Flying Nickel shareholders oppose Nevada Vanadium plan
Flying Nickel Mining Corp. [FLYN-TSXV, FLYNF-OTCQB] shareholders, who collectively own 35.5% of the company, say they do not support a proposal that would see the company acquiring all the issued and outstanding shares of Nevada Vanadium Mining Corp. by way of a court-approved plan of arrangement.
Nevada Vanadium’s (formerly 1324825 B.C. Ltd.) key asset is the 100%-owned Gibellini vanadium project, a proposed open pit, heap leach operation located in the Battle Mountain district of Nevada. The company’s shares are not listed for trading on any stock exchange.
The concerned shareholders are also opposed to three of the four board nominees proposed by Flying Nickel. The Nevada Vanadium takeover and Flying Nickel slate are both scheduled to be considered at the upcoming annual general and special meeting of Flying Nickel on July 10, 2024.
The concerned shareholders will encourage Flying Nickel shareholders to vote “against” the Nevada Vanadium takeover and “withhold” the Flying Nickel slate.
Flying Nickel’s flagship asset is the Minago Project, which is located in the Thompson nickel belt in Manitoba. The project is described on the company’s website as one of the world’s largest high-grade open-pit optimized platinum nickel sulphide deposits.
In an April, 2024 press release the company announced an updated mineral resource estimate, which includes a measured an indicated resource of 125,700 ounces of platinum, 279,330 ounces of palladium, and 689.5 million pounds of nickel.
Flying Nickel was spun out by Silver Elephant Mining Corp. [ELEF-TSX, SILEF-OTCQX, 1P2N]. Oracle Commodity Holding Corp. (formerly Battery Metals Royalties Corp.), a unit of Silver Elephant Mining, owns 45.9% of the issued and outstanding shares of Nevada Vanadium and approximately 35.1% of the issued and outstanding shares of Flying Nickel.
Back in October, 2022, Flying Nickel signed a definitive agreement to acquire Nevada Vanadium.
“The Gibellini Vanadium Project is an ideal complement to Flying Nickel’s Minago Nickel Project,’’ said Flying Nickel CEO John Lee, who is a director of both Flying Nickel and Nevada Vanadium.
However, the group of concerned shareholders, which includes Blackstone Minerals Ltd., Sparta AG and Norway House Cree Nation (NHCN), disagrees. “Flying Nickel needs a fresh start, and an opportunity to realize the true value of the Magino project and benefits of working closely with NHCN,’’ said Blackstone CEO Scott Williamson. “Voting against the NV [takeover] and against the Flying Nickel slate, and in favour of the concerned shareholders nominees is the only option that will lead to shareholder returns and a clear path forward for the Magino project.’’
Flying Nickel shares were unchanged at 11 cents on Friday and trade in a 52-week range of 15.5 cents and $0.05.