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Eagle Plains/Active Growth Capital sign Letter of Intent for Bohan Property, southeastern British Columbia
Eagle Plains/Active Growth Capital sign Letter of Intent for Bohan Property, southeastern Britis...
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[{"type":"text","content":"\nEagle Plains/Active Growth Capital sign Letter of Intent for Bohan Property, southeastern British Columbia\n\n\n Sep. 10, 2010 (Filing Services Canada) -- Eagle Plains Resources Ltd. (EPL - TSX Venture, EGPLF - OTCBB_Pink_Sheets), and Active Growth Capital Inc. (TSX-V:ACK.P)  have entered into a Letter of Intent dated August 31, 2010 (\"LOI\") whereby ACK will be acquiring from Eagle Plains a 100% right, title and interest in the Bohan property (the \"Property\") located near Creston in southwestern British Columbia.As consideration for the acquisition, the Company has agreed to issue 2,000,000 common shares to Eagle Plains, to be held in escrow pursuant to the Exchange policies.  Of the total share consideration, it is expected that 10% (or 200,000 shares) will be released from escrow upon issuance of the Final Exchange Bulletin in respect of the Qualifying Transaction and the remainder will be released from escrow in increments of 300,000 shares every 6 months thereafter.  On behalf of the Company, TerraLogic Exploration Inc. (\"TerraLogic\"), a subsidiary of Eagle Plains, will be contracted to conduct an exploration work program on the Property estimated to cost $200,000.Pursuant to the LOI, Eagle Plains has the right to re-purchase a 50% ownership interest in the Property from the Company at any time after the second anniversary of the Qualifying Transaction, and extending up to the fourth anniversary of the Qualifying Transaction, at the Company's aggregate acquisition cost plus a premium of 150%.  The re-acquisition price, if applicable, would be payable in cash.  In the event that the Company wishes to sell the Property, Eagle Plains will have the right of first refusal to acquire it.  In the event that the Property is put into commercial production and Eagle Plains has not exercised its' right to re-purchase an ownership interest in the Property as described above, then Eagle Plains will receive a 1% net smelter returns (\"NSR\") royalty.  The 1% NSR royalty is only payable to Eagle Plains if Eagle Plains has no ownership interest in the Property. In the event that Eagle Plains wishes to sell the 1% NSR royalty, then the Company will have the right of first refusal to acquire it.  Closing of the acquisition is subject to negotiation of a de...