CanAlaska Uranium Ltd and Core Nickel Corp. have announced the closing of its spin out plan of arrangement. The plan consists of setting up a new publicly traded company, Core Nickel Corp., which will include all of CanAlaska’s uranium and nickel properties in central Manitoba. Under the spin out plan, shareholders of CanAlaska will receive shares of Core Nickel in exchange for their CanAlaska shares. This is an exciting development for the uranium industry as it allows CanAlaska to focus exclusively on uranium and Core Nickel to focus on developing its nickel resources in an organized manner.
The shares of Core Nickel are anticipated to begin trading on the TSX Venture Exchange on March 18, 2021. The company will operate under the symbol COR. The spin out plan of arrangement is expected to provide CanAlaska with a strong strategic position in the uranium market and Core Nickel with greater visibility and access to capital needed for further exploration and development of its nickel resources.
The primary resource for Core Nickel will be located at the Leland Lake nickel-copper project in the Thompson Nickel Belt. The project encompasses over 18,000 hectares and contains numerous nickel, copper, and cobalt prospects. CanAlaska’s property holdings will now reflect the current uranium market and will be focused on exploring for uranium deposits in the Athabasca Basin of Saskatchewan.
The two companies will be significant players in the nickel and uranium markets respectively. With favorable metal prices and an improving outlook for the nuclear energy industry, there is great potential for both companies to produce successful operations. Both companies have strong management and technical teams, and the spin out plan of arrangement will greatly benefit both CanAlaska and Core Nickel shareholders.