#Canada #Vancouver #First Mining #First Majestic #Springpole

First Mining Gold Corp. and First Majestic Silver Reach Amending Agreement

In a significant move for the mining industry, First Mining Gold Corp. has announced an agreement with First Majestic Silver Corp. to modify the terms of their existing silver purchase contract. This modification was designed to facilitate the acceleration of a forthcoming payment tied to the Springpole Gold Project.

New Payment Terms

Originally outlined in a silver purchase agreement dated June 10, 2020, the final tranche payment, referred to as Tranche 3, has been transformed into a cash-only payment of $5 million. This payment is now scheduled to be completed by March 31, 2025. This agreement reflects a strong commitment between the two companies to advance the project's financial framework and operational timeline.

In exchange for the accelerated payment, First Mining has consented to amend the conditions surrounding 32,050,228 common share purchase warrants that were previously issued to First Majestic.

The warrants, set to expire earlier on July 2, 2025, will now have a revised exercise price of $0.20 and a new expiration date of March 31, 2028. Furthermore, should the trading price of First Mining’s shares on the Toronto Stock Exchange (TSX) hit or exceed $0.30 for 45 consecutive trading days, First Mining reserves the right to fast-track the expiry of these warrants.

Strategic Importance of the Agreement

Dan Wilton, CEO of First Mining, expressed his satisfaction with the new deal, calling it a vote of confidence from First Majestic at a crucial phase in the development of the Springpole Gold Project. When operational, this project is projected to become Ontario's largest silver production site, thereby securing essential resources for clean energy applications, including electric vehicles.

The advantages brought forth through this arrangement extend beyond corporate interests. The Springpole Gold Project is progressing towards the conclusion of its Environmental Assessment process, making it one of the advanced mining projects currently being developed in Canada. Amid concerns regarding US tariffs and varying macroeconomic conditions, the project is aimed at providing stability by bolstering local economies, generating government revenue, and creating employment opportunities—thus benefiting Indigenous and local communities in the region.

About First Mining Gold Corp.

Established by Keith Neumeyer in 2015, First Mining Gold Corp. is a robust figure in the Canadian mining landscape, focused on developing significant gold reserves across the country. Notably, the company is advancing two major projects: the Springpole Gold Project in Ontario, currently undergoing feasibility and permitting activities, and the Duparquet Gold Project in Quebec. Additionally, First Mining has expanded its portfolio with several other gold projects, ensuring a diverse array of investment and operational possibilities.

Conclusion

The collaboration between First Mining and First Majestic signifies a promising step forward both in terms of economic potential and strategic resource management within the mining sector. As the Springpole Gold Project approaches its operational phase, stakeholders from various sectors remain attentive to its trajectory and the broader implications for the North American mining landscape.

Investors, industry professionals, and local communities alike are encouraged to stay tuned for further developments as First Mining advances through the concluding stages of its project evolution, enhancing Ontario's mining resilience amidst global economic uncertainties.