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LONDON, ONTARIO, Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) (“Fortune” or the “Company”) (www.fortuneminerals.com) is pleased to report that Government of the Northwest Territories (“GNWT”) Finance Minister, Robert C. McLeod, has announced that North Star Infrastructure has been selected as the Preferred Proponent to fund, construct, operate and maintain the Tlicho AllSeason Road (“Tlicho Road”), pursuant to the Request for Proposal for the project (see GNWT November 13, 2018 news release). North Star Infrastructure is a consortium comprised of Kiewit Canada Development Corporation and Peter Kiewit and Sons (Equity Provider, Design-Builder and Service Provider), and Hatch Corporation and Thurber Engineering Ltd. (Design Team Members). The GNWT and North Star Infrastructure are finalizing the project agreement and construction is anticipated to begin in the fall of 2019.
The Tlicho Road will be a permanent 97-kilometre highway, extending north from Highway 3 to the Community of Whatı̀ in the Northwest Territorries (“NWT”). Fortune’s 100% owned NICO Cobalt-GoldBismuth-Copper Project (the “NICO Project”) is located 50 kilometres north of Whatı̀and the Company has received environmental assessment approval to construct a spur road from Whatı̀ to the mine site. Construction of the NICO Project mine and concentrator is planned using the existing winter ice road, but all-season road access is required for mine operations. The NICO Project is a primary cobalt asset and one of the few projects outside of the Congo that can be developed in the near-term to help meet growing demand for cobalt in lithium-ion batteries needed to power electric vehicles, portable electronic devices and stationary storage cells.
The Government of Canada is providing up to 25% of the construction costs for the Tlicho Road through the P3 Canada Fund. The GNWT is funding the remaining 75% cost, using a Private Public Partnership (“P3”) structure. North Star Infrastructure has been selected as the P3 proponent to fund, construct, operate and maintain the Tlicho Road and will be repaid by the GNWT with interest.
About Fortune Minerals
Fortune is a Canadian mining company focused on developing the NICO Cobalt-Gold-Bismuth-Copper project in the Northwest Territories. The Company owns lands in Saskatchewan where it could construct a refinery to process NICO concentrate to value-added products. Fortune also owns the Sue-Dianne copper-silver-gold deposit located 25 km north of the NICO Project, which is a potential future source of incremental mill feed to extend the life of the NICO Project mill.
