MONTREAL, June 3, 2022 /CNW Telbec/ - BlackRock Metals Inc. ("BRM" or the "Company") is pleased to announce that it has successfully exited the CCAA process, enabling the continued development of the Company's speciality metals project targeting the production of vanadium, high-purity pig iron and titanium products, which includes a mine and concentrator near Chibougamau as well as a processing plant in Saguenay (the "Project"). As it moves forward, BRM will count on the support of two solid institutional investors to develop the Project. The Company's headquarters will remain in Montreal and a majority of its management team will continue to be in Quebec.

Following the completion of a Sale and Investment Solicitation Process (the "SISP"), the Superior Court of Québec issued an order on June 2, 2022 approving an agreement of purchase and sale with BRM's principal secured creditors, Investissement Québec ("IQ") and a fund managed by Orion Mine Finance ("Orion"). Pursuant to the Court's order, IQ and Orion have acquired the Company, including its subsidiaries, and are committed to developing the Project. The transaction was completed by way of a share purchase agreement and structured as a credit bid.

The transaction was intended to enhance the likelihood of BRM securing an approximately US$1.1 billion construction finance facility needed to construct and complete the Québec-based Project and become one of North America's leading speciality metals developers. 

Materials publicly filed in the CCAA Proceedings, including the Initial Order, and additional information with respect to the SISP and the Bid, are available on the Monitor's website at  https://www.insolvencies.deloitte.ca/blackrockmetals

Shareholders should consult their own tax advisors as to the possibility of realizing a capital loss upon the transaction as well as to obtain assistance and advice in determining the capital loss otherwise realized in connection with the transaction.

The Corporation has made available on the Monitor's website certain tax documentation and forms that may be required to be completed and filed, within 10 days following the date of the transaction, which occurred as of June 2nd, 2022, by certain shareholders, option holders or warrant holders, as applicable, which are non-resident of Canada. All non-residents of Canada should determine with their own tax advisors if any tax filings are required related to the disposition having regards to their own circumstances.

Established in 2008, BlackRock Metals Inc. is a privately-owned Canadian company developing a fully integrated, environmentally enhanced, metals and materials manufacturing business from its wholly owned, world-class vanadium and titanium bearing magnetite ("VTM") deposit in Québec, Canada. The Company intends to produce High Purity Pig Iron, Ferrovanadium and Titanium Slag in an integrated operation. The BlackRock Project includes what will be the first VTM mine in North America and is designed to utilize green hydrogen at the metallurgical plant. These critical minerals will be transformed in Québec into green products used by industry to produce and strengthen steel and aluminum alloys enhancing the reduction of global GHG emissions.  

SOURCE BlackRock Metals Inc.

For further information: Alexandre Meterissian (514) 972-0539 or ameterissian@blackrockmetals.com