Arctic Star Exploration (ADD-V) Nov 16, '17 has closed its agreement to acquire a 100-per-cent interest in a 243-hectare exploration permit over the Black Wolf (Masta Susi) and the White Wolf (Valkoinen Susi) diamond-bearing kimberlites in northern Finland, through the purchase of Finland company Foriet Oy. The combined regional exploration and diamondiferous kimberlite property has been named the Timantti project (Timantti is Finnish for diamond).
Arctic Star is in the process of issuing 14,500,000 common shares at a deemed price of $0.20 per share for all the right, title and interest to Foriet Oy, a Finnish company that has the 243Ha exploration permit over the Wolf kimberlites in North-Eastern Finland. 10,000,000 of the Arctic Star shares are being issued to Dragon Equities Ltd., a UK company, which indirectly owns Foriet Oy, and 4,500,000 shares are being issued to the beneficial owners of a joint venture partner of Foriet Oy. Foriet Oy has become a wholly owned subsidiary of Arctic Star.
Of the 14,500,000 shares issued, 1,767,858 or 12.2% are being issued to 3 directors of the Company, Patrick Power, Buddy Doyle and Thomas Yingling, for their interest as beneficial owners of a joint venture interest in the Timantti Project granted by Foriet Oy to a private company in 2015. Until May 2017, it was not known whether the exploration permit granted by the Finnish government on the Timantti Project would remain valid, as the permit was challenged in court by certain Finnish parties. During the period of uncertainty, Foriet Oy received funding and strategic and exploration advice from a company partially owned by 3 directors of the Company, in exchange for a joint venture interest in the project. In May, 2017, the Finnish court upheld its prior decision and the exploration permit was made final. The Company has acquired the Timantti Project from Foriet Oy and the joint venture holders in its entirety, not subject to the rights of any joint venture party.
About Arctic Star: Arctic Star is an experienced diamond and mineral exploration company, with diamond exploration properties in Nunavut (Stein), the NWT (Diagras and Redemption) and in the Athabasca Basin of SK. The Company has been planning and de-risking its entry to Finland over the last year, and is pleased to present what it believes is the pre-eminent new field opportunity to shareholders in the Timantti Project.
ON BEHALF OF THE BOARD OF DIRECTORS OF
ARCTIC STAR EXPLORATION CORP.
“Patrick Power”
Patrick Power, President
(604) 689-1799 |
