According to a recent report, Silver Elephant Mining Company recently said that it has worked with Victory Nickel Inc. An agreement was reached to acquire the Minago nickel project in the Thompson nickel belt in Manitoba province. Sean Stokes, chief executive of Victory Nickel Interim, said the deal would eventually eliminate the company's secured debt, give management the opportunity to restructure its unsecured debt and allow it to continue to participate in Minago projects in nickel and sandstone resources.
The Minago project includes a nickel sulphide deposit called the Nose deposit, which was advanced to the feasibility stage by Victory Nickel as an open-pit mine in 2009. Based on previous NI 43-101compliant resource calculations, it contains a measured resource of 136.4 million pounds of nickel and an indicative resource of 484 million pounds of nickel. The most important thing is that the inference resource is 170.4 million pounds.
Silver Elephant said it had agreed to acquire the Minago project from Victory Nickel for $11.6 million, including $6.7 million of some secured debt owed by Victory Nickel to Silvery at the completion of the transaction and the issuance of Silver Elephant common shares to be purchased at $5 million within one year.
Daniel Oosterman, vice president of exploration and development in Canada, said the acquisition of Minago immediately pushed Silver Elephant to the forefront of nickel sulphide minerals, providing a much-needed category 1 nickel and lithium battery cathode standard for long-distance, high-intensity, fast-charging NMC 811 (80% nickel, 10% manganese, 10% cobalt) to promote the adoption of large-scale electric vehicles (EV).
