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First Mining Gold Sells Non-Core Royalty Portfolio to Elemental Altus Royalties Corporation

Feb 24, 2023

First Mining Gold Corp. announced it has completed the previously announced sale of its non-core royalty portfolio (the “Transaction”) to Elemental Altus Royalties Corp. (“Elemental Altus”) for total consideration of approximately C$6.7 million, comprised of C$4.7 million in cash and 1,598,162 common shares of Elemental Altus (the “Consideration Shares”).

First Mining’s royalty portfolio sale to Elemental Altus comprised of 19 royalties across four countries, and includes a 2.0% net smelter return (“NSR”) royalty on the Pickle Crow Gold Project that is located in Ontario and is being operated by Auteco Minerals Ltd., a 1.5% NSR royalty on the Hope Brook Gold Project that is located in Newfoundland and is being operated by Big Ridge Gold Corp., and a number of other royalties on exploration and development projects. 

Elemental Altus is an income generating precious metals royalty company with 11 producing royalties and a diversified portfolio of pre-production and discovery stage assets, and its common shares trade on the TSX Venture Exchange under the symbol ELE.

The Consideration Shares are subject to a statutory hold period of four months and one day from the issuance of the shares, expiring on June 22, 2023, along with a contractual restriction that expires six months after the closing date of the Transaction, namely August 21, 2023.

Previously, In January, 2023 First Mining Gold announced that it had consolidated its Duparquet Property in Northwest Quebec buy acquiring IAMGOLD’s claims at its Porcupine East property  located adjacent to the company’s Duparquet Gold Project and connecting First Mining’s land package to its Pitt and Duquesne projects to the east (the “Transaction”) for total consideration of:

-2.5 million First Mining common shares upon closing of the Transaction.

-The granting of a 1.5% net smelter return royalty on the Porcupine East Property to IAMGOLD upon closing of the Transaction;

-A future contingent payment of $500,000, in cash or First Mining shares, on the declaration of a minimum of 350,000 koz gold resource on the Porcupine East Property; 

-A future contingent payment of $1,000,000, in cash or First Mining shares, to be paid within 12 months of commercial production being declared at the Duparquet Gold Project, as long as any major surface infrastructure related to the Duparquet Gold Project has been constructed on the Porcupine East Property.

"We are very excited to announce this strategic consolidation around our Quebec assets increasing our land position by 50%,” said Dan Wilton, CEO of First Mining.  “These highly prospective claims are located in between our Duparquet, Pitt and Duquesne gold projects, and will provide First Mining with a contiguous property package covering 19 km of favourable stratigraphy in Quebec, in the heart of the Abitibi Greenstone Belt.”

“  We are also excited to embark on robust engineering and exploration programs that will continue to demonstrate the highly prospective nature of our Duparquet Gold Project and the surrounding projects,” added Wilton.  “We are also very pleased to welcome IAMGOLD as a shareholder of First Mining.  IAMGOLD has a significant presence in both Ontario and Quebec, and as we continue to advance both Springpole and Duparquet, we look forward to other opportunities to work together.”

The Porcupine East Property is strategically located between First Mining’s Duparquet Gold Project and First Mining’s Pitt and Duquesne Gold Projects.  With the addition of the Porcupine East Property, First Mining will increase its land position by 1,868 hectares for a total land package of over 5,800 hectares in Quebec.  It will also provide an additional 7 km of strategic ground along the prolific Destor-Porcupine Fault Zone, increasing First Mining’s total exposure to 19 km, including numerous secondary mineralized structures.  

The new amalgamated property now includes 3 past producing gold mines, 1 gold deposit and 17 mineral showings.

About First Mining Gold Corp. 
First Mining is a gold developer advancing two of the largest gold projects in Canada, the Springpole Gold Project in northwestern Ontario, where we have commenced a Feasibility Study and permitting activities are on-going with a draft Environmental Impact Statement ("EIS") for the project published in June 2022, and the Duparquet, Pitt and Duquesne Gold Projects in Quebec, a collection of advanced-stage development assets located on the Destor-Porcupine Fault in the prolific Abitibi region.

 First Mining also owns the Cameron Gold Project in Ontario and a portfolio of gold project interests including the Pickle Crow Gold Project (being advanced in partnership with Auteco Minerals Ltd.), the Hope Brook Gold Project (being advanced in partnership with Big Ridge Gold Corp.), and an equity interest in Treasury Metals Inc.

Visit: https://firstmininggold.com/

For further information, please contact:

Toll Free: 1 844 306 8827 | Email: info@firstmininggold.com

Paul Morris | Director, Investor Relations | Email: paul@firstmininggold.com 


Image First Mining Gold Owns Properties in Northwestern Ontario and Northwestern Quebec

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