TORONTO, May 8, 2020 /CNW/ - Minsud Resources Corp. (TSX-V: MSR) ("Minsud" or the "Company") is pleased to announce that it has completed a restructuring and second addendum to the Minas de Pinto Option Agreement.
On May 6, 2014, Minsud announced that its Argentine subsidiary, Minera Sud Argentina S.A. ("MSA"), acquired a 50% beneficial interest in a trust that owns the Minas de Pinto properties (the "MDP Trust") comprising part of Minsud's Chita Valley project, with the remaining 50% subject to an option agreement granted in favor of MSA for a total consideration of US$ 1,335,000.
As a result of the renegotiation with Minas de Pinto owners, now the parties have entered into a Transfer Agreement, where the Minas de Pinto owners have transferred to MSA an additional 15% beneficial interest in the MDP Trust for total consideration of US$ 400,000, payable in 8 biannual instalments of US$ 50,000 each, starting on May 7, 2020 until November 7, 2023.
Additionally, the parties entered into a second addendum to the Minas de Pinto Option Agreement to purchase the remaining 35% interest in the MDP Trust by paying US$ 935,000 on or before April 7, 2024. Such Option includes tenure of the mining properties and the exclusive right to explore and prospect on the Minas de Pinto properties.
About the Minas de Pinto Property:
The Minas de Pinto properties group is made up of the following mining concessions: Arqueros, San Marcos, Estrellita, Paulita, Paulita II, Pierina II, Pierina III, San Pablo, San Urbano and Rosita II, covering a surface of 2,445 hectares in the eastern part of the Chita Valley Project, adjacent to the Chita property.
About Minsud Resources Corp.:
Minsud is a mineral exploration company focused on exploring its flagship Chita Valley Cu-Mo- Au-Ag Project, in the Province of San Juan, Argentina. The Company also holds a 100% owned portfolio of selected early stage prospects, including 6,000 ha in Santa Cruz Province, Argentina.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION:
This news release includes certain information that may constitute forward-looking information under applicable Canadian securities laws. Forward-looking information includes, but is not limited to, statements about strategic plans, spending commitments, future operations, results of exploration, anticipated financial results, future work programs, capital expenditures and objectives. Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information including, but not limited to: fluctuations in the currency markets (such as the Canadian dollar, Argentina peso, and the U.S. dollar); changes in national and local government, legislation, taxation, controls, regulations and political or economic developments in Canada and Argentina or other countries in which the Corporation may carry on business in the future; operating or technical difficulties in connection with exploration and development activities; risks and hazards associated with the business of mineral exploration and development (including environmental hazards or industrial accidents); risks relating to the credit worthiness or financial condition of suppliers and other parties with whom the Company does business; presence of laws and regulations that may impose restrictions on mining, including those currently enacted in Argentina; employee relations; relationships with and claims by local communities; availability and increasing costs associated with operational inputs and labour; the speculative nature of mineral exploration and development, including the risks of obtaining necessary licenses, permits and approvals from government authorities; business opportunities that may be presented to, or pursued by, the Company; challenges to, or difficulty in maintaining, the Company's title to properties; risks relating to the Company's ability to raise funds; and the factors identified under "Risk Factors" in the Company's Filing Statement dated April 27, 2011. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking-information contained in this news release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management as at the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.
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.
SOURCE Minsud Resources Corp.