Tao Minerals Ltd. Signs LOI to Acquire Las Aquadas Property
July 06 2011 - 9:00AM
Marketwired
Tao Minerals Ltd. (TAO) (OTCQB: TAON) is pleased to announce the
signing of a Letter of Intent (LOI) to acquire the Las Aquadas
property from Bullet Holding Corp of Medellin, Colombia. The Las
Aquadas property is located in the Caldas Dept and approximately
120 kilometers south east of Medellin, Colombia.
The due diligence period for each of the parties is to be
completed by September 30, 2011 and all terms and conditions
concerning this proposed transaction will be set forth in a
definitive agreement that will be subject to the approval of the
parties.
The key point issues of the Proposed Transaction structure are
as follows:
- Listing on Frankfurt Exchange - Tao will undertake its best
efforts within 90 days to seek a listing on the Frankfurt Exchange
consistent with any and all listing requirements.
- Vend in of Bullet Property - Bullet will transfer its interest
in the Las Aquadas property with a minimum valuation of
US$ 10,000,000 in exchange for a minimum of 60 % of the issued
and outstanding shares warrants and/or debentures of Tao on a fully
diluted basis conditioned upon the completion of the Financing.
- Financing - Tao completing a financing for gross proceeds of
at least US$ 10,000,000
- Senior Officer - James M. Sikora will agree to serve as the
President of Tao on a full time basis for a period of at least two
years from Closing.
- Board Representation - the board of directors of Tao at
closing shall be compromised of seven people, three nominees of
Tao, three nominees of Bullet and the seventh nominee being jointly
agreed upon by Tao and Bullet.
- Closing - The Closing shall occur no later than September 30,
2011
Tao president, James A. Sikora stated that Tao is very pleased
to have executed this LOI to acquire an excellent and key project
in such a strategic gold mining district of Colombia.
Tao Minerals Ltd. is a mining exploration and development
company formed to acquire, develop, and exploit natural resource
properties focusing primarily on the rich, yet highly
underdeveloped gold deposits of Colombia doing so in a socially and
environmentally responsible manner. As a corporation, Tao has
firmly established itself in Colombia over the past five years,
becoming fully adept with the legal and political processes
required and hiring highly qualified personnel in the geological,
legal and security professions. Arriving early to the boom in the
expansion of natural resource development in Colombia has enabled
Tao to firmly establish itself in Colombia.
Contacts: Tao Minerals Ltd. James A. Sikora President & CEO
877-331-8777