QC Copper and Gold Inc. (TSX-V:QCCU, OTCQB:QCCUF) announced that it plans to acquire 100% of Cuprum, owner of the Theirry copper project in Pickle Lake, Ontario, in an all-share deal.
With this acquisition, QC Copper highlighted it would own two major copper deposits in Canada, Thierry and Opemiska, located in Quebec.
The Thierry Project, a past producer spanning 7,907 hectares, offers substantial growth potential with historical and current resources, including two resource-stage deposits, K2 and K1, as well as additional zones with historical data.
This acquisition could potentially increase QC Copper's copper resource base by 70%, positioning the company as one of Canada's leading copper developers.
Under the terms of the share purchase agreement with Cuprum's principal shareholders, who collectively own 41.3% of the company, and the offer made to all remaining shareholders, QC Copper will issue 1.1538 QC Copper common shares for each Cuprum share, based on QC Copper's share price of $0.13. In total, QC Copper will issue 82.76 million shares to complete the acquisition, securing full ownership of Cuprum's assets.
Following the acquisition, QC Copper plans to rebrand as XXIX Metal Corp, a nod to copper's atomic number, 29.
The company aims to focus on both the Opemiska and Thierry projects, leveraging existing infrastructure to reduce costs and operational risks, and responding to the growing global demand for copper.
Stephen Stewart, QC Copper CEO, described the acquisition as a “transformative step” in QC Copper’s growth.
“Both Thierry and Opemiska are in mining-friendly areas with access to critical infrastructure such as all-season roads, power, and rail, and both historically sent copper concentrates to the Horne Smelter,” Stewart said.
“These geographic advantages reduce capital expenditure and operational risks while optimizing supply chain efficiency as the global copper market faces constraints.”
The CEO emphasized that securing copper supply is “more important than ever,” as exploration and development are both a record lows.
“Canada's mining sector is at a critical juncture, facing challenges like regulatory bottlenecks and underinvestment,” he said. “As we transition to XXIX Metal Corp, we are positioning ourselves to meet growing global demand and help Canada reaffirm its role as a global mining leader.”