The licenses will be sold through either the sale of its wholly owned subsidiary, Tournon Finance, or Tournon’s wholly owned subsidiary, Oriel In Kyrgyzstan (OIK), which are the indirect and direct holders respectively of the licences.
Under the terms of accord, David Invest has right to purchase Tournon or OIK until 31 December 2013, in return for being granted exclusivity David-Invest will fund the exploration program for the licences, which are due to expire on 31 December 2015.
Additionally, David-Invest has the option to buy the entire OIK’s share capital prior the expiry of the Exclusivity Period for a consideration of $4.5m.
As at 30 June 2013, the licences were valued $4.4m, and the losses attributable to the licences were $1.7m for the year ended 31 December 2012.
