International Frontier Res. Corp (IFRTF)

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So IDESA is our backer of the 100 million requirement

The minimum balance sheet requirement for participating in Round 3.2 is US$100 million. These blocks collectively cover 9,513 km2 with prospective resources of approximately 260 million barrels of oil equivalent (boe) including wet and dry gas, and light oil.

IDESA to Become a Strategic Investor in IFR

IFR has entered into a share option agreement (the "Option") with its JV partner, IDESA. The Option gives IFR the right to acquire a 100% stake in Tonalli by acquiring, through its wholly owned subsidiary, the outstanding shares of Tonalli held by IDESA prior to the expiry date of September 25, 2020.

The Option aligns IFR and IDESA's long-term strategy to build IFR into an energy leader in Mexico. Upon exercise of the Option:

The agreement will consolidate all cashflow and reserves into IFR

IDESA will have the right to nominate two directors to IFR's board of directors with an ongoing right to nominate 25% of the board seats as a major shareholder of IFR; and,

IDESA will subscribe for a minimum CDN$1 million of IFR shares pursuant to the future private placement.

IFR is in the Data room