They recently received a permit to mine, now this --

True North Gems agreement to sell 20% of TNGG

2014-03-14 20:00 ET - Acquisition

The TSX Venture Exchange has accepted for filing an option agreement dated Aug. 7, 2013, between True North Gems Inc. and LNS Greenland A/S (LNSG) under which LNSG has been granted an option to earn 20 per cent of the issued and outstanding Class A shares of True North Gems Greenland A/S (TNGG), the company's operating subsidiary in Greenland, in exchange for approximately $23-million (U.S.), the majority of Aappaluttoq mine capital costs. Pursuant to the agreement, the parties will be required to contribute to TNGG and provide financing. The relationship between the company and LNSG will be governed by four additional agreements, the TNGG shareholders agreement, the lease and purchase agreement, the management agreement and the pledge agreement.