Cordoba Minerals (CDB-V)
Oct 21, 2013 - News Release
Cordoba Minerals Corp. has provided an update on the company's proposed acquisition of a 100-per-cent-interest in the Cordoba copper-gold property from the Minatura group of companies and in the adjacent San Matias property from Sabre Metals Inc., located in the municipality of Puerto Libertador, department of Cordoba, 200 kilometres north of Medellin, Colombia. This agreement consolidates a major land package covering multiple porphyry copper-gold targets along an inferred northern extension of the prolific Middle Cauca gold belt of central Colombia, in which several major gold discoveries have been made in recent years. Several intrusive centres have been identified on the two properties and until recently neither property had been drilled, despite a long history of both alluvial and hard rock mining.
In September, the company announced that Sabre had completed a short four-hole, phase one diamond drilling program of approximately 575 metres (see press release dated Sept. 23, 2013). The assay results of this program are pending.
Simon Ridgway, chief executive officer of the company, commented: "We're pleased that the acquisition is progressing according to plan given the complexity of the transaction. As a vote of confidence in the project and the transaction, we have received to date proceeds of $1.93-million from the exercise of Cordoba warrants, for which I'd like to thank our shareholders."
Accelerated warrants expiry
Management wishes to remind its warrantholders that the last day to exercise the company's 50-cent warrants is Wednesday, Oct. 23, 2013.
Transaction update
In addition to the terms set out in the company's news release of Aug. 1, 2013, the acquisition will involve, subject to shareholder and exchange approval, a one-for-two consolidation of the company's shares, to be effective concurrently with completion of the acquisition. Management is of the view that the consolidation is in the best interests of the company and its shareholders as it will facilitate future equity financings and new business opportunities for the company.
The company has made an initial filing submission to the exchange regarding the acquisition, and expects to be announcing soon a date for the shareholders meeting required in order to request approval to the acquisition, share consolidation and related matters.
As well, Canaccord Genuity Corp. has agreed, subject to completion of satisfactory due diligence, to act as sponsor to the company in connection with the acquisition. An agreement to sponsor should not be construed as any assurance with respect to the merits of the acquisition or the likelihood of completion.
The company's management has determined that it is in the best interests of the company to extend the expiry date of certain private placement warrants previously issued by the company. Accordingly, subject to TSX Venture Exchange acceptance, the expiry date of outstanding warrants entitling the holders to purchase a total of 1,176,738 shares at $1 per share has been extended by one year to April 10, 2015.
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