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Impact Silver Closes Acquisition of the High-Grade Plomosas Zinc-Lead-Silver Mine, Mexico
Vancouver, British Columbia--(Newsfile Corp. - April 3, 2023) - IMPACT Silver Corp. (TSXV: IPT) (...
About this update from Impact Silver Corp.
[{"type":"text","content":"Impact Silver Closes Acquisition of the High-Grade Plomosas Zinc-Lead-Silver Mine, MexicoVancouver, British Columbia--(Newsfile Corp. - April 3, 2023) - IMPACT Silver Corp. (TSXV: IPT) (OTC Pink: ISVLF) (FSE: IKL) (\"IMPACT\" or the \"Company\") is pleased to announce that it has completed the Share Purchase and Sale Agreement (the \"Sale Agreement\") with Consolidated Zinc Limited (ASX: CZL) (\"CZL\") of Australia, previously announced on February 9, 2023, regarding the purchase of all outstanding shares of its subsidiary, Minera Latin America Zinc S.A.P.I de C.V. (\"MLAZ\"), which holds a 100% interest in the high-grade, Plomosas zinc-lead-silver mine in the state of Chihuahua, northern Mexico.Closing of this acquisition solidifies IMPACT's position as one of Mexico's most well-funded and growth-minded intermediate miners - one that is well-positioned to offer investors high-grade production, balanced and aggressive growth, and exciting exploration upside going forward.TERMS OF THE AGREEMENTThe total purchase price of US$6 million consists of US$3 million in cash and the balance in the form of IMPACT shares (a total of 11,441,647 shares will be issued). Post closing adjustments based on changes in working capital will be made, as previously agreed to, between the two parties.Contractual restrictions have been applied to 75% of the share transfer component such that IMPACT Shares will be released from restriction in three equal tranches of 25% of the total number of shares issued to CZL, every 6 months, over 18 months from closing. 25% of the IMPACT Shares will be immediately held by CZL (subject to a statutory 4-month hold period from the date of issuance of the IMPACT Shares); and A 12% net profit interest (\"NPI\") royalty on production from the Plomosas project to CZL. \"We are thrilled to have completed this transformative acquisition that provides IMPACT with production in a second mining district, bringing with it both production growth and exploration upside to the Company going forward. Plomosas is a unique and fully permitted operation built on a large mineral system with global tier one historic grades at 13%+ zinc providing exceptional potential to both upgrade and expand its current level of operations. We intend to lean on our 17 years of successful underground operating experience at the Royal Mines of Zacualpan ...