McFarlane Lake Mining to invest $1.42M for 19.9% stake in iMetal

McFarlane Lake Mining Limited (CSE: MLM, OTC: MLMLF, FRA: W2Z) has signed a subscription agreement to purchase 14,200,852 units of iMetal Resources, Inc. (TSXV: IMR, OTC: IMRFF, FRA: A7VA) at $0.10 per unit, for a total of $1,420,085, according to a company press release.

The investment is expected to give McFarlane a 19.9% beneficial ownership stake in iMetal's issued and outstanding common shares. Each unit consists of one iMetal share and one warrant, with each warrant exercisable at $0.175 per share for three years from closing. iMetal may accelerate the warrant expiry if its volume-weighted average trading price on the TSX Venture Exchange exceeds $0.40 for 20 consecutive trading days.

The investment is part of iMetal's previously announced non-brokered private placement of up to 30,000,000 units at $0.10 per unit, targeting gross proceeds of up to $3,000,000.

As part of the transaction, the two companies have entered into an investor rights agreement granting McFarlane the right to nominate one director to iMetal's board, participate in future equity issuances to maintain its pro rata interest, and provide technical oversight on exploration at iMetal's Gowganda property, subject to iMetal board approval. Closing remains subject to final approval from the TSX Venture Exchange and the Canadian Securities Exchange.

iMetal's Gowganda property is located adjacent to McFarlane's Juby Gold Project in Ontario. McFarlane holds approximately 5,500 hectares at Juby, while iMetal holds approximately 7,500 hectares in the surrounding area.

McFarlane also announced a four-month extension of its marketing services agreement with The Market Link, a Vancouver-based firm, beginning July 26, 2026, for total cash compensation of US$110,000. No securities will be issued as compensation under the arrangement.

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