Business
Aston Bay Holdings Contracts with Drilling Services Company to Conduct Drill Program and Proposes Shares for Services
(via Thenewswire.ca) Vancouver, British Columbia / TNW-ACCESSWIRE / July 29 2014 / Ast...
About this update from Aston Bay Holdings Ltd.
[{"type":"text","content":"Aston Bay Holdings Contracts with Drilling Services Company to Conduct Drill Program and Proposes Shares for Services(via Thenewswire.ca)\n\n \nVancouver, British Columbia / TNW-ACCESSWIRE / July 29 2014 / Aston Bay Holdings Ltd. (TSX-V: BAY) (\"Aston Bay\" or the \"Company\") today announced that it has entered into an agreement with 0802603 BC Ltd., doing business as Lone Peak Drilling (\"Lone Peak\"), dated July 15, 2015, pursuant to which Lone Peak has leased a drill to the Company and will complete a minimum of 2500 metres of diamond drilling on the Company's Storm Property. Mobilization of the equipment commenced in July 2014, and the drill and equipment will be stored at Resolute Bay, Nunavut, Canada until the Company's 2015 summer program commences.\n\n\n \n\n\n\n \n Subject to TSX Venture Exchange acceptance, the Company will satisfy the payment to Lone Peak of the sum of CDN$410,084 by the issuance of an aggregate 1,640,336 common shares of the Company at a deemed per share price of $0.25. The shares issued to Lone Peak will be subject to a hold period of four months and one day from the date of issuance in accordance with applicable securities legislation. \n\n \n \n Clifford Boychuk, a director of the Company, is a 49% owner of Lone Peak and exercises control or direction over Lone Peak. As a result, the issuance of shares to Lone Peak will constitute a related party transaction pursuant to Exchange Policy 5.9 and MI 61-101. The Company is relying on Section 5.5(a) of MI 61-101 for an exemption from the formal valuation requirement and Section 5.7(1)(a) of MI 61-101 for an exemption from the requirement of minority approval since the transaction will not exceed 25% of the Company's market capitalization.\n\n\n \n\n\n\n \nAbout Aston Bay Holdings\n\n \n \nAston Bay Holdings Ltd. (TSX-V: BAY) is a publicly traded mineral exploration company focused on the 345,033-acre Storm located on northwest Somerset Island, Nunavut. The Storm Property hosts the Storm Copper and Seal Zinc prospects. In June 2014, Aston Bay signed a binding Memorandum of Understanding (the \"MOU\") with a wholly-owned subsidiary of Antofagasta plc to cooperatively advance the project. The MOU gives Antofagasta the opportunity to earn up to a 70% total interest in Storm, as well as a path to an eventual proposed joint venture, as described in Aston Ba...