Evrima Plc - Investee Update

22 August 2022

Evrima plc

("Evrima" or the "Company")

Investee Update: Evrima Increases Holding in Eastport Ventures Inc. & Eastport Ventures Inc. Announce Holding in Premium Nickel Resources Limited

Evrima is pleased to provide an update on its position in investee company, Eastport Ventures Inc. (“EPV” or “Eastport”). The Company currently holds 3,377,888 ordinary shares of Eastport representing approximately, 6.85% of Eastport’s current issued share capital. In addition to the Company’s equity interest, Evrima holds a further 1,500,000 warrants with a strike price of $0.30c (CAD) and a life to expiry of 5-years from grant (17 June 2027). Should Evrima elect to exercise its warrants, the Company would have an interest of approximately 10% of Eastport.

Eastport’s last financing was conducted in December 2021 at $0.30c per share (CAD).

Further to the investee update that Evrima released with respect its investment interest in Premium Nickel Resources Ltd (“Premium Nickel”)(TSX-V: PNRL) on 18 August 2022. A link to press release can be accessed here. Premium Nickel is the result of the amalgamation of North American Nickel Inc. and Premium Nickel Resources Corp (“PNRC”). Eastport was one of the early seed investors in PNRC, and has, over the last 28-months, acquired 2,750,000 shares in PNRC (Eastportholds a total of 2,898,500 shares of the resulting issuer, Premium Nickel) A table below has been provided by Eastport. detailing the cost of all rounds participated by Eastport.

The last financing, prior to readmission, that Premium Nickel completed was for $17.5m (USD) at a subscription price of CAD$2.50.

Eastport Ventures Inc. Premium Nickel Resources Subscription Table:

[1] Closing Market price of TSX-V: PNRL 19.08.2022

[2] Please refer to the bottom of news release, for breakdown of resulting shareholding in PNRL on readmission

Evrima completed its initial investment in Eastport on 19 August 2021, per the announcement that can be viewed here. Evrima first subscribed in Eastport for 523,667 units, with each unit having a subscription price of $0.30 and consisting of one common share and one subscription warrant (“Warrant”), such warrants having a strike price of $0.60 and a life to expiry of five years.

By way of conversion of a debt-to-equity agreement, the Company acquired a further 1,854,211 common shares in Eastport at a subscription price of $0.30. Subsequently, Eastport and Evrima agreed to cancel the 523,667 warrants that had been issued in August 2021, and instead issue Evrima with 1,000,000 warrants over common shares, with a strike price of $0.10 per share. As a result of recent developments in Eastport, the Company has chosen to exercise its entire holding of 1,000,000 warrants at $0.10 per share.

Accordingly, Evrima’s resulting holding in Eastport is 3,377,888 common shares, being 6.85% of the issued share capital in Eastport, and acquired at a blended average purchase price of CAD$0.23 per share.

Related Party Disclosure

Burns Singh Tennent-Bhohi (CEO & Director & Shareholder of Evrima plc) is Founder, Shareholder, Executive Chairman, and CEO of Eastport Ventures Inc. Guy Miller (Director & Shareholder of Evrima plc) is a shareholder of Eastport Ventures Inc.

About Eastport Ventures Inc.

Formed by seasoned explorers and corporate investors, Eastport Ventures is a mining house registered in Ontario, Canada, that is predicated on building and maximising value from its asset base of investments and projects. Eastport is focused on making multiple discoveries from its project portfolio in Botswana, and aggressively growing its burgeoning internal investment division that is currently valued at several million dollars, based off its positions in quoted companies.

Eastport has patiently constructed a portfolio of advanced exploration assets targeting copper, nickel, uranium, and diamonds, whilst also having strategically invested in companies operating in Botswana. The mineral assets within Eastport’s project portfolio have seen an aggregate in excess of USD$15,000,000 in both historic and current capital expenditure. Cumulatively, Eastport’s projects cover a licence area of over 7,816 km².

Eastport Ventures Inc Internal Investment Division

Eastport established its internal investment division during the first half of 2020, for the purpose of building a portfolio of interests within the natural resource sector. Eastport will consider pre-production, production, and discovery-stage opportunities that it believes have the potential to deliver a meaningful ROI.

Additionally, the performance achieved to date, and the current value of the portfolio, provides Eastport with the optionality of self-funding its exploration programmes, without the requirement to issue further equity and prematurely dilute the intrinsic value within its project portfolio. Such strategic flexibility ensures that Eastport can navigate market turbulence in order to maximise the returns generated for its shareholders.

Premium Nickel Resources Limited

Evrima and Eastport have a mutual investee in Premium Nickel Resources Limited (“PNRL” or “Premium Nickel”. Premium Nickel, being the amalgamated company of North American Nickel Inc. and Premium Nickel Resources (hitherto a private Canadian company). The first day of dealing in PNRL shares was 18 August 2022.

Eastport Ventures Inc. has an interest in 2,898,500 shares in Premium Nickel, which is an intermediate global nickel-copper-cobalt company with assets in Botswana, Greenland, Canada, and Morocco. PNRL is currently focusing its efforts on advancing its 100% owned flagship Selebi Mine in Botswana.

The Selebi Mine is located in Botswana and consists of a single mining license covering an area of 11,504 hectares located near the town of Selebi Phikwe, approximately 150 kilometres southeast of the city of Francistown, and 410 kilometres northeast of the national capital Gaborone. The Selebi Mine includes two shafts (Selebi and Selebi North deposits) and related infrastructure (rail, power, and water). The Selebi deposit began production in 1980 and the Selebi North deposit began production in 1990. Mining terminated at both operations in 2016 due to a failure in the separate Phikwe processing facility and was subsequently placed under liquidation in 2017. 

The Directors of Evrima accept responsibility for this announcement.

This announcement contains information which, prior to its disclosure, was inside information as stipulated under Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations 2019/310 (as amended).

 Ends -

Enquiries  : 

Company: 
Burns Singh Tennent-Bhohi (CEO & Director): burns@evrimaplc.com
             
Simon Grant-Rennick (Executive Chairman): simon@evrimaplc.com

Novum Securities Limited (AQSE Corporate Adviser):

David Coffman / Lucy Bowden: + 44 (0) 20 7399 9400

Eastport Ventures Inc.*

*Eastport Ventures Inc. Total Holding in the “Resulting Issuer”:Following the readmission of the resulting issuer, Premium Nickel Resources Ltd, under terms of the amalgamation agreement Eastport Ventures Inc.  exchanged their shares in Premium Nickel Resources Corporation on a ratio of, 1.054 resulting in Eastport Ventures Inc. receiving 2,898,500 of the resulting issuer.

Please refer to the press release announced by North American Nickel Inc. on 15^th August 2022 - https://www.northamericannickel.com/English/news/news-details/2022/Premium-Nickel-Resources-Ltd.-Announces-Expected-Commencement-of-Trading-Date--Company-Overview/default.aspx