds a 60% interest in Aion Mining Corp., a company that is developing the fully permitted La Estrella coal project in Santander, Colombia. La Estrella contains eight known seams of metallurgical and thermal coal. The Company also holds an option on the Alotta project, a prospective porphyry copper-gold-molybdenum project located 50 km south-east of the Casino porphyry deposit in the unglaciated portion of the Dawson Range porphyry/epithermal belt in the Yukon Territory of Canada.