- International Frontier Resources Corporation (IFR) signed a letter of intent with Jaguar Exploration regarding interest in the TM-01 license contract
- International Frontier will issue 35 per cent of its common shares to Jaguar
- It will also help with the estimated US$13.5 million costs for conducting certain work programs related to the license contract under a proposed farm-in arrangement
- The farm-in agreement will be effective during the first quarter of 2023
- Completion of the farm-in arrangement is also conditional on International Frontier completing a financing to fund its share of the work programs
- International Frontier Resources Corporation (IFR) is unchanged on the day, trading at $0.02 per share at 2:39 p.m. EST
International Frontier Resources (IFR) has signed a letter of intent with Jaguar Exploration regarding interest in the TM-01 license contract in Mexico.
International Frontier will acquire a working interest in the license contract by issuing 35 per cent of its common shares to Jaguar and helping with the estimated US$13.5 million costs for conducting certain work programs related to the license contract under a proposed farm-in arrangement.
For the proposed farm-in arrangement, Jaguar also agreed to convey and farmout a 25 per cent working interest in the license contract to International Frontier. This is subject to International Frontier participating in 90 per cent of the work programs.
The effective date of the proposed farm-In arrangement is currently planned for the first quarter of 2023.
Completion of the farm-in arrangement is also conditional on International Frontier completing a financing to fund its share of the work programs. Subject to the signing of a definitive agreement and acceptable financing conditions, Jaguar will purchase a minimum of 20 per cent and a maximum of 35 per cent of the financing.
The definitive agreement will contemplate a $500,000 break fee payable to International Frontier if Jaguar cancels the definitive agreement without cause.
International Frontier Resources Corporation (IFR) is unchanged on the day, trading at $0.02 per share at 2:39 p.m. EST.