Solomon Resources acquisition agreement for Avasca

2009-07-29 16:27 ET - Acquisition

The TSX Venture Exchange has accepted for expedited filing documentation of a purchase agreement dated June 16, 2009, between the issuer and Avasca Inc. (a private company, S. Ridgway, R. Rushton, D. Cass and T. James) whereby the issuer may acquire a 100-per-cent interest in the issued and outstanding shares of the vendor. The vendor's only material asset is an option to acquire a 51-per-cent interest in the Cry Lake (formerly the Nizi Creek property) property located in British Columbia.

The consideration payable to the vendor is $154,000 cash and the issuance of 400,000 units of the issuer (each unit comprises one common share and one share purchase warrant, each warrant exercisable into one common share of the company at 30 cents for a period of one year). In addition, the issuer must incur work expenditures on the property in the amount of an aggregate $2-million by Dec. 31, 2011