Mesa Exploration Corp. (the "Company" or "Mesa") is pleased to announce that it has entered into an agreement to sell (the "Transaction") the mineral claims that constitute the Sal Rica project to Uranium Resources, Inc.
Under the terms of the agreement between URI and Mesa, URI will acquire an undivided 100 percent interest in the Sal Rica project, subject to a 2 percent net smelter return royalty (NSR), for the following consideration:
- $50,000 cash to be paid to Mesa at closing;
- 100,000 common shares of URI to be issued to Mesa at closing, which will be subject to a registration statement to be filed by URI with the United States Securities Exchange Commission (the "SEC") within 28 days of the issuance of the shares; and
- an additional 100,000 common shares of URI to be issued to Mesa on the first anniversary date of closing, which will be subject to a registration statement to be filed by URI with the SEC within 28 days of the issuance of the shares.
Closing of the Transaction is expected to occur on or before October 21, 2016, subject to customary closing conditions. The Transaction was negotiated by the parties on an arm's length basis.
About Mesa Exploration:
Mesa is exploring a portfolio potash, gold and silver mineral properties in the United States where it controls significant land holdings in proven mining districts with excellent access and infrastructure. Mesa currently has 16.7 million shares issued and outstanding, 50% of the shares are controlled by insiders and institutions. For further information please visit our website at www.MesaExploration.com.
ON BEHALF OF THE BOARD, MESA EXPLORATION CORP.
(signed) Foster Wilson, President and CEO