Once PEL receives 3.3 MIO payment, PEL will be a shell with roughly 4 MIO cash.
ann. last week
SALE OF SIBUYAN NICKEL PROPERTIES
DEVELOPMENT CORPORATION
The directors of Pelican Resources Limited (ASX: PEL) (“Pelican” or “the Company”)
are pleased to provide an update on the sale of Sibuyan Nickel Properties
Development Corporation (“SNPDC”), the beneficial owner of the Romblon Project
located on Sibuyan Island in the Romblon Province in the Philippines.
Pelican has previously reported attempts to secure the support of its venture
partner, All Acacia Resources Inc. (“AARI”) for the Memorandum of Understanding
(“Agreement”) between Pelican and Dynamo Atlantic Limited (“DAL”) relating the
sale of SNPDC. Pelican advises it has received notification from AARI that it is
prepared to support the sale of SNPDC.
DAL has previously completed due diligence enquiries and advanced payments
totaling $A1.41 million in accordance with the terms of the MOU. On securing AARI’s
support for the sale of SNPDC, Pelican considers that the MOU is unconditional and
the parties can proceed towards completion.
Pelican has commenced drafting a formal Share Sale Agreement (“SSA”) to facilitate
the transfer of ownership of SNPDC to Dynamo. Obtaining AARI’s commitment to the
sale of SNPDC means that Pelican is now ready and able to progress with completion
of the SSA. On completion, Dynamo is required to pay the balance of the sale price of
$A3.29 million.
