Aquila Resources announced that it has entered into a non-binding letter of intent to sell its
interest in it’s the Bend and Reef exploration properties located in Wisconsin to Newco, a
private company. The total consideration of $7,000,000 payable to Aquila, includes $3,000,000
cash, of which $1,000,000 will be advanced immediately as a deposit, and shares in Newco
with an estimated value of $4,000,000.
Aquila President and CEO Guy Le Bel says Aquila is very pleased to have reached an agreement
in principle to monetize their non-core Wisconsin assets, providing Aquila with immediate cash
without diluting Aquila shareholders. The new exploration focused company will have the
resources to explore the Bend and Reef properties as Aquila focuses on the development of the
Back Forty Mine.
Completion of the Transaction is subject to certain conditions. The Reef Gold project in located
in Marathon County, while the Bend Project is located in Taylor County.