VANCOUVER, July 29, 2013 /CNW/ - Western Pacific Resources Corp. ("Western" - WRP: TSXV) is pleased to announce that it has renegotiated the terms of the asset purchase agreement for the Deer Trail Mine in Piute county, Utah.
Revisions to the asset purchase agreement include:
|(1)||extension of the closing deadline to October 31, 2013;|
|(2)||Western is not required to close unless it has completed a financing of at least $5M;|
|(3)||Deer Trail Mining Company ("DTMC") must deliver substituted water rights to replace the current Crown Mines lease;|
|(4)||DTMC must subordinate its first position to any third party debt financing of up to $10M which may be completed by Western, provided that Western advances up to 5% of the loan proceeds;|
|(5)||a closing extension fee of US$40k payable to Western (as a reduction of the purchase price);|
|(6)||any water leases entered into by Western will be assigned to DTMC if Western does not close by the revised closing deadline; and|
|(7)||Additional data on the Deer Trail Mine to be delivered to Western.|
Management of Western is pleased with the addition of the new terms to the asset purchase agreement and looks forward to closing the transaction in an expeditious manner.
About Western Pacific
Western is focused on advancing a strong portfolio of advanced-stage projects in the Western United States. Western's team is led by technical and financial experts who aim to succeed in creating shareholder value. For more information, please visit our website at www.westernpacificresources.com.
ON BEHALF OF THE BOARD
Warwick Smith, Chief Executive Officer
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this news release.
This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. The ability of the Company to successfully complete the Deer Trail Mine acquisition on time or at all is subject to various risks and other factors. Risks and factors that may cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR at www.sedar.com. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE: Western Pacific Resources Corp.
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