Valencia Ventures Settles Liabilities Relating to Jacobina Mineadmin
Valencia Ventures Inc. announce that it has entered into an agreement with Yamana Gold Inc. regarding the release of the respective liabilities and obligations of Valencia and Yamana to each other in relation to the Jacobina mine. Valencia previously held an interest in the Jacobina mine that it sold to Desert Sun Mining Corp. Yamana purchased Desert Sun Mining Corp. in 2006 and continues to indirectly hold the Jacobina mine.
In consideration for Yamana agreeing to terminate the obligations of Valencia, Valencia has agreed to issue to Yamana (i) 10,000,000 common shares; and (ii) 5,000,000 share purchase warrants (“Warrants”). Each Warrant shall be exercisable for one common share at a price of $0.20 at any time prior to the date that is two years from the date of issue.
The settlement is subject to receipt of all necessary approvals, including approval of the TSX Venture Exchange.
Valencia is a Canadian resource company traded under the symbol VVI on the TSX Venture Exchange. Valencia’s development strategy is focused on the exploration and development of silver and gold properties, including the Cachinal and Juncal silver projects in Chile.
For additional information on this press release or Valencia’s projects, please visit www.valenciaventures.com.