>>>>>>> Bresea and Bro-X Posting <<<<<<<<<
The following are excerpts from a Notice of Motion and related Affidavit filed with the Alberta
Court of Queen's Bench on January 18th, 1999 and, I believe, subsequently approved on January
20th, 1999.
START OF EXCERPT ONE <<<
"TAKE NOTICE that an application will be made on behalf of PricewaterhouseCoopers Inc.,- - -
for an Order:
1. authorizing the Interim Receiver to enter into an agreement with Bro-X Minerals Ltd. involving
the redemption of Bresea Resources Ltd.'s preferred shares in Bro-X Minerals Ltd. or, in the
alternative, the winding up of Bro-X Minerals Ltd., such agreement to include substantially
similar terms as outlined in the Letter of Intent attached to the Affidavit of Kurt P. Bonokoski; - -
-"
>>> END OF EXCERPT ONE - START OF EXCERPT TWO <<<
"AFFIDAVIT
I, KURT P. BONOKOSKI, - - - SAY AS FOLLOWS: - - -
7. Since October 1998, negotiations with Bro-X have been ongoing regarding Bresea's right to
retract its preferred shares in Bro-X, and on January 18, 1999 a Letter of Intent was entered into
between Bresea and Bro-X. In general terms, the agreement contemplates that Bro-X will have
until April 30, 1999 to conduct a rights offering to its existing common shareholders in order to
raise funds which will allow Bro-X to enter into a merger or joint venture with another company.
If the Bro-X rights offering is successful, Bro-X will redeem 750,000 preferred shares held by
Bresea, at $1 per share, and the remaining preferred shares held by Bresea will be converted into
an equal number of common shares in Bro-X. If the rights offering does not occur or is
unsuccessful, Bro-X agrees that it will not object to or impede a winding-up application
undertaken by Bresea, through the Interim Receiver, through which Bresea will exercise its rights
on the preferred shares. - - -"
>>> END OF EXCERPTS
In my opinion, if there are any Bro-X shareholders out there that wish to recoup their losses on
Bro-X shares by having Bro-X become a viable company again, they should actively get
involved by contacting Thomas P. Devlin the Acting Treasurer and Corporate Secretary for
Bro-X Minerals Ltd. (April 30th is not very far away).
Regards,
Rod Steel
Secretary of the Executive Committee, BSR Group of Shareholders
======================================================================
NOTE: I Al Holman try my best to keep myself and anyone interested on updates about the
current proceedings and/or updates on BSR/BXO/BXM.==
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