Shame on you Teck Offering PBX chump change for Copa.... 20+ million spent on defining the resource and only offering PBX 3 million.... When did Teck decide to become a carpetbagger? The water on Copa is worth multiples of that.... shame shame shame!
Int'l PBX to sell Copaquire for $3.03-million (U.S.)
2013-10-11 15:12 ET - News Release
Mr. Terry Lynch reports
INTERNATIONAL PBX VENTURES INC. ANNOUNCES SALE OF COPAQUIRE
International PBX Ventures Ltd., on Oct. 11, 2013, through its wholly owned Chilean subsidiary, Minera IPBX Ltda., has entered into an agreement to sell 100 per cent of its interest in the Copaquire property, located in the Andean Cordillera of Region I, northern Chile, to Teck Resources Chile Ltda., a subsidiary of Teck Resources Ltd., for $3,033,556 (U.S.) cash plus a 3-per-cent net smelter royalty (NSR) payable to IPBX. Additionally, Teck will have the option to buy back 1 per cent of the NSR for $3-million (U.S.) at any time. The sale is subject to legal and title due diligence and PBX shareholder approval, and is expected to close in December, 2013. The transaction has been approved by the PBX board of directors, and Haywood Securities Inc. has provided a verbal opinion to the company that the transaction is fair, from a financial point of view, to PBX shareholders.
Terry Lynch, president and chief executive officer of PBX, commented: "We are pleased to come to an agreement with Teck to sell Copaquire. While we had expected to obtain a purchase price with more value upfront, it is very telling of the current market conditions that we ended up accepting this deal. Our view was with Teck's 76.5-per-cent interest in the nearby Quebrada Blanca mine that they would be in the best position to advance the property. Through our maintenance of an attractive royalty on the property, we expect to provide our shareholders with exposure to a potential future development at Copaquire. We would like to thank our agents, Jones Gable and Haywood, for their help in the sales process. Total fees payable to our agents for this transaction is $128,926. We will use part of the proceeds to pay off our current trade payables, loans and convertible debenture. We then plan to use the remaining proceeds to enhance shareholder value by focusing on the exploration and development of certain of our current properties, and would expect to provide an update on these development plans postclosing of this transaction."
In addition to the aforementioned Copaquire property, PBX owns mineral rights through its subsidiary, Chilean Metals Exploration Ltd., on six 100-per-cent-owned properties comprising over 50,000 acres strategically located in the prolific iron-oxide-copper-gold (IOCG) belt of Chile. Several of these projects are under review by third parties for possible purchase or joint venture