Financings
Free Battery signs Cable Lake option assignment deal
FREE · Price
Executive Summary
- Free Battery Metal Ltd. entered an option assignment agreement to acquire an 80 % interest in the Cable Lake property, contingent on scheduled cash payments and exploration spend commitments.
- The company announced a non‑brokered private placement of up to 4 million common shares at $0.25 per share, intended to fund the second assignment fee, exploration work, new acquisitions, and general working capital.
- Completion of a financing of at least $750,000 by 31 Dec 2025 is required for the second $200,000 assignment payment; failure will terminate the 80 % interest.
Key Details
- Option Assignment Agreement (dated Oct 1 2025):
- Free Battery acquires an undivided 80 % interest in the existing option between Citizen Mining Corp. and Doctors Investment Group Ltd.; Citizen retains 20 %.
- Citizens’ right to acquire 100 % of Cable Lake (≈20,600 ha) requires:
- $250,000 payment to Doctors by 12 Nov 2025
- $300,000 payments each by 12 Nov 2026, 2027, and 2028
- $200,000 of exploration expenditures by 31 Dec 2025
- $1.8 million of exploration expenditures by 31 Dec 2028
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Property carries a 2 % NSR royalty, with 0.5 % purchasable for $1.5 million.
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Assignment Consideration to Citizen:
- Aggregate $250,000: $50,000 paid at execution; remaining $200,000 payable upon completion of a financing ≥ $750,000 by 31 Dec 2025.
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If the financing is not completed, the agreement terminates and Free Battery’s 80 % interest reverts to Citizen.
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Private Placement:
- Up to 4 million common shares at $0.25 per share (non‑brokered).
- Shares subject to a hold period of four months + one day from issuance.
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Potential finders’ fees payable in accordance with CSE policies.
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Use of Proceeds:
- Pay the second $200,000 assignment fee.
- Fund exploration activities on existing and newly acquired properties (including Cable Lake).
- Support new property acquisitions.
- Provide general working capital.
Notable Quotes
(No direct quotes were provided in the release.)