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TORONTO - Sulliden Mining Capital Inc. (TSX:SMC), currently trading near its 52-week low with a market capitalization of $274.31M, has acquired a 48% interest in a nickel, zinc, and lead mining exploration project in Poland through the purchase of shares in Ferrite Resources Polska sp. z o.o., the company announced Thursday. According to InvestingPro analysis, the company operates with a significant debt burden and hasn’t been profitable over the last twelve months.
The project consists of two concessions: Szklary, a nickel laterite deposit located approximately 50km south of Wroclaw, and Dabrowka, situated 25km north of Katowice. With the company’s stock showing a -31.92% return over the past six months, this acquisition represents a significant strategic move. Get deeper insights into Sulliden’s financial health and growth potential with InvestingPro, which offers 5 additional key investment tips for this stock.
As consideration for the acquisition, Sulliden paid €62,500 to Ferrite Resources Pty Ltd., a private Australian company, and agreed to indemnify a former director of the target company for any costs related to his previous position.
The Szklary deposit has historical production recorded as 3.5 million tonnes at 0.79% nickel, totaling 28,000 tonnes. It also has a historical inferred mineral resource of 32.9 million tonnes at 0.70% nickel, according to a JORC-compliant estimate filed with the Australian Securities Exchange in July 2008.
Sulliden noted that approximately 2,500 holes were drilled during the Soviet era, but the company expects to drill an additional 30 holes to confirm the historical resource due to the absence of drillcore.
For the Dabrowka property, which has an existing historical shaft, Sulliden anticipates drilling 27 additional holes to complement historical exploration data.
The company also announced the termination of its previously announced transaction to indirectly acquire a 5.2% interest in the same project.
A qualified person as defined by National Instrument 43-101 has not done sufficient work to classify the historical estimates as current mineral resources, and Sulliden is not treating them as such, according to the press release statement. The company currently maintains a weak financial health score according to InvestingPro metrics, with a current ratio of 0.8 indicating potential liquidity challenges. Discover comprehensive analysis and detailed financial metrics in the Pro Research Report, available exclusively to InvestingPro subscribers.
In other recent news, Summit Midstream Corp has made significant updates to its executive compensation agreements. As detailed in a filing with the SEC, J. Heath Deneke will receive an annual base salary of $795,000, with a target annual bonus of 120% of his salary, which can vary from zero to 300% based on performance. His long-term incentive plan target is set at 450% of his annual salary. Similarly, James D. Johnston and William J. Mault will each have an annual base salary of $450,000, with target bonuses of 85% and long-term incentive targets of 233% and 240% of their salaries, respectively. These changes are part of amendments to their existing employment agreements. Additionally, at the company’s annual meeting of stockholders, J. Lee Jacobe and Jerry L. Peters were elected as Class I directors, while Jason H. Downie was elected by Class B stockholders, all for terms expiring in 2028. Deloitte & Touche LLP was ratified as the independent registered public accounting firm for the fiscal year ending December 31, 2025. An advisory resolution on executive compensation was also approved by the stockholders.
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