Asia Broadband Inc (AABB)

[MoneyForNuthin]

$AABB 2nd tranche $9 Million to be received before year-end from Investor / Joint Venture Partner (and captive/guaranteed customer), Qiangda Investments & Economics & Co., Ltd.

Oct 24, 2018: Asia Metals Inc. Secures $34 Million Joint Venture and Receives $5 Million First Tranche
https://www.prnewswire.com/news-releases/asia-metals-inc-secures-34-million-joint-venture-and-receives-5-million-first-tranche-300736810.html

...has signed a definitive joint venture agreement for the large scale expansion of the Company's mining operations in the state of Guerrero, Mexico, with Qiangda Investments & Economics & Co., Ltd.. The agreement guarantees a $34 million capital commitment allocated over a 3 year period on a time-lined payment schedule to earn-in a maximum 40% equity interest in the Company. The schedule consists of a $5 million initial payment that has now been received earning a 6% equity interest, a $9 million minimum payment in 2019 to earn a further 10% interest, a $10 million minimum payment in 2020 to earn a further 12% interest and a $10 million minimum payment in 2021 to earn a further 12% interest. The joint venture capital will be allocated specifically to expand the identified resources within the Asia Broadband properties and build out a new production processing facility with greater efficiency and capacity, but also includes provisions for new exploration expenditures. The operating terms include identifying Asian Metals Inc. as the manager of the joint venture and the forming of a management committee with representatives from both parties to oversee, approve and direct budgeting, capital expenditures and decision-making regarding operational processes and expenditures.

Qiangda Investments & Economics & Co., Ltd., is a holding company and facilitating subsidiary of a Chinese owned conglomerate entity. Its operational objective is to secure physical gold supplies for it affiliates' manufacturing demand and to build an investment hedge that mitigates the risk of instabilities caused by fluctuations in markets and world economic conditions.