Business
Minsud Completes a Restructuring of the Brechas Vacas Option Agreement
TORONTO, ONTARIO--(Marketwired - July 4, 2016) - Minsud Resources Corp. (TSX VENTURE:MSR) ("Minsud" or the "Company") announces that it has completed a restruct
About this update from Minsud Resources Corp.
[{"type":"text","content":"TORONTO, ONTARIO--(Marketwired - July 4, 2016) - Minsud Resources Corp. (TSX VENTURE:MSR) (\"Minsud\" or the \"Company\") announces that it has completed a restructuring and second addendum to the Brechas Vacas Option Agreement. On January 11, 2012, Minsud announced that its Argentine subsidiary, Minera Sud Argentina S.A. (\"MSA\"), acquired a 50% beneficial interest in a trust that owns the Brechas Vacas properties comprising part of Minsud's Chita Valley project, with the remaining 50% subject to an option agreement (the \"Option\") granted in favor of MSA. On January 6, 2013, Minsud announced the first addendum to the Option that extended the period of time in which the Company is to pay the semi-annual staggered payments and also extended the expiration of the Option up to December 19, 2019. MSA has now agreed to further amend the payment and expiry terms on the following basis: (i). Staggered payments: Date Cash (US$) 24-Jun-16 20,000 19-Dec-16 20,000 24-Jun-17 25,000 19-Dec-17 25,000 24-Jun-18 30,000 19-Dec-18 30,000 24-Jun-19 35,000 19-Dec-19 50,000 25-Jun-20 50,000 19-Dec-20 75,000 26-Jun-21 120,000 TOTAL 480,000 (ii). Exercise of the Option: Expiration Date Cash (US$) Shares (US$) 26-Jun-22 535,000 200,000 (iii). NSR: 0.60% Option to acquire 50% of NSR: 400,000 The semiannual staggered cash payment is now an aggregate of US$480,000 (previously US$450,000) and the period for payment has been extended for two years while the staggered payments in Minsud's common shares (US$ 180,000) has been eliminated. The expiration date to exercise the Option has been extended to June 2022 and the final payment in Minsud's common shares has been reduced from US$535,000 to US$200,000 (which can be paid in shares or cash). The NSR was reduced from 1.5% to 0.6% having MSA the option of acquiring 50% of the NSR for US$400,000. About the Brechas Vacas Property: Brechas Vacas is ma...