American Consolidated Enters into Agreement to Acquire 50% Interest in Sierra Rosario Property, Mexico

- May 11th, 2011

American Consolidated Minerals (TSXV:AJC) announced it has entered into an agreement with Sparton Resources Inc. for the acquisition of Sparton’s 50% interest in the 500-hectare Sierra Rosario Property.

American Consolidated Minerals (TSXV:AJC) announced it has entered into an agreement with Sparton Resources Inc. for the acquisition of Sparton’s 50% interest in the 500-hectare Sierra Rosario Property.

As quoted in the press release:

Sparton currently holds a 51% interest in Sierra Rosario in a Joint Venture with International Northair Mines Ltd. (“INM”) (TSX VENTURE:INM) which owns the remaining 49%. Sparton will transfer a 1% interest in Sierra Rosario to INM concurrently with the closing of the first payment and share issuance from ACM to Sparton, as outlined below.

  1. Under the terms of the agreement, the Company will have a 45-day period to conduct a due diligence study on Sierra Rosario, and upon giving Sparton notice to proceed with the Acquisition, American Consolidated will acquire the 50% right, title and interest in and to Sierra Rosario by:
  2. Paying to Sparton $250,000 ($10,000 upon signing and non-refundable) and, subject to acceptance of the agreement by the TSX Venture Exchange (the “Exchange”), issuing to Sparton 250,000 common shares of the Company; and
  3. Paying to Sparton an additional $250,000 and issuing to Sparton a further 250,000 shares of the Company on the first anniversary date of Exchange acceptance.

Click here to read the American Consolidated Minerals (TSXV:AJC) press releaseSee this press release on Marketwire
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