If you read the release carefully the JV partner has the right to earn up to 85% interest if they do the following;
Upon Contract Agreement signing - $75,000
At six months - $75,000
At 15 months - $100,000
At 36 months - .01 cent per pound of copper found during exploration for a minimum of $15 million and a maximum of $85 million.
IICC shall invest in exploration on the concessions a minimum of $3 million
So if this deal goes through at minimum the JV partner has to invest 3 million over 36 months for exploration and 1 cent per pound for the copper with a minimum of $15 million and a maximum of $85 million. The partner is out a minimum of $18.25 million or a maximum of $88.250 million for 85 % of the claim. That means that 15% of the claim is retained going forward. So there would be an entitlement to 15% of the profits going forward. On the flip side there is no statement made about other minerals found or the sharing. All I can say on the surface the deal does not look bad, but also the deal could be a lot better than we realize but there is not enough information! Not sure if the retain interest is all Medinah USA, and JJ is selling his direct 85% interest, or if Medinah USA is getting 15% of the purchase price and retaining 15% of the remaining 15% interest. It is hard to tell the real structure. It is obvious we need more information!
News 
Market Data 
Discover 
AI
