VANCOUVER, BC / ACCESSWIRE / MARCH 16, 2015 / GLOBAL COBALT CORP. (TSXV:GCO, OTC:GLBCF, 3P0.F) ("Global Cobalt" and/or the "Company") is pleased to announce that it is currently underway on a review of the Company's business and alternatives in order to protect value for its shareholders.
The strategic review will encompass a careful evaluation of the company's existing properties and projects, business plan, development strategy and capital structure and will consider various alternatives for the Company.
Strategic and financial alternatives may include, but are not limited to:
1.a settlement offer to the option agreement dated May 27th, 2013 (the "Option Agreement") and the loan agreement dated July 8th, 2013 (the "Loan Agreement") between Imperial Mining Holding Limited ("IMHL") and Global Cobalt,
2.the addition of further cobalt or strategic metal projects,
3.a separation of certain assets of Global Cobalt into two distinct publicly traded companies;
a.maintaining Global Cobalt including the Karakul Cobalt project and the Altai Satellite projects
b.spinning out a new, independent cobalt and other energy related metals focused company with assets including the Werner Lake and Iron Creek projects, and/or
4.a combination of the above.
The Board of Directors has established an ad hoc committee to oversee the strategic review and will then recommend options to shareholders. It is the Management's current intention not to disclose developments with respect to the strategic review process until the Board of Directors approve a specific action or it otherwise concludes pursuant to legal counsel's written opinions its review of strategic alternatives and determines that disclosure is necessary or appropriate. The Company cautions that there are no assurances or guarantees that the process will result in a transaction or, if a transaction is undertaken, as to the terms or timing of such a transaction.
The Company also announces discussions remain ongoing with IMHL regarding the Option Agreement and the Loan Agreement between IMHL and GCO with respect to the Karakul project. The Company cautions that there are no assurances or guarantees that discussions will result in any agreement.
Global Cobalt Corporation is a publicly traded Canadian resource company that was founded in 2007 to take advantage of the global transformation that is occurring in the strategic metals sector of the mining industry. Through a combination of acquisitions and internally developed businesses, Global Cobalt exploits market opportunities as they emerge in various sectors of the strategic metals sector with emphasis on those metals, such as cobalt, used in the rechargeable battery space.
For Further Information:
Mr. Mitchell Smith, Corporate Development
Suite 1501-128 West Pender Street
Vancouver, BC V6B 1R8
Tel: +1 (604) 688-4219
Fax: +1 (604) 688-4215
Email: info@globalcobaltcorp.com
TSXV:GCO; OTCBB:GLBCF; FRA:3P0; CUSIP:37890F
Cautionary Statement on Forward-Looking Information:
This news release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable securities laws, concerning the business, operations and financial performance and condition of the Company. All statements, other than statements of historical fact, are forward-looking statements. Forward-looking statements contained in this news release include statements with respect to: expectations regarding shareholder approval of the Amendment; the delivery of a National Instrument 43-101 compliant technical report and mineral resource estimate for the Karakul cobalt project and the ability of the Company to raise the additional funds required for the continued development of its mineral properties. Forward-looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from our expectations include uncertainty about the level of shareholder support for the Amendment and the share issuances contemplated thereunder; the need to obtain permits and governmental approvals; risks of construction and mining projects such as accidents, equipment breakdowns, bad weather, non-compliance with environmental and permit requirements, unanticipated variation in geological structures, ore grades or recovery rates; unexpected cost increases; fluctuations in metal prices and currency exchange rates; the impact of economic sanctions on companies conducting business in Russia; and other risk and uncertainties disclosed in reports and documents filed by the Company with applicable securities regulatory authorities from time to time. The forward-looking statements made in this news release reflect management's beliefs, opinions and projections on the date the statements are made. Except as required by law, Global Cobalt assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Global Cobalt Corp.
