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Argentum Signs Definitive Agreement with Norsemont II
Toronto, Ontario--(Newsfile Corp. - May 28, 2019) - Argentum Silver Corporation (TSXV: ASL) ("...
About this update from Argentum Silver Corp.
[{"type":"text","content":"Argentum Signs Definitive Agreement with Norsemont IIToronto, Ontario--(Newsfile Corp. - May 28, 2019) - Argentum Silver Corporation (TSXV: ASL) (\"Argentum\" or the \"Company\") is pleased to announce that the Company has signed a definitive agreement dated May 27, 2019 (the \"Agreement\") with Norsemont II Resources Corp. (\"Norsemont\"), a private British Columbia company. Norsemont owns a 100% interest in the Cochavara Silver-Lead-Zinc Project (the \"Cochavara Project\") in Northern Peru. Pursuant to the terms of the Agreement, Argentum will acquire all the issued and outstanding securities of Norsemont in exchange for common shares in the capital of Argentum (the \"Proposed Transaction\"). The Proposed Transaction contemplated by the Agreement is a related party transaction. Terms of the Proposed TransactionSubject to regulatory and all other necessary approvals, Argentum will acquire all the issued and outstanding securities of Norsemont in exchange for 2,777,778 common shares in the capital of Argentum at a price of $0.18 per common share. In addition, holders of convertible securities of Norsemont will receive 400,000 common share purchase warrants of Argentum, each warrant entitling the holder thereof to acquire a common share at an exercise price of $0.25 per common share on or before the date that is three years following the closing of the Proposed Transaction. Following completion of the Proposed Transaction, Argentum will provide the ongoing management team for the Company and the shareholders of Norsemont will be entitled to have one nominee appointed to the board of directors of Argentum.Completion of the Proposed Transaction is subject to several conditions, including TSX Venture Exchange (\"TSXV\") final acceptance, completion of due diligence, board and minority shareholder approval, if necessary. There can be no assurance that the acquisition will be completed as proposed or at all. Trading in the securities of Argentum should be considered speculative.Prior to the closing of the Proposed Transaction, Argentum shall, subject to TSXV approval, advance $100,000 to Norsemont. The advance shall bear interest at a rate of 5% per annum and be repayable on demand. The advance will be used to satisfy outstanding payables relating to the Cochavara Project in Peru, pay for a technical report relating to the Cochavara P...