2552883 Ontario Inc. entered into a binding letter of intent to acquire 55 North Mining Inc. from Bruce Reid and others in a reverse merger transaction on June 29, 2020. As per the transaction, the shareholders of 2552883 Ontario will become shareholders of 55 North Mining. The board of directors of 55 North has also decided to dividend out to its shareholders of record as at the date of the special shareholder's meeting on August 10, 2020 all of the 100 million shares of European Cobalt Ltd. that 55 North will receive as a result of the sale of its Edelston Gold Project to European Cobalt. The board of directors of 55 North has also decided to effect a 10.13:1 rollback of 55 North shares after the dividend of European Cobalt shares to 55 North shareholders. After the three cornered amalgamation, ex-dividend, and post rollback, existing 55 North and 2552883 shareholders will own approximately 10% and 90% of the pro-forma company, respectively, with a name similar to 55 North and shares outstanding of approximately 78.3 million. The transaction is expected to be effected by way of a three cornered amalgamation under the Canada Business Corporations Act.

The issuance of shares by 55 North in connection with the transaction is subject to the approval of a majority of the votes cast by shareholders of 55 North voting in person or represented by proxy at a special shareholders' meeting to be held on August 10, 2020. In addition to shareholder approvals, the transaction will be subject to applicable regulatory approvals and the satisfaction of certain other closing conditions customary. As of August 2, 2020, all of the shareholders of 2552883 Ontario Inc. approved the Amalgamation. As of the annual and special meeting of 55 North's shareholders held on August 10, 2020, the Amalgamation was approved by a majority of disinterested shareholders in accordance with Multi-lateral instrument 61-101 Protection of Minority Security Holders in Special Transactions. The Amalgamation was approved by more than 99% of the votes cast in person by proxy by “disinterested persons” voting. The closing of the transaction is expected in August 2020.