VANCOUVER, Nov. 25, 2014 /CNW/ - Cosigo Resources Ltd.("Cosigo" or the "Company") has engaged RCI Capital Group Inc. ("RCI") to provide financial advisory consulting services to assist Cosigo with the strategic development of the business of the Company. Under the terms of the engagement, RCI will provide Cosigo with non-exclusive services which will include negotiating and structuring potential corporate/strategic transactions with respect to Cosigo's Colombia and Brazil based gold projects. RCI will also assist Cosigo in capital raising activities and developing its properties in a manner that will maximize shareholder value. The term of the engagement will be for a period of 6 months, unless extended by mutual consent of the parties.
RCI Capital is an independent financial services and advisory firm focused on Asia Pacific cross border transactions in the energy and resource sectors. Their advisory services include mergers and acquisitions, strategic partnerships, investment structuring and project financing to intermediate and junior companies. RCI's wholly owned subsidiary, Renaissance Capital Inc., is a licensed investment dealer and registered member with IIROC and CIPF (www.rcicapitalgroup.com).
Cosigo has agreed to compensate RCI with a monthly work fee, one half of which will be paid during the term of the engagement and one half upon the closing of a strategic transaction or private placement financing of Cosigo. In addition, upon entering into the engagement, the Company issued RCI 2,000,000 non-transferable share purchase warrants to purchase 2 million common shares of the Cosigo exercisable for a period of four years at a price of $0.05 per share. The warrants will expire if RCI does not deliver a binding letter of intent or expression of interest from a prospective party within twelve months from the end of the term of their engagement. Any other fees payable to RCI are contingent upon the Company entering into a transaction with a party introduced by RCI.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility of the adequacy or accuracy of this release.
About Cosigo Resources:
Cosigo Resources Ltd. (TSX-V: CSG) is a Vancouver-based company with mineral interests in properties in Brazil, Colombia and Canada. The Company's main focus is in the Taraira Gold Belt, which straddles the border between northwestern Brazil and southeastern Colombia. In Brazil, geological mapping has identified more than 250 km2 of prospective geology and sampling has identified gold-bearing strata over long strike-lengths in several locations. Cosigo's ongoing work in the Taraira Gold Belt is the first modern exploration program in an area known to have hosted more than 100 historic gold mining operations.
On behalf of the Board of Directors
Cosigo Resources Ltd.
President & CEO
Cautionary Notice: This news release contains forward-looking statements regarding the Company's business or financial condition, including the proposed completion of financings, use of proceeds, exploration programs, potential strategic transactions and fees that may be paid to RCI. Actual results could differ materially from those described in this news release as a result of factors, including, but not limited to the following: the timing and completion of financings, the actual use of proceeds, the timing, results and success of exploration and development programs, financial arrangements, the ability to obtain additional financing, developments in global resource markets, political developments, the timing of regulatory and environmental approvals, the success of RCI in the provision of services to the Company and other factors. The Company cautions that these and similar statements involve risk and uncertainties, which could cause actual results to differ materially from those in the forward looking statement. Forward--looking statements are made in the context of information available as of the date stated. The Company undertakes no obligations to update or revise such statements to reflect new circumstances or unanticipated events as they occur, unless required by applicable law.
SOURCE: Cosigo Resources Ltd.
For further information: Suite 1500, PO Box 1078, 885 West Georgia Street, Vancouver, B.C. Canada V6C 3E8, Phone: 877-866-8688 (N. America), +1-604-515-5970 (International), Web: www.cosigo.com