Nickel sulphide and vanadium exploration-stage mining company Flying Nickel Mining has completed its previously announced merger with Gibellini vanadium project owner Nevada Vanadium Mining.
Under the terms of the transaction, the shareholders of Nevada Vanadium shareholders received one common share of Flying Nickel for each Nevada Vanadium Mining share held. Flying Nickel has issued a total of around 65.9 million of its shares.
The transaction, initially expected to close in December 2022, was delayed due to several factors.
These included staff turnover at the end of the year, a change in auditors in December 2022, and a shift in the fiscal year end from December 31 to March 31, effective for the 15 months ending 31 March 2023.
Both parties signed a non-binding letter of agreement for the transaction in August 2022, followed by a definitive agreement in October 2022.
Through the acquisition of Nevada Vanadium, Flying Nickel aims to diversify its assets by expanding the company’s focus from nickel exploration to include vanadium in the critical minerals space.
The deal will also help Flying Nickel to diversify geographically to span both Canada and the US.
Nevada Vanadium is focused on advancing its vanadium resources in Nevada, US, while Flying Nickel is progressing its nickel project in Manitoba, Canada.
Following the completion of the merger, Nevada Vanadium has become a wholly owned subsidiary of Flying Nickel.
Last month, Flying Nickel Mining signed a binding letter of intent with Norway House Cree Nation to divest the former’s Minago nickel project and its related assets and undertaking located in the Thompson nickel belt of Manitoba, Canada.
The consideration for the Minago assets will be either C$7.3m ($5.34m) in cash along with 31 million Flying Nickel shares, or C$8m ($5.8m) in cash with 17.6 million Flying Nickel shares.
