Generation Mining Ltd. has entered into a binding acquisition agreement with Stillwater Canada Inc., a subsidiary of Sibanye Stillwater Ltd. and the company’s wholly-owned subsidiary Generation PGM Inc. (Gen Subco), where Gen Subco will acquire Stillwater’s remaining 16.5% interest in the Marathon palladium copper project in northwestern Ontario.

Sibanye-Stillwater owns 11,053,795 common shares of Gen Mining, and on closing of the transaction will own 32,813,127 common shares, representing approximately 19.1% of the outstanding Gen Mining common shares. Gen Mining will acquire Sibanye-Stillwater’s remaining stake in the Marathon project through the issuance of 21,759,332 common shares of Gen Mining, at a price of $0.69 per share. The transaction will increase Gen Subco’s interest in the Marathon project to 100%.

Upon completion of the transaction, Stillwater will hold no direct interest in the Marathon project and the joint venture agreement between Stillwater and Gen Subco will be terminated.

“We are happy that one of the world’s largest Platinum Group Metal producers will continue as Generation Mining’s largest shareholder as we advance the Marathon Project through the next phase of development,” said Jamie Levy, Gen Mining president and CEO. “We have long aspired to own 100% of this incredible project.”

The 21,759,332 shares to be issued pursuant to the Transaction shall be subject to a statutory hold period in Canada of four months and one day, as well as certain contractual lock-up and resale restrictions for a period of 18 months.

In related news, the federal-provincial Joint Review Panel has completed its review of the Generation Mining’s Environmental Impact Statement (EIS) Addendum on the Marathon project. The panel has determined the information provided is sufficient to proceed to a public hearing.

The next major development in the process will be virtual public hearings, scheduled for February 15, which are anticipated to take place over a 30-day period. Upon completion of the hearings, the panel will have three months to complete its panel report. The report will be then reviewed by the federal and provincial ministers of environment who will make the joint decision on the approval of the project.

“This is a major milestone in the development of the Marathon Project,” Levy said.