Vancouver, British Columbia--(Newsfile Corp. - May 8, 2025) - Inomin Mines Inc. (TSXV: MINE) ("Inomin" or the "Company") is pleased to announce, further to its news releases dated November 4, 2024 and March 6, 2025, that it has entered into a earn-in and joint venture agreement dated April 25, 2025 ("Definitive Agreement") with Sumitomo Metal Mining Canada Ltd. ("Sumitomo"), an arm's length party, pursuant to which the Company granted to Sumitomo the right to earn up to an 80% interest in the Company's Beaver-Lynx project in south-central British Columbia (the "Project" or "Beaver-Lynx"). Sumitomo was also granted with the option to acquire certain non-mineral rights, including hydrogen, by incurring minimum exploration expenditures and providing Inomin other consideration described below.
Key Terms
Pursuant to the Definitive Agreement:
Sumitomo and Inomin agreed to form a joint venture with respect to the Project;
Sumitomo was granted an initial option (phase 1) to earn a 60% interest in the Project by incurring minimum exploration expenditures of $3,000,000 by the second anniversary of the Definitive Agreement;
Provided that Sumitomo has exercised the initial option, Sumitomo will have a second option (phase 2) to earn an additional 20% interest in the Project by incurring minimum exploration expenditures of $5,000,000 by the third anniversary of the date on which the initial option was exercised;
Provided that Sumitomo has exercised the initial option, Sumitomo will have the option to acquire certain non-mineral rights, including hydrogen, by paying Inomin $500,000 and grant to Inomin a royalty in certain circumstances as described in the Definitive Agreement;
Inomin will be the operator of the Project during at least the initial option period, entitling the Company to a fee equal to 10% of Project exploration expenditures incurred by the Company on behalf of Sumitomo; and
Inomin will be reimbursed by Sumitomo for exploration and related expenditures the Company incurred at the Project during the term sheet exclusivity period up to $100,000, which expenditures will count towards Sumitomo's expenditure requirement under the initial option.
A $1.7 million phase 1 work program is proposed in 2025 which is anticipated to include about 3,850 metres of drilling. Exploration is expected to start this summer. Previous Inomin drilling results for Beaver-Lynx were announced in 2023 and 2022, available on Inomin's website www.inominmines.com.
John Gomez, President of Inomin, comments, "We look forward to working with Sumitomo, a leading international resource project developer and producer, to test Beaver-Lynx's large mineral resource potential. Next drilling should work towards defining a maiden mineral resource at the Beaver South zone. Drilling should also assist to assess the Project's potential for natural hydrogen."
The Definitive Agreement is subject to TSX Venture Exchange ("TSXV") acceptance. There are no finder's fees payable in connection with the Definitive Agreement. In accordance with TSXV Policy 5.3 - Acquisitions and Dispositions of Non-Cash Assets ("Policy 5.3"), the trading of the common shares of the Company on the TSXV was halted on May 7, 2025 pending TSXV review, as the transaction with Sumitomo is expected to constitute a "Reviewable Transaction" for the Company, as defined in Policy 5.3. The trading halt will be lifted by the TSXV pending receipt and review of acceptable documentation as required under Section 5.6 of Policy 5.3.
About Beaver-Lynx
The Beaver-Lynx property comprises approximately 28,000 hectares and is ideally located in south-central British Columbia, 50 kilometres from the city of Williams Lake and adjacent to Taseko Mines' Gibraltar mine project, one of the largest open-pit copper mines in Canada. Beaver-Lynx is easily accessible by good all-season roads, and is close to hydro-electric power, as well as active railway lines.
The Company currently owns a 100% interest in the Project with no royalties. Exploration, including drilling, has demonstrated the Project may host large volumes of nickel and other critical minerals. Given positive initial drilling and metallurgical test results - as well as district-scale size - the Beaver-Lynx project has the potential to be a major nickel source. For further information about Beaver-Lynx, visit Inomin's website www.inominmines.com.
Google Earth satellite image of 28,000-hectare Beaver-Lynx project between Gibraltar and Mount Polley mines, two of the largest mining operations in British Columbia. Beaver is the northern property area connected to southern Lynx block. The project has excellent infrastructure nearby including roads, railway, and hydropower. The neighbouring resource communities offer comprehensive services and skilled mining work force.
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About Inomin Mines
Inomin Mines is focused on the identification, acquisition, and exploration of mineral properties with strong potential to host significant resources, especially critical minerals, as well as gold and silver projects. Inomin trades on the TSX Venture Exchange under the symbol MINE. For more information visit the Company's website: www.inominmines.com.
Inomin Mines Director, L. John Peters, P.Geo., a qualified person as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects, has reviewed and approved the technical information in this news release.
On behalf of the board of Inomin Mines:
Inomin Mines Inc.
Per: "John Gomez"
President and CEO
For more information and project partner opportunities please contact:
John Gomez
Email: info@inominmines.com
Telephone: (604) 723-9382
Cautionary Note Regarding Forward-Looking Information
This news release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "expects", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or "occur". This information and these statements, referred to herein as "forward-looking statements", are not historical facts, are made as of the date of this news release and include without limitation, statements regarding discussions of future plans, estimates and forecasts and statements as to management's expectations and intentions with respect to, among other things, timing of the Company's shareholder meeting, the plans and expectations of the Company with respect to Beaver-Lynx, mineralization at the Project, performance of the parties' obligations under the Definitive Agreement, the potential of Beaver-Lynx as a major nickel source, and that the mineral resource potential of the Beaver-Lynx will be realized.
These forward-looking statements involve numerous risks and uncertainties, and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, that the Company is not able to develop Beaver-Lynx as expected by management or pursuant to the Definitive Agreement, the risk that the parties to the Definitive Agreement will not perform their obligations as expected, the risk that the Company will not obtain shareholder approval of the Definitive Agreement on the timeline currently anticipate or at all, that the Company may not acquire sufficient financial resources to fund its operations and that the Company may fail to realize Beaver-Lynx's mineral resource potential.
In making the forward-looking statements in this news release, the Company has applied several material assumptions, including without limitation, that the initial option and second option will be exercised, that the Company will be able to realize Beaver-Lynx's mineral resource potential, that the Company will deploy resources in a manner that will allow the Company to conduct the exploration programs at Beaver-Lynx as planned, that future exploration programs at Beaver-Lynx will yield favourable results or results consistent with previous programs conducted at Beaver-Lynx, that the Company will obtain shareholder and TSXV approval of the Definitive Agreement in summer 2025 or at all, and that the Company will obtain sufficient funds to fund future operations.
Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws. We seek safe harbour.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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SOURCE: Inomin Mines Inc.
