Bayshore Enters Into Letter of Intent to Acquire Infinitum Copper Corp.
CALGARY, Alberta, May 18, 2021 (GLOBE NEWSWIRE) -- Bayshore Petroleum Corp. (“Bayshore” or the “Company”) (TSXV: BSH) is pleased to announce that
it has entered into a letter of intent (the “Letter of Intent”) dated effective May 17, 2021 outlining the general terms and conditions with respect to the acquisition (the
“Acquisition”) by Bayshore of all the issued and outstanding share capital of Infinitum Copper Corp. (“Infinitum”). The Acquisition of Infinitum will constitute a
reverse takeover under Policy 5.2 of the TSX Venture Exchange (the “Exchange”), and is subject to approval of the Exchange. This news release will be followed by a further
comprehensive news release setting out additional details of the Acquisition in accordance with Exchange Policy 5.2.
Business of Infinitum & the Adelita Copper Project
Infinitum is a privately held British Columbia company, which holds an option to acquire an 80% interest in the Adelita Property, Sonora State, Mexico, from Minaurum Gold Inc. (TSXV: MGG; “Minaurum”).
The Adelita project is a copper-gold-silver skarn mineralization and porphyry project. A 40 meter-long adit had been driven on the Cerro Grande prospect in the central part of the project area during the 1960s. Unknown operators opened the Las Trancas prospect, a shear zone hosting copper oxide in the southwestern part of the project area prior to 2005, and conducted minor production from these areas.
An exploration program including drilling, airborne geophysics and drilling have shown significant magnetic anomalies parallel to the dominant mineralized trend at Cerro Grande, suggesting blind targets for future drilling and demonstrated 300 meters of vertical continuity on the Cerro Grande skarn target discovery with the porphyry target still undrilled. Seven target areas have been identified.
The project is located on the southern tip of Sonora State, and lies in a regional belt of porphyry mines and prospects including Cobre del Mayo’s Piedras Verdes porphyry Copper mine and adjacent to Pan American Silver's Alamo Dorado mine.
Upon exercise of the option, Infinitum and Minaurum will form a joint venture (on an initial 80/20 basis) to undertake further work on the Adelita property.
Conditions of Closing the Acquisition
The closing of the Acquisition will include the following:
|1.||Infinitum closing of a total finance of $4 million in two tranches;|
|2.||BSH will (a) restructure its existing business and consolidate of its total outstanding shares to three million (3,000,000) shares (Consolidated Shares); and|
|3.||The execution of a definitive agreement between Bayshore and Infinitum.|
The closing will also be subject to the following: