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MetalQuest Minerals Announces Plans to Acquire all the Assets of Canadian Ore Processors Corporation
tsx.v: MQ, Frankfurt: T9N, otc-bb: MQSTF VANCOUVER, May 25 /CNW/ - As previously reported (March ...
About this update from South Star Battery Metals Corp
[{"type":"text","content":"\n\n\n\ntsx.v: MQ, Frankfurt: T9N, otc-bb: MQSTF\n\n\nVANCOUVER, May 25 /CNW/ - As previously reported (March 6th, 2008)\nMetalQuest Minerals Inc. ("MetalQuest" or the "Company") completed an asset\nmonetization strategy in 2008 in order to continue an "evaluation of potential\nmerger, acquisition and exploration opportunities in British Columbia and\nPeru."\n\n\nAs a result of these efforts, MetalQuest plans to acquire all the\noutstanding shares of Canadian Ore Processors Corp., ("Canadian Ore\nProcessors") a private Canadian corporation. Canadian Ore Processors was\nformed for the express purpose of developing gold ore toll processing\nopportunities in northern Peru. The principals of Canadian Ore Processors have\nextensive international experience in all facets of mineral processing and\nhave developed a comprehensive business plan to process ores currently being\nmined by approximately 6500 small scale miners in the area of northern Peru,\nas estimated by the Peruvian Ministry of Energy and Mines.\n\n\nCanadian Ore Processors has acquired US$10 million in financing from the\nGrafton Resources Investment Trust ("Grafton") through a stock swap between\nGrafton and Minera CanOrePro Ltda. S.A. (Minera CanOrePro); a private Peruvian\ncorporation and a subsidiary of Canadian Ore Processors. As a result of the\nacquisition of Canadian Ore Processors, MetalQuest will own 50% of Minera\nCanOrePro. Grafton will own the remaining 50% through their US$10 million\ninvestment.\n\n\nAs a condition of the Grafton investment in Minera CanOrePro, MetalQuest\nwill be seeking shareholder approval at the June 26, 2009 Annual General and\nSpecial Meeting, to consolidate MetalQuest shares on a three old for one new\nbasis and change the name to Canada Gold Corporation ("Canada Gold"). On\napproval, Canada Gold will issue 1,190,000 common shares for 100% of the\nissued and outstanding shares of Canadian Ore Processors, as full\nconsideration. As additional consideration, Grafton will issue a call option\nto Canada Gold to purchase, at Canada Gold's discretion, within 36 months,\nGrafton's interest in Minera CanOrePro for US$10 million in cash or the\nequivalent in Canada Gold shares at a minimum floor price of US$0.55, or the\nthirty day average trading price, whichever is higher, subject...