SASKATOON, Aug. 9 /CNW/ - George H. Read, P. Geo., Senior Vice President Exploration & Development, is pleased to announce that Shore has exercised its right to purchase the three percent Net Profits Interest ("NPI") held by Seagrove Capital Corporation, for a consideration of $1 million.
Fifteen claims (S-132025 to S-132039), three of which are directly associated with the Star Kimberlite, were originally staked by a third party in 1995 and were subsequently transferred to Shore in 1997 for a consideration of the grant of a three percent NPI, payable should a positive production decision be made and the property achieve commercial mineral production. Shore had the option to purchase the NPI from Seagrove Capital Corporation, the successor party holding the NPI, any time prior to 90 days after a positive production decision on any of the claims, for $1 million.
Senior Vice President Exploration & Development, George Read, states: "With a production decision on the Star - Orion South Diamond Project anticipated next year, the acquisition of this NPI from Seagrove is an important step in the consolidation of Shore's interest in the Star - Orion South Diamond Project. Final field work, detailed desktop engineering and permitting are on track to support a production decision in 2011."