Business
East West Announces Heads of Agreement to Sell New Zealand Assets
East West Announces Heads of Agreement to Sell New Zealand Assets Canada NewsWire ...
About this update from East West Minerals Ltd.
[{"type":"text","content":"\n\n\n\nEast West Announces Heads of Agreement to Sell New Zealand Assets\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prntac{\nTEXT-ALIGN: CENTER\n}\n\n\n\n\n\n\n\nCanada NewsWire\nVANCOUVER, June 24, 2019\n\n\n\nVANCOUVER, June 24, 2019 /CNW/ - East West Petroleum Corp. (TSX-V: EW) (\"East West\" or the \"Company\") announces that it has entered into a heads of agreement dated June 24th, 2019 (the \"HOA\") with a private arm's length New Zealand company (the \"Buyer\") pursuant to which the Company has agreed to sell its interest in Petroleum Exploration Permit 54877 and Petroleum Mining Permit 60291 (collectively, the \"Permits\") which comprise the entirety of the Company's assets in New Zealand (the \"Transaction\"). \n\n \n \n\n \nThe Permits are the subject of a Joint Operating Agreement between a wholly owned subsidiary of East West and Cheal Petroleum Limited (\"CPL\").  The disposition of East West's interest in the Permits will be conditional upon the waiver of CPL of its rights under the Joint Operating Agreement to acquire East West's interest in the Permits, and the waiver or satisfaction of any other obligations as may exist to CPL.\nPursuant to the terms of the HOA, and in consideration of the Transaction, the Buyer will pay East West US$1,900,000 in cash. The effective date for the sale is April 1st 2019 and payments are staged over 12 months of closing with initial payment of US $ 1,000,000 with normal closing adjustments, due on closing. \nThe Transaction would represent a \"Reviewable Disposition\" as defined in Policy 5.3 - Acquisitions and Dispositions of Non-Cash Assets of the TSX Venture Exchange (the \"TSXV\").  As such, completion of the Transaction is subject to approval by the TSXV.  It is not anticipated that approval of the Transaction by the Company's shareholders will be required.\nCompletion of the Transaction is subject to, among other things, obtaining necessary approvals and consents dependant on the structure of the Transaction as agreed to by the parties. There are no finder's fees payables in connection with this Tr...