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World Copper Announces Amendment to Letter Agreement for the Acquisition of the Zonia Copper Oxide Project
Vancouver, British Columbia--(Newsfile Corp. - June 9, 2021) -  World Copper Ltd. (TSXV: ...
About this update from World Copper Ltd
[{"type":"text","content":"World Copper Announces Amendment to Letter Agreement for the Acquisition of the Zonia Copper Oxide ProjectVancouver, British Columbia--(Newsfile Corp. - June 9, 2021) -  World Copper Ltd. (TSXV: WCU) (\"World Copper\" or the \"Company\") announces that, further to its news release of April 20, 2021, it has reached an agreement to amend the letter agreement dated April 13, 2021 with Cardero Resource Corp. (\"Cardero\"; TSXV: CDU), whereby the Company agreed to acquire 100% of Cardero's Zonia copper oxide project located in central Arizona (\"Zonia\") by way of business combination between the Company and Cardero (the \"Proposed Transaction\").Summary of AmendmentsThe terms of the Proposed Transaction have been amended to provide that, upon the closing of the Proposed Transaction, and subject to acceptance by the TSX Venture Exchange (the \"TSXV\"), the Company will grant to Robert Kopple, a controlling shareholder of Cardero, or an entity controlled by him (the \"Royalty Holder\") an option (the \"Royalty Option\") to acquire a 1% net smelter returns royalty (the \"Royalty\") on Zonia. The Royalty Option may be exercised by the Royalty Holder, in its sole discretion, by paying to World Copper an amount equal to approximately $1.41 million. At the election of World Copper or the Royalty Holder, 100% of the Kopple Royalty can be bought-out by World Copper in common shares of World Copper, each issued at a deemed price equal to the offering price of the previously announced concurrent private placement (see news release dated April 13, 2021), for an approximate buy-out amount of $3.0 million to $3.87 million. In connection with the amendment to the terms of the Proposed Transaction, the parties have extended the deadline for the execution of the definitive transaction agreement to June 30, 2021.About ZoniaZonia is located in the Walnut Grove Mining District, Yavapai County, Arizona, and consists of 261 patented (96) and unpatented (185) mineral claims, and 566.85 acres of surface rights acquired from the State of Arizona, all totaling 4,279.55 acres.Zonia is a near-surface, copper-oxide resource and a brownfields site having already been mined in the late 1960s and '70s. The project has been significantly de-risked with over 50,000 metres of drilling completed to date and with substantial amounts of detailed engineering complet...