Oroco Resources

Published : January 28th, 2013

SIGNS AGREEMENT TO SELL CERRO PRIETO FOR US $18 MILLION

( 0 vote, 0/5 ) Print article
  Article Comments Comment this article Rating Follow Company  
0
Send
0
comment
Keywords :   Canada | Debt | G Mexico | Gold | K Street | Mexico | Silver |

OROCO SIGNS AGREEMENT TO SELL CERRO PRIETO FOR US $18 MILLION

Vancouver, British Columbia (January 28, 2013) – Oroco Resource Corp (�Oroco�) (TSXV:OCO; Frankfurt: OR6) is pleased to announce that it has entered into a binding agreement with Goldgroup Mining Inc. (�Goldgroup�) (TSX:GGA, OTC:GGAZF, BMV SIC:GGAN.MX) pursuant to which Oroco will sell to Goldgroup a 100% interest in Minas de Oroco Resources, S.A. de C.V., Oroco�s Mexican subsidiary which holds a 100% interest in the Company�s Cerro Prieto Project (the �Properties�) in Sonora State, Mexico. 

Total consideration for the acquisition will be US$18 million, which shall be comprised of an initial payment of US$4,500,000 on closing and quarterly payments based on a calculation of US$150 per ounce for each ounce of gold produced from the Properties, subject to minimum quarterly payments (the �Minimum Payments�) of US$625,000 (for a total of US$2,500,000 per year) commencing one year after closing.  Quarterly payments shall be made until either the full purchase price of US$18,000,000 is paid, representing 90,000 ounces of production, or Goldgroup permanently ceases production from the Properties.  If commercial production does not commence at Cerro Prieto prior to January 1, 2014, the first two quarterly payments shall be reduced to US$250,000, with the annual minimum to be fulfilled by the fourth quarterly payment and the minimum quarterly payments maintained thereafter.

In addition, under the terms of the agreement, and subject to the approval of the TSX Venture Exchange, Goldgroup shall subscribe within seven days for a private placement of five million units in Oroco at a price of CAD$0.20 per unit, with each unit being comprised of one common share and one non-transferable share purchase warrant entitling Goldgroup to purchase one common share of Oroco for CAD$0.25 for a period of two years from the date of closing of the private placement.

The closing of the sale is subject to Oroco obtaining binding lock-up agreements from shareholders representing not less than 22% of the outstanding shares of the Company, the approval of the shareholders of the Company, the approval of the TSX Venture and the Toronto Stock Exchange, and material adverse change exceptions.  In addition, the parties have agreed that Oroco will pay Goldgroup a US$500,000 break fee if Oroco does not complete the transaction by June 30, 2013.

Craig Dalziel, President & CEO of Oroco, commented, �This transaction very importantly eliminates Oroco�s current debt obligations and provides Oroco with cash sufficient to allow the Company to focus on its newly-registered Xochipala property in the Guerrero Gold Belt.  The prospect of sustained working capital should minimize near-term share dilution and provide Oroco with the opportunity to more aggressively pursue its highly-prospective target at Xochipala.�

The Cerro Prieto Project is a permitted gold and silver project located in northern Sonora State, Mexico, comprised of mineral concessions totaling approximately 7,000 hectares and containing approximately 17.5 kilometers of strike length of the mineralized structure hosting the current resource.  In December of 2010, Oroco announced a positive preliminary economic assessment highlighting an open pit gold-silver mining operation at Cerro Prieto and in early 2012 Oroco announced the receipt of the Environment Impact Statement (Manifestacion de Impacto Ambiental) and the Authorization of Change of Land Use (Estudio Tecnico Justificativo para Cambio de Uso de Suelo) for the Cerro Prieto Project.

About Oroco

Oroco is a Canadian-based mineral exploration company focused on its two Mexican gold projects, the 7000 ha Cerro Prieto Project in northern Sonora State, Mexico and the 193 ha Xochipala Property, lying within the original Morelos National Mining Reserve in Guerrero State, Mexico.

For further information, please contact:
Mr. Craig Dalziel, President and CEO
Oroco Resource Corp.
Tel: 604-688-6200

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.


Oroco Resource Corp.
789-999 West Hastings Street | Vancouver | B.C. | V6C 2W2 | Canada
Data and Statistics for these countries : Canada | Mexico | All
Gold and Silver Prices for these countries : Canada | Mexico | All

Oroco Resources

EXPLORATION STAGE
CODE : OCO.V
ISIN : CA6870331007
CUSIP : 687033 10 0
Follow and Invest
Add to watch list Add to your portfolio Add or edit a note
Add Alert Add to Watchlists Add to Portfolio Add Note
ProfileMarket
Indicators
VALUE :
Projects & res.
Press
releases
Annual
report
RISK :
Asset profile
Contact Cpy

Oroco is an exploration zinc and lead company based in Canada.

Its main exploration properties are XOCHIPALA and CERRO PRIETO in Mexico.

Oroco is listed in Canada. Its market capitalisation is CA$ 35.5 millions as of today (US$ 26.8 millions, € 24.3 millions).

Its stock quote reached its highest recent level on March 20, 2008 at CA$ 0.75, and its lowest recent point on January 01, 2016 at CA$ 0.01.

Oroco has 77 947 405 shares outstanding.

Your feedback is appreciated, please leave a comment or rate this article.
Rate : Average note :0 (0 vote) View Top rated
 
Annual reports of Oroco Resources
2007 Annual Report
Financings of Oroco Resources
2/5/2013CLOSES $1 MILLION NON-BROKERED PRIVATE PLACEMENT
9/11/2012Applies to Extend Term of Warrants
6/9/2011Announces Exercise of Warrants
5/25/2009RESOURCE CORP. ANNOUNCES PRIVATE PLACEMENT
Nominations of Oroco Resources
4/27/2010Appointment of Chief Consulting Engineer
Project news of Oroco Resources
1/27/2014(Cerro Prieto)REPORTS INITIAL PRODUCTION AT CERRO PRIETO
10/22/2012(Xochipala)Resource Corp.: Xochipala Amparo Filed
9/21/2012(Xochipala)Announces Commencement of Exploration at its Xochipala Proje...
5/14/2012(Cerro Prieto)REPORTS ON SOUTH EXTENSION DRILLING AT CERRO PRIETO
4/20/2012(Cerro Prieto)ANNOUNCES CERRO PRIETO DRILL RESULTS
1/17/2012(Cerro Prieto)ADDS TO CERRO PRIETO PROJECT
12/8/2011ANNOUNCES START OF DRILLING PROGRAMOROCO ANNOUNCES START OF ...
5/18/2011(Cerro Prieto)Secures Surface Rights for Cerro Prieto Project
1/12/2010(Cerro Prieto)Multiple High Grade Gold Drill Intercepts at Cerro Prieto.
9/30/2009(Cerro Prieto)New and Updated Drill Intercepts
9/17/2009(Cerro Prieto)Second Phase Drilling Verifies 2.0 Kilometer Mineralized Str...
8/11/2009(Cerro Prieto)High Grade Gold Sampled on Additional 900 Meter Strike Lengt...
7/21/2009(Cerro Prieto)Commences Phase Two Drilling at Cerro Prieto
5/14/2009(Cerro Prieto)Signs Property Option Agreement With Yamana Gold
1/27/2009(Cerro Prieto)REPORTS A 25.3 MILLION TONNE INDICATED RESOURCE AND 4.69 MI...
11/28/2008(Cerro Prieto)SURFACE SAMPLING EXTENDS MINERALIZED ZONE AT CERRO PRIETO AL...
9/18/2008(Cerro Prieto)COPPER AND MOLYBDENUM IN ADDITION TO AU-AG-PB-ZN MINERALIZAT...
7/31/2008(Cerro Prieto)Continues its Drilling Success
6/16/2008(Cerro Prieto)Intersects 0.214 g/t Au, 361.8 g/t Ag, 2.40% Pb And 4.76% Zn...
5/21/2008(Cerro Prieto)Initial Drill Holes Intersect Mineralized Structure at Cerro...
4/30/2008(Cerro Prieto)ANNOUNCES FIRST SAMPLING RESULTS FROM CERRO PRIETO NORTH PRO...
Corporate news of Oroco Resources
12/17/2015December 15, 2015 OROCO SETTLES SONORAN LAWSUIT
12/17/2015Oroco Settles Sonoran Lawsuit
11/19/2015Oroco Agrees to Extension of Closing Date
9/29/2015September 28, 2015 OROCO NEGOTIATES PAYMENT OF GOLDGROUP MIN...
9/29/2015Oroco Negotiates Payment of Goldgroup Mining Inc. Notes
9/18/2015September 16, 2015 GOLDGROUP FAILS TO MAKE PAYMENT TO OROCO
9/17/2015Goldgroup Fails to Make Payment to Oroco
9/16/2015August 28, 2015 OROCO RECEIVES 16.5 MILLION SHARES OF GOLDGR...
8/29/2015Oroco Receives 16.5 Million Shares of Goldgroup Mining Inc.
10/2/2014Debt Assignment Agreement Closes
9/23/2014Oroco Enters Into Agreements With Goldgroup
3/31/2014Sonoran Resources LLC. Commences Legal Action
2/7/2014(Xochipala)WINS XOCHIPALA APPEAL
9/3/2013(Cerro Prieto)Announces Completion of the Sale of Cerro Prieto
8/16/2013(Cerro Prieto)and Goldgroup Extend the Closing Date for the Cerro Prieto T...
7/16/2013(Cerro Prieto)and Goldgroup Agree to an Extension of the Closing Date for ...
6/29/2013Receives Demand for Payment
6/25/2013(Cerro Prieto)Obtains Approval for Sale of Cerro Prieto to Goldgroup
6/4/2013Resource Corp.: Amparo Decision Handed Down
4/29/2013Announces Special General Meeting Date
4/10/2013(Cerro Prieto)and Goldgroup Sign Formal Sale Agreement for Cerro Prieto
1/28/2013(Cerro Prieto)SIGNS AGREEMENT TO SELL CERRO PRIETO FOR US $18 MILLION
1/28/2013(Cerro Prieto)Signs Agreement to Sell Cerro Prieto
11/9/2012(Xochipala)Increases Strike Length at Xochipala
6/27/2011(Cerro Prieto)Signs Definitive Cerro Prieto Surface Rights Agreement
6/17/2011(Cerro Prieto)Signs Indicative Term Sheet for Cerro Prieto Construction Fi...
3/15/2011Resource Corp. Announces Closing of Private Placement
3/7/2011Extends Mineralized Zone at Cerro Proeto
10/6/2009Initiation Of Phase Two Metallurgical Tests
6/25/2009Resource Compressed Timeline to Production
6/4/2009Invite for dissemination
5/13/2009General research GMBH to provide european investor...
3/8/2009ANDERSON FINANCIAL MARKETING to provide investor relations ...
11/4/2008Announces Senior Management Assignments
10/2/2008RESOURCE CORP. ADOPTS SHAREHOLDER RIGHTS PLAN
9/9/2008Announces 425 Meter Stepout to Mineralized Zone
Comments closed
 
Latest comment posted for this article
Be the first to comment
Add your comment
TSX-V (OCO.V)
0.455+1.11%
TSX-V
CA$ 0.455
09/16 16:47 0.010
1.11%
Prev close Open
0.450 0.460
Low High
0.450 0.465
Year l/h YTD var.
0.185 -  0.690 127.50%
52 week l/h 52 week var.
0.185 -  0.690 127.50%
Volume 1 month var.
99,650 3.41%
24hGold TrendPower© : -11
Produces
Develops
Explores for Gold - Lead - Silver - Zinc
 
 
 
Analyse
Interactive chart Add to compare
Interactive
chart
Print Compare Export
Last updated on : 11/6/2010
You must be logged in to use the porfolio and watchlists (free)
Top Newsreleases
MOST READ
Annual variation
DateVariationHighLow
2019133.33%0.200.19
2018143.75%0.300.08
2017166.67%0.100.02
201650.00%0.060.01
2015-50.00%0.060.01
 
5 years chart
 
3 months chart
 
3 months volume chart
 
 
Mining Company News
Plymouth Minerals LTDPLH.AX
Plymouth Minerals Intersects Further High Grade Potash in Drilling at Banio Potash Project - Plannin
AU$ 0.12-8.00%Trend Power :
Santos(Ngas-Oil)STO.AX
announces expected non-cash impairment
AU$ 7.84+1.10%Trend Power :
Oceana Gold(Au)OGC.AX
RELEASES NEW TECHNICAL REPORT FOR THE HAILE GOLD MINE
AU$ 3.69+0.00%Trend Power :
Western Areas NL(Au-Ni-Pl)WSA.AX
Advance Notice - Full Year Results Conference Call
AU$ 3.16-2.91%Trend Power :
Canadian Zinc(Ag-Au-Cu)CZN.TO
Reports Financial Results for Q2 and Provides Project Updates
CA$ 0.12+4.55%Trend Power :
Stornoway Diamond(Gems-Au-Ur)SWY.TO
Second Quarter Results
CA$ 0.02+100.00%Trend Power :
McEwen Mining(Cu-Le-Zn)MUX
TO ACQUIRE BLACK FOX FROM PRIMERO=C2=A0
US$ 1.71+4.91%Trend Power :
Rentech(Coal-Ngas)RTK
Rentech Announces Results for Second Quarter 2017
US$ 0.20-12.28%Trend Power :
KEFIKEFI.L
Reduced Funding Requirement
GBX 1.13-0.88%Trend Power :
Lupaka Gold Corp.LPK.V
Lupaka Gold Receives First Tranche Under Amended Invicta Financing Agreement
CA$ 0.02+0.00%Trend Power :
Imperial(Ag-Au-Cu)III.TO
Closes Bridge Loan Financing
CA$ 2.10-6.67%Trend Power :
Guyana Goldfields(Cu-Zn-Pa)GUY.TO
Reports Second Quarter 2017 Results and Maintains Production Guidance
CA$ 1.03+3.00%Trend Power :
Lundin Mining(Ag-Au-Cu)LUN.TO
d Share Capital and Voting Rights for Lundin Mining
CA$ 6.78-1.31%Trend Power :
Canarc Res.(Au)CCM.TO
Canarc Reports High Grade Gold in Surface Rock Samples at Fondaway Canyon, Nevada
CA$ 0.08+7.14%Trend Power :
Havilah(Cu-Le-Zn)HAV.AX
Q A April 2017 Quarterly Report
AU$ 0.12+4.17%Trend Power :
Uranium Res.(Ur)URRE
Commences Lithium Exploration Drilling at the Columbus Basin Project
US$ 6.80-2.86%Trend Power :
Platinum Group Metals(Au-Cu-Gems)PTM.TO
Platinum Group Metals Ltd. Operational and Strategic Process ...
CA$ 2.19+2.82%Trend Power :
Devon Energy(Ngas-Oil)DVN
Announces $340 Million of Non-Core Asset Sales
US$ 28.19+12.45%Trend Power :
Precision Drilling(Oil)PD-UN.TO
Announces 2017Second Quarter Financial Results
CA$ 8.66-0.35%Trend Power :
Terramin(Ag-Au-Cu)TZN.AX
2nd Quarter Report
AU$ 0.06+3.28%Trend Power :