Blue Moon Metals Inc. (BMM) News & EventsBMMBlue Moon Metals Inc.

Blue Moon Metals Acquires 100% Turner Copper-Gold Deposit from Gold Coast Mining

Blue Moon Metals announces that it has signed a definitive agreement with Gold Coast Mining to acquire 100% of the Turner Copper-Gold deposit located in O'Brien, Oregon. Turner is a past producing volcanic massive sulphide, or VMS, deposit located near the border between Oregon and California. The deposit type and associated metals are similar the Company's Blue Moon Mine located near Mariposa, California, which the Company is currently advancing through the development of a ramp with underground diamond drilling ongoing into the mineralization. The Company believes that material that is extracted from Turner and the Blue Moon Mine may allow for comingling, or at least, use a similar flotation mill to produce both copper and zinc concentrates with strong precious metals credits. Additional metallurgical and engineering-related studies are required to verify if comingling is possible before it can be integrated into any future engineering report. These studies will be initiated to develop a PEA that is expected to incorporate the Blue Moon Mine and Turner with a new 1,800 tpd mill at the Company's Springer complex in Nevada. It is expected that the extracted material from both projects will be transported primarily by rail, however, transportation studies are required to demonstrate viability. The Company is targeting to complete these studies by the end of 2027. In the meantime, Blue Moon will initiate permitting for exploration drilling and underground development at Turner, which is expected to take 12 to 18 months. It should be noted that the Company undertook a similar permitting methodology for the Blue Moon Mine in California. For Turner, it will be assumed that there is no processing of extracted material in Oregon. Turner is a Cyprus-type, VMS deposit that is located approximately 40 miles southwest of Grants Pass, Oregon near the border with California. The deposit can be potentially exploited by underground mining methods, and the project is contained within three patented mining claims, which total approximately 60 acres. An additional 574 acres of contiguous private land is also part of this transaction, as well as 15 unpatented lode mining claims. Blue Moon is acquiring 100% of Turner, consisting of approximately 634 acres of private land and 15 unpatented claims, subject to an existing 1.5% NSR royalty, clear of all other encumbrances for the following consideration: $4.70Min cash, subject to the payment of a $500,000 deposit on announcement; the issuance by Blue Moon to Gold Coast of 4,778,761 common shares of Blue Moon's issued and outstanding common shares worth $27M, based on a 20-day VWAP price of $5.65/sh, in 4 equal tranches over a 12-month period following closing, provided that the release of tranches 2 through 4 of the share consideration may be accelerated in accordance with the terms of the definitive agreement of the Transaction; additional milestone payments in cash upon the achievement of the following: A cash payment in the amount of $2M upon receiving the necessary permits to begin underground exploration and/or development of Turner; A cash payment in the amount of $2M upon receiving the necessary permits to begin mining of Turner; and a cash payment in the amount of $3M six months following the commencement of commercial production from Turner. Key conditions precedent to completion of the Transaction are TSX-V approval and other items customary to an asset sale transaction. A negotiated definitive agreement has been executed by the Seller and Blue Moon on September 22 and completion is expected to occur in November. This is an arms-length Transaction and no finders' fees are being paid. The Company has granted a total of 50,000 incentive stock options under the Company's share compensation plan to a consultant of the Company. The Company has also awarded a total of 993,146 restricted share units under the Company's share compensation plan to officers and employees of the Company.

Blue Moon Metals Signs Strategic Transaction Agreement with Elmet

Blue Moon Metals (BMM), along with Elmet (ELMT), and EQ Resources announced signing a binding letter agreement regarding a series of strategic transactions intended to unlock the value of Blue Moon's Springer Tungsten Complex, located in Imlay, Nevada. The facility is permitted for construction and received approval of its bonding requirements from the State of Nevada to start construction and redevelopment of the mine on August 20. The facility is largely on fee lands, and contains a historical mineral resource from General Electric (GE) and Utah International of 10.7 MT of 0.45% WO based on historical data and reports prepared by the prior operators in 1984, as well as access to water, electricity, natural gas and tailings capacity and is a few miles away from the Union Pacific (UNP) rail-line and the I-80 highway. The company has not completed the work necessary to have the historical mineral resource estimate verified by a QP. The company is not treating the estimate as a current NI 43-101 defined resource and the historical resource estimate should not be relied upon. Further drilling this year and next year will be used to update the resource estimate, which will subsequently be reported in accordance with NI 43-101 standards. On September 3, Blue Moon acquired additional water rights and land to access the Union Pacific rail-line, with the potential to install a load-on/out facility. Blue Moon has previously indicated the Springer mine and mill are expected to be back in production in Q4-2027, and the APT plant is expected to be restarted 2H-2028, which will be potentially the first material tungsten concentrate production in North America and a significant new source of APT for the U.S. market. The contemplated transactions include: the formation of a joint venture entity among the parties to own and operate the APT Plant, an equity investment by TEG into Blue Moon, TEG's receipt of board representation in both Blue Moon and the Springer Project JV Entity; a supply agreement for EQ and Blue Moon tungsten concentrate offtakes to the APT plant at market pricing, a tungsten prepayment facility provided by TEG to Blue Moon to be repaid through a credit against sales of concentrate from Springer, and (vi) a site sharing agreement between Blue Moon and the JV Entity, covering the land, buildings, utilities, water, and services arrangements between the JV Entity and Blue Moon. The transactions contemplate a total investment from TEG of approximately $150M, split between investments in Blue Moon's activities at the Springer Site and a contribution to the JV Entity. An additional $25M has been set aside by TEG and EQ for additional standby requirements if needed to place the APT plant back in production. All Parties involved are arms-length. Collectively, these transactions are all part of the broader TEG initiative with the U.S. Department of War to secure america's tungsten supply chain. The DoW has been supportive in advancing the transactions, including completing a NEPA review of Springer.

Blue Moon Metals Acquires Land and Water Rights for $3.5M

Blue Moon Metals announce that it has entered into a definitive agreement to acquire a land package and its associated water rights, located near the Company's Springer mine in Pershing County, Nevada, USA, from a private third-party vendor for consideration of $3.5M in cash and $4.5M in common shares of Blue Moon. Christian Kargl-Simard, CEO of Blue Moon states, "This acquisition more than doubles Springer's existing water rights and ensures that Springer retains its flexibility to grow into the future as a hub-and-spoke processing complex. The land package can also act as a strategic logistics hub, with access to highway I-80 and adjoining the Union Pacific rail line."