Southern Arc divested previously held Indonesian assets and entered into NSR agreements with the buyers, allowing Southern Arc's shareholders to maintain exposure to the upside potential of the properties:

West Lombok Project

  • On December 12, 2017, Southern Arc announced the completion of the sale of the West Lombok Property to PT Ancora Indonesia Resources, Tbk ("PT Ancora”), in consideration for a US$2 million cash payment and the granting of a 3% NSR. Under the terms of the agreement, PT Ancora has the right to buy back the NSR from Southern Arc at any time by paying an additional US$2 million.
  • Southern Arc has used the cash proceeds from the sale to acquire 100 million shares of PT Ancora (5.66% of PT Ancora’s issued and outstanding) from third parties in a private transaction.
  • The 5.66% interest in PT Ancora and the 3% NSR allow Southern Arc and its shareholders to maintain their exposure to the Property’s upside potential.
East Elang Project
  • In May 2016 Southern Arc sold its share of the East Elang property to an Indonesian individual for US$20,000 and a 3% NSR on all future sales or other disposition of mineral production from the property. Southern Arc's 3% NSR will allow the Company and its shareholders to benefit should East Elang advance to production.
Taliwang Project
  • In July 2014 Southern Arc sold its Taliwang project for US$1.75 million plus a 5% net smelter royalty. The Purchaser can buy back 3% of the NSR by paying Southern Arc US$3 million. To date Southern Arc has received US$1 million of the purchase price, with the remainder to be paid from 40% of gross revenue generated from the project.

Head Office
Southern Arc Minerals Inc.
Suite 650
669 Howe St
Vancouver, BC Canada V6C 0B4
Telephone: +1-778-725-1490
Fax: +1-604-428-1124

 

Investor Relations
John Proust,
Chairman & CEO
Telephone: +1-778-725-1482

E-mail
info@SouthernArcMinerals.com