Thunder Bay, Ontario--(Newsfile Corp. - July 5, 2017) - Kesselrun Resources Ltd. (TSXV: KES) ("Kesselrun" or the "Company") is pleased to provide the following corporate update:
Kesselrun and First Mining Finance Corp. (TSX: FF) ("First Mining") have agreed to terms of settlement regarding Kesselrun's outstanding senior unsecured convertible debentures issued to Kesselrun by Tamaka Gold Corporation ("Tamaka"), which was acquired by First Mining (see First Mining news releases dated May 16 and June 17, 2016).
The terms of the settlement are as follows:
First Mining shall grant to Kesselrun:
| 1. | A onetime payment of CDN$200,000 |
| 2. | 4,700,000 common shares of First Mining issued under the following terms: |
| a. | 1,400,000 common shares issued immediately and subject to no sale restrictions |
| b. | 1,100,000 common shares with a sale restriction of no earlier than 1 month from the settlement date |
| c. | 1,100,000 common shares with a sale restriction of no earlier than 2 months from the settlement date |
| d. | 1,100,000 common shares with a sale restriction of no earlier than 3 months from the settlement date |
In exchange Kesselrun shall:
| 1. | dismiss the Application with the Ontario Superior Court of Justice |
| 2. | deem null and void all the senior unsecured convertible debentures of Tamaka held by Kesselrun |
Michael Thompson, President & CEO commented, "We are pleased that this matter has been settled and as an early proponent of the Goldlund project and now as a shareholder of First Mining, anticipate their continued success of not only Goldlund, but their entire project portfolio. As well, we look forward to advancing Kesselrun's Northwestern Ontario gold projects."
About Kesselrun Resources Ltd.
Kesselrun Resources is a Thunder Bay, Ontario-based mineral exploration company focused on growth through property acquisitions and discoveries. Kesselrun's management team possesses strong geological and exploration expertise with particular experience in Northwest Ontario. For more information about Kesselrun Resources, please visit www.kesselrunresources.com.
