TSXV: SRW
FRANKFURT: A0BLQQ
EDMONTON, July 28 /CNW/ - Solid Resources Ltd. ("Solid" or the "Company") announced today that it has obtained approval from the TSX Venture Exchange to enter into a Consulting Agreement with Mr. Kevin Moore, a Director and the Chairman of the Board of the Company.
Pursuant to the terms of the Consulting Agreement, in exchange for Mr. Moore devoting a minimum of 20 full days per month to the business and affairs of the Company, Mr. Moore is to receive annual consider of $60,000 which is to be satisfied by the issuance of 300,000 common shares of the Company with a deemed issuance price of $0.20 per common shares. Such common shares are subject to certain escrow provision and vest in equal monthly increments.
Entering into the Consulting Agreement constitutes a related party transaction within the meaning of applicable securities laws, as Mr. Moore is a director of Solid. An independent committee of the Board was struck to negotiate the terms of the Consulting Agreement. The independent committee and the Board of Directors unanimously concluded that the Consulting Agreement and the compensation of Mr. Moore thereunder by the issuance of common shares were on commercially reasonable terms and would improve the financial position of the Company.
The Company also announces that it has received regulatory approval to close a $109,500.00 private placement. The private placement consists of seven hundred and thirty thousand units consisting of 730,000 common shares at a price of $.15 per share and one warrant to acquire an additional common share at a price of $.20 per share for a period of one year from the date of issue. In connection with this private placement, Solid has paid a 6% commission on a portion of the funds raised. The common shares of Solid acquired pursuant to this private placement are subject to a four month hold period which will expire on November 30, 2008.
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Certain statements contained in this press release, including statements which are related to exploration activity and future prospects and profitability and which may contain words such as "could", "should", "expect", "believe", "will" and similar expressions and statements relating to matters that are not historical facts are forward-looking statements. Such forward-looking statements involve known and unknown risks and uncertainties which may cause the actual results, performances and/or achievements of Solid to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. Such factors include fluctuations in the market conditions and prices of tantalum, lithium, tin, silver and other metals and related products and services; competition; political and economic conditions in countries in which Solid does business; changes in laws and regulations, including environmental regulations, to which Solid is subject, and other factors which are described in further detail in Solid's filings with the Canadian Securities Regulators.
The TSX Venture Exchange has not reviewed this release and does not
accept responsibility for the adequacy or the accuracy of this release.