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Search Minerals Announces C$100,000 Payment Received From InCoR Technologies as per Salt Purchase Agreement
VANCOUVER , May 20, 2015 /CNW/ - Search Minerals Inc. ("Search" or the "Company") (TS...
About this update from Search Minerals Inc.
[{"type":"text","content":"\n\nVANCOUVER, May 20, 2015 /CNW/ - Search Minerals Inc. (\"Search\" or the \"Company\") (TSXV: SMY) and InCoR Technologies Limited (\"ICRT\") are pleased to announce that it has received C$100,000 from ICRT,  under the SALT Purchase Agreement (\"Purchase Agreement\") dated November 27, 2013 (see Search Minerals Announces Sale of Starved Acid Leaching Technology (SALT)).\n\nOn September 22, 2009, Search acquired from Jim Clucas (Director of Search at the time) and David Dreisinger, certain conceptual technologies relating to improving metal recoveries from existing processing and production facilities. Upon completion of the transaction, Jim Clucas was appointed President of the Company and David Dreisinger joined the Company as a Director and Vice-President of Technology. Starved Acid Leach Technology (\"SALT\") was one of the conceptual technologies acquired, and Search subsequently spent approximately C$1,200,000 developing the SALT technology before the acquisition by ICRT.  The SALT process is designed to extract nickel from below cut-off grade nickel saprolite ores.  SALT is not used for rare earth recovery and has no relation to the current process development for rare earth recovery at Foxtrot.\n\nPursuant to the Purchase Agreement, Search transferred all of the intellectual property rights related to SALT to SALT Technology Holdings Inc. (\"SALT Holdings\"), a newly-incorporated company, and ICRT has purchased the outstanding shares of SALT Holdings for a total purchase price of C$2.2 million, comprised of a cash payment of C$50,000, as well as delivery at closing of a C$2,150,000 promissory note issued by ICRT to Search, to be repaid as follows:\n\nC$50,000 upon delivery of a positive economic scoping study, (received)C$100,000 upon completion of a positive bankable feasibility study (received); andC$2,000,000 repayable from 25 percent of the net cash flow from a commercial application of the technology.\n\nGreg Andrews states, \"This payment confirms that value is being realized for Search shareholders from the development and sale of the SALT technology.  ICRT continues to develop and market SALT.  These funds will be used for general working capital, which will continue to enhance the FOXTROT project and the Critical REE District in south east Labrador.\"\n\nIn order to keep the Purchase Agr...