Currie Rose to acquire Kotai Energy and its hydrogen project
Currie Rose Resources Inc. is pleased to announce that the Company has entered into a share exchange agreement on March 21, 2023, with WA Hydrogen Pty Ltd. (“Kotai Energy”) and the shareholders of Kotai Energy, pursuant to which the Company will acquire all of the issued and outstanding shares of Kotai Energy, in consideration for the issuance of 50 million common shares of the Company at $0.05 per share and a 5% royalty on future production.
Kotai Energy, in partnership with Curtin University in Western Australia, is developing solid-state bulk exportable hydrogen technologies for deployment away from the production source, with the objective of it being economically and commercially viable (the “Hydrogen Project”). Kotai Energy’s partnership with Curtin University commenced in November 2018 with the intention that Curtin University, with the financial assistance and in-kind support assistance of Kotai Energy, submits an initial application to the Australian Research Council (“ARC”) seeking funding for the Hydrogen Project.
The Hydrogen Project offers various synergies with the vanadium redox flow battery technology that is currently being pursued by the Company and each target the growing need for reliable alternative sources of energy.
After the completion of the Transaction, Kotai Energy will be a wholly-owned subsidiary of the Company, and the Company would continue to primarily focus on its North Queensland Vanadium Project (the “NQV Project”) in Queensland, Australia while owning (through Kotai Energy) the complimentary option to acquire 100% of the intellectual property rights (“IPR”) associated with the Hydrogen Project from Curtin University for an anticipated 2.5-3-year option period.
The Company would not be required to spend a substantial amount of financial resources on the Hydrogen Project prior to the option exercise, as Kotai Energy’s financial obligations in connection with its partnership with Curtin University and the ARC research grant are fully funded until August 2023 and the required annual contribution toward the Hydrogen Project from Kotai Energy is AUD$70,000.
Below is the breakdown of the projected project and corporate expenditures:
- North Queensland Vanadium Project Expenditures – Phase 1 Working Capital – C$405,900
- Infill diamond drilling and downhole geophysical surveys at Cambridge Deposit – C$157,500
- Metallurgical studies – C$157,500
- Aircore drilling at Runnymede or Flinders – C$54,000
- Contingency – C$36,000
- Kotai Expenses – C$67,500
- Grant Expenses – Curtin University – C$67,500
- Projected Corporate Expenditures (following 6 months) – C$242,000
