Replies to post #4006 on Sierra Resource Group Inc. (fka SIRG)

[Dwill2]

copy/pasted loi for additional 10%.... they can only pay for this with funding

[Dwill2]

"The Definitive Agreement shall be completed and executed on or before March 19, 2012 (the “Closing Date”), unless both parties agree to an extension not to exceed 10 days."

Don't forget to add 10 days to the March 19th date because they could agree to this without any further notification to shareholders.

Honestly, though, i'm not sure what's stopping them from extending it more than 10 days. It says the extension is 'not to exceed' 10 days but since market factors haven't changed much i'm sure there's some additional room either way.

just my 2 cents

[Dwill2]

In fact, there are a few interesting things about the LOI that gives me further questions now that we're in Mid March....

Even if SIRG signs an LOI for funding TOMORROW... how are they going to transfer the money to Medina owed at closing ($750,000) by march 19th (or within 10 days)? Considering the signing of the FUNDING LOI will be a material event, we would HAVE to see an 8k on that within a week. So I'm assuming that hasn't happened yet. Since I'm assuming that hasn't happened... it's not like they can sign an LOI for funding, and turn around and transfer $750K within a week or within 17 days? So basically what I'm saying is, if they didn't already 8k that we've got a funding LOI, then it's going to be impossible to make the March 19th (+10) deadline.
Rod will have to communicate that the signing of the funding LOI pushes back the agreement with Medina until they can transfer the funds as I highly doubt that the Funding LOI will have $750K in good faith money.

on the flip side it doesn't say on the 10% purchase LOI that the deal is void if it hasn't been closed within 10 days of March 19th. There is wording in there that states that MPG (Medina) can not sell/negotiate their Chloride Copper mine during the timeframe of the LOI. So after the extension, etc, Medina could shop the 10% elsewhere OR the deal could still be closed w/SIRG regardless of the 10 days elapsing.

added to my other 2 cents, that makes 4 cents