Sherritt Enters Non-Binding Term Sheet With Gillon Capital

Sherritt International enters a non-binding term sheet with Gillon Capital for a proposed private placement of a common share purchase warrant exercisable for up to 55% of the company’s common shares.

• The warrant will be exercisable for nine months from closing
• Management expects the exercise price to be at a discount to the May 15 closing price
• The transaction remains subject to definitive documentation and regulatory approvals
• US Department of State and Department of Treasury do not object to Gillon Capital’s negotiations with Sherritt
• Any subsequent transaction will require approval from the Department of State and Department of Treasury

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