LOGAN RESOURCES LTD. - OPTION AGREEMENT COMPLETED WITH RIDGEMONT CAPITAL
VANCOUVER, Nov. 29 /CNW/ - Logan Resources Ltd. (TSX-V:LGR) ("Logan") is pleased to announce that Ridgemont Iron Ore Corp. (TSX-V:RDG) ("Ridgemont"), formerly Ridgemont Capital Corp., has closed its qualifying transaction (the "Transaction") that was announced in a news release on July 28, 2010.
The Transaction was completed through an option agreement (the "Option Agreement"), dated July 27, 2010, with Logan pursuant to which Logan granted Ridgemont an option to acquire a minimum of 50% (the "First Option") and a maximum of 75% (the "Second Option") of its interest in the Redford property (the "Redford Property"). The Redford Property is comprised of 26 claims covering 10,821 hectares and is located 22 kilometres northeast of Ucluelet, in the Alberni Mining Division, Vancouver Island, British Columbia.
To exercise the First Option, thereby earning a 50% interest in and to the Redford Property, Ridgemont is required to:
(a) pay to Logan total cash payments of $225,000, comprised of: (i) a $25,000 deposit, which amount has been paid; (ii) $50,000 on the closing of the Transaction (the "Closing"), which amount has been paid; and (iii) $50,000 on or before each of the next three anniversaries of the Closing; (b) incur no less than $3,000,000 in Work Costs (as defined in the Option Agreement), as follows: (i) $750,000 on or before the first anniversary of the Closing; (ii) $1,000,000 on or before the second anniversary of the Closing; and (iii) $1,250,000 on or before the third anniversary of the Closing; and (c) issue 100,000 common shares of Ridgemont (each, a "Share") to Logan on or prior to each of the first, second, and third anniversaries of the Closing.
Upon exercising the First Option, Ridgemont may exercise the Second Option, thereby earning an additional 25% interest in and to the Property, by completing certain obligations as set out in the Option Agreement and as more fully described in Ridgemont's Filing Statement.
Logan Resources Ltd. is a mineral exploration company that specializes in acquiring, exploring and advancing Canadian mineral properties. The Company has a diversified portfolio of precious metal, base metal and uranium projects. For more information on the property portfolio and the Company, please visit www.loganresources.ca, www.sedar.com and www.sec.gov websites.
ON BEHALF OF THE BOARD
"Seamus Young" ---------------------------- Seamus Young President and CEO
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 for the adequacy or accuracy of this release.
%SEDAR: 00007767E
For further information: For further information: Seamus Young, President & CEO, [email protected], T: 604-689-0299 x 223
Share this article