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Abbastar Signs A Letter Of Intent To Acquire A Mexican Exploration Company With A Gold Property
TSX Venture Symbol: ABA VANCOUVER, May 28 /CNW/ - Abbastar Uranium Corp. (the "Company" or "Abbas...
About this update from Kiplin Metals Inc.
[{"type":"text","content":"\n\n\n\nTSX Venture Symbol: ABA\n\n\nVANCOUVER, May 28 /CNW/ - Abbastar Uranium Corp. (the "Company" or\n"Abbastar") is pleased to announce that it has signed a letter of intent with\nLateegra Gold Corp. ("Lateegra") to acquire all shares of Minera Bacoachi S.A.\nde C.V. ("Minera Bacoachi").\n\n\nMinera Bacoachi is Lateegra's wholly owned Mexican subsidiary with its\nmain office in Hermosillo, Sonora. Minera Bacoachi is an established Mexican\nexploration company with the required infrastructure, personnel and equipment\nin place to acquire and manage Mexican exploration properties. On April 30,\n2008 Minera Bacoachi acquired an option on the Charay low sulphidation gold\nproperty ("Charay Property") from Minera Pafex S.A. de C.V. of Hermosillo,\nSonora. The Charay Property covers an area of 380 hectares and is located in\nnorthern Sinaloa, Mexico.\n\n\nAs part of Abbastar's ongoing due diligence, Abbastar personnel have\ncompleted a site visit to the Charay Property. Subject to satisfactory due\ndiligence and regulatory approval, Abbastar intends to enter into a binding\nagreement with Lateegra on or before August 1, 2008.\n\n\nThe main terms of the proposed acquisition are:\n\na) Abbastar will acquire from Lateegra all shares of Minera Bacoachi;\n\nb) Abbastar will pay Lateegra $250,000 cash consideration as follows:\n\n i) $100,000 within 5 days from the date that the TSX Venture\n Exchange (the "Exchange") approves the acquisition; and\n\n ii) $150,000 within 6 months from the date the Exchange approves\n the acquisition.\n\nc) Abbastar will issue 1,250,000 shares to Lateegra as follows:\n\n i) 350,000 shares within 5 days from the date the Exchange\n approves the acquisition;\n\n ii) 300,000 shares within 4 months from the date the Exchange\n approves the acquisition;\n\n iii) 300,000 shares within 8 months from the date the Exchange\n approves the acquisition; and\n\n iv) 300,000 shares within 12 months from the date the Exchange\n approves the acquisition.\n\n\nLateegra's management believes the Charay Property holds significant\nexploration potential for gold. To that extent Mr. Chris Verrico President of\nLateegra states, "We are pleased to be able to offer our shareholders\ncontinued exposure to Minera Bacoachi and the Charay Property through\nownership o...