Mining: Base Metals Group

IBK Capital worked with Mark Selby, Noble Minerals, Spruce Ridge Resources and a private company to create Canada Nickel Company. IBK Capital raised a total of $745,000 of initial seed capital money for Canada Nickel Company through private placements of common shares in advance of the company’s February 2020 listing on the TSX Venture Exchange. IBK Capital also advised the transfer of mineral resource property interests in Crawford township, Ontario from Noble Mineral Exploration Inc. to Canada Nickel. The flagship Crawford property located in the prolific Timmins-Cochrane mining camp is 100% owned by Canada Nickel. Mark Selby, Chairman and CEO of Canada Nickel, is proving Crawford to be a leading world-class nickel sulphide deposit. Recent drilling programs at the Crawford project have discovered higher-grade nickel-cobalt and nickel-PGE sulphide mineralization setting Crawford apart from other similar type deposits in Canada. His goal is to see these deposits develop into multi-generational mines and metal businesses in Timmins, Ontario to power the electric vehicle and electronics revolution.

IBK Capital raised a total of $8.6 million for Ring of Fire Resources Inc. (now Noble Mineral Exploration Inc.) by way of private placements.  The company is focused on the exploration of nickel and gold discoveries on its 150,000 acre property located just north of Timmins, Ontario, Canada.  In addition, IBK Capital advised the company on the purchase of the private property from a timber company with the financial backing from Franco Nevada Corporation.

IBK Capital has raised a total of $3.9 million for Cobalt Blockchain Inc. through brokered private placements of common shares and units of common shares and warrants. The company is comprised of three core value propositions: i) targeting of large-scale, high-grade cobalt exploration and development projects in the Democratic Republic of the Congo (DRC); ii) a cobalt trading business to generate early cash flow that empowers locals and supports conflict-free, ethically-sourced mineral trading and iii) a best-use application of blockchain technology that could transform the tracking and tracing of minerals.  Peter Copetti, an experienced capital markets professional, joined Cobalt Blockchain Inc. in August 2020 as Chairman and CEO. His vision to inspire a socially responsible transformation of the mineral supply chain reaffirms the company’s focus to bring ethically sourced cobalt to market. Over 60% of the world’s supply of cobalt is mined in the DRC. The world’s cobalt consumers must work with the country’s people to usher in a new way of ethically and responsibly sourcing this critical battery and electronics metal. Mr. Copetti’s team of senior management has over ten years of experience working in the DRC and has a proven international track record in exploration success and trading of certified conflict-free minerals.

IBK Capital raised a total of $94.7 million for Noront Resources Ltd. through multiple private placements of units of common shares and warrants, and units of flow-through shares and warrants. In the summer of 2007, Noront began drilling at its Double Eagle Project at McFaulds Lake in the James Bay Lowlands of Northern Ontario, about 700 kilometres north of Sudbury. The assays from the first hole showed a 36 metre intersection of impressive nickel, copper, platinum and palladium grades on a deposit now called “Eagle One”. Highlights from Eagle One include assays from its fifth hole, having 117 metres grading 4.1% nickel, 2.2% copper, 2.1 grams per tonne platinum, 7.1 grams per tonne palladium, 0.4 grams per tonne gold and 6.3 grams per tonne silver. A NI 43-101 compliant resource estimate was completed for Eagle One in July 2008, showing a measured and indicated resource of 1.8 million tonnes grading 1.96% nickel, 1.18% copper, 1.12 grams per tonne platinum and 3.91 grams per tonne palladium and an inferred resource of 1.1 million tonnes of 2.39% nickel, 1.27% copper, 1.37 grams per tonne platinum and 4.50 grams per tonne palladium.  This 2.9 million tonnes of high grade material has a nickel equivalent content of approximately 3.5% with a cut-off grade of 1.5% nickel. If the cut-off grade were reduced to 0.5% nickel, the tonnage would be expected to increase by many times.

In the summer of 2009, Noront announced that it had expanded Eagle One to depth, discovering new high grade zones which appear to be connected. Noront renamed its discovery the “Eagle’s Nest”.  Noront has also discovered another body of nickel/copper mineralization dubbed Eagle Two, multiple bodies of high grade chromite mineralization dubbed the Blackbird deposits, an iron ore/vanadium intercept dubbed Thunderbird, and a gold deposit called Triple J. Combined with Eagle One, these discoveries have resulted in an unprecedented staking rush in the area surrounding McFaulds Lake, now called the “Ring of Fire”.  Noront has amassed a huge area within the “Ring of Fire”, including about 1,100 square kilometres. Noront continues with an aggressive exploration campaign.

IBK Capital raised a total of $2,609,343 and $2,081,300 for Bold Ventures Inc. and Rencore Resources Ltd. respectively in two separate rounds of financing.  Both Bold Ventures and Rencore Resources have merged to become Bold Ventures being run by the previous management of Noront Resources, Richard Nemis, John Harvey and David Graham.  The company has staked land packages in the Ring of Fire based on airborne geophysics, and plan on exploring for more high-grade base metal deposits.  In addition, IBK Capital was agent for Bold Ventures in a joint venture agreement with Dundee Resources Limited whereby Dundee Resources has the right to earn-in up to a 33% interest in Bold Ventures and Rencore Resources’ Ring of Fire claims in exchange for $5 million in exploration expenditure.

IBK Capital raised $1.99 million for Hudson River Minerals Ltd., a private company going public by way of a reverse takeover with Prelim Capital Inc. Hudson River Minerals has properties on the Ring of Fire and plans to use its geophysical expertise to explore those properties.

IBK Capital raised $9.3 million by way of initial public offering for James Bay Resources Limited. James Bay Resources is an exploration company with a large land package in the Ring of Fire. James Bay’s electromagnetic survey shows a very strong EM conductive trend five kilometres by one kilometre in size.

IBK Capital raised a total of $11.9 million in private placements for MacDonald Mines Exploration Ltd. MacDonald Mines has one of the largest land packages in the Mcfaulds Lake region, with multiple desirable drill targets identified in their E/M surveys. As part of the financing, IBK Capital’s mandate was to introduce MacDonald Mines to strategic investors. Sheldon Inwentash, Chairman and Chief Executive Officer of Pinetree Capital Ltd., Robert McEwen, Chairman and Chief Executive Officer of US Gold Corp., Pierre Lassonde, Chairman of Franco-Nevada Corp., and Randall Oliphant, Chairman of Western Gold Fields Inc. purchased a substantial portion of the private placement. In addition, Julie Lassonde-Gray joined MacDonald Mines’ Board of Directors.

IBK Capital raised $4.45 million in three private placements for Spider Resources Inc. to fund exploration on its McFaulds Lake property.  Cliffs Natural Resources Inc. acquired Spider Resources for $125 million.

IBK Capital raised $2.1 million in two private placements for Hawk Uranium Inc. to fund exploration on its McFaulds Lake property.

In total, IBK Capital has raised approximately $139 million for exploration companies active in the McFaulds Lake area in Northern Ontario dubbed ‘Ring of Fire’.

IBK Capital raised $960,000 for OroAndes Resource Corp., to fund exploration of its Kilometre 26 nickel project in British Columbia.

IBK Capital raised $2.9 million for West High Yield (WHY) Resources Ltd. to fund the exploration of a nickel, cobalt, and magnesium deposit on its Ivanhoe project in British Columbia, Canada.

IBK Capital raised approximately $107 million for Caledonia Mining Corporation, a TSX and NASDAQ Bulletin Board listed company involved in cobalt, gold, platinum, base metals and diamond exploration activities in Africa.

IBK Capital raised $68.5 million in a private placement for Global Alumina Corporation which proposed to build, own and operate an initial 3.0 million tonne per annum green-field alumina refinery to be constructed adjacent to the existing bauxite mining operations of Compagnie Bauxite de Guinée in Sangaredi, Guinea. IBK Capital also advised the company to obtain a listing on the Toronto Stock Exchange through the reverse take-over mechanism.

IBK Capital acted as the special Canadian agent to Kemper Securities Inc. and Fleming Martin Inc., of the United States, to raise capital by way of a private placement for Stillwater Mining Company, a company engaged in the exploration, development, mining and production of platinum, palladium and associated metals from the Stillwater Complex in the State of Montana.  It is believed that the Stillwater Complex is the largest primary platinum and palladium-mining complex outside of the Republic of South Africa.

Eramet/Societé de Nickel, the world’s leading producer of ferronickel and high-speed steels, completed a private placement valued at US $130 million.  Paribas Capital Markets, the lead manager, selected IBK Capital to manage the Canadian tranche of this offering.  The company then did a global public offering for approximately $200 million in size, as part of the French government’s privatization program.