Mirasol enters deal to sell Cu projects in Argentina

Executive Summary

• Mirasol Resources Ltd. has signed an asset purchase agreement to sell a 100% interest in a portfolio of 14 copper exploration projects in Mendoza, Argentina, to Mises Metals SAS (a subsidiary of Argentina Metals Corp.).
• The transaction involves a total consideration of $50,000 USD in cash and 1,300,000 common shares of Argentina Metals, structured in tranches based on closing, registration, and listing milestones.
• The deal includes a reversion clause: if Argentina Metals does not list its shares on a recognized Canadian stock exchange within one year of closing, the projects revert to Mirasol in exchange for the return of shares and half of the cash payment.

Key Details

• Asset Portfolio: 14 grassroots copper porphyry exploration projects comprising 89,070 hectares located in Mendoza, Argentina.
• Buyer: Mises Metals SAS, a wholly owned subsidiary of Argentina Metals Corp.
• Total Consideration:
  • Cash: $50,000 (U.S.).
  • Equity: 1,300,000 common shares of Argentina Metals (no par value), distributed as follows:
    • 433,333 shares payable on closing.
    • 433,333 shares payable upon registration of the transfer with the Direccion de Mineria de the province of Mendoza.
    • 433,334 shares payable at the earlier of one year from closing or when Argentina Metals' common shares are listed on a recognized Canadian stock exchange.
• Reversion Clause: If the public listing does not occur within one year of closing, the Mendoza portfolio properties shall be returned to Mirasol. In this event, Mirasol must return the shares received and one-half of the cash payment.
• Strategic Rationale: Mirasol describes this as part of ongoing business development initiatives to advance non-core assets in Argentina and Chile, noting that Argentina Metals holds significant shareholdings in Mirasol, ensuring participation in the projects' success.

Notable Quotes

• "The sale of our prospective Mendoza portfolio of copper projects is another step in our ongoing business development initiatives to advance our non-core assets in our portfolio of projects in Argentina and Chile," stated Mirasol's president, Tim Heenan. "Argentina Metals has the capacity and the determination to advance these projects, and our significant shareholdings ensure we participate in their success."