February 10, 2010 07:43 am
Encore amends Bonaparte mine option agreement
2010-02-10 05:42 ET- News Release
Mr. Michael Mulberry reports
ENCORERENAISSANCE RESOURCES CORP. AMENDS BONAPARTE MINE PROPERTY OPTIONAGREEMENT
Encore Renaissance Resources Corp. has entered into anamendment agreement to amend the terms of the amended and restatedagreement made as of May 25, 2009, and amended effective June 12, 2009.As previously announced in Stockwatch in the company's news release ofApril 14, 2009, the company acquired an option to purchase a 60-per-centinterest in the Bonaparte mine property.
The amendment agreement will allow the company to earn up to a51-per-cent interest in the property for the payment of a total amountof 12.5 million shares, $250,000 in cash, the greater of $1-million cashor the deemed total value of two million shares with a deemed price pershare based on the closing price as of the date of the announcement inStockwatch by the company made after the close of trading of the sharesless the allowable market discount as set out in the policies of the TSXVenture Exchange, and the incurring of $1,469,000 in expenditures onthe property. The company can acquire an additional 9-per-cent interestfor a total of a 60-per-cent interest in the property for an additionalpayment of $1-million cash and 10 million shares. Over all, ascompared with the original option agreement, this represents an increaseof $250,000 cash and 2.5 million shares in lieu of incurring all workcosts required to initiate full production on the property to acquire a60-per-cent interest in the property.