Canyon Copper Signs LOI to Sell Moonlight Property

Canyon Copper (TSXV:CNC) has signed a letter of intent with Crown Mining to sell its Moonlight property to Crown. The companies have entered a definitive agreement to set terms for the proposed sale of the property, and have until July 31 2015 to settle the agreement.

As quoted in the press release:

Under the proposed terms of the Definitive Agreement, Canyon will transfer all of its interest in and to the Moonlight Property to Crown and, in consideration of which, Crown will pay Canyon CAD $350,000 and issue 2,000,000 common shares of Crown on closing of the Definitive Agreement.

Under the letter of intent, Canyon has granted Crown the exclusive right to negotiate the acquisition of the Moonlight Property until July 31, 2015. In consideration of this right, Crown has paid Canyon CAD $6,250.

The closing of the Transaction will be subject to customary conditions as well as (A) the existing advanced royalty holders (the “Advanced Royalty Holders”) approving the: (i) elimination of the advanced royalty payments, (ii) an increase in each of the Advance Royalty Holder’s net smelter returns from 1.0% to 1.25%, and (iii) the issuance of 300,000 common shares of Crown to each of the Advance Royalty Holders, (B) acceptance by the TSX Venture Exchange of the Definitive Agreement and the transactions contemplated therein, and (C) approval of the shareholders of Canyon of the Transaction.

The parties have until July 31, 2015 to settle the Definitive Agreement. If the Definitive Agreement is not executed by that date, the letter of intent will terminate.

Click here to read the Canyon Copper (TSXV:CNC) press release