said April 26 thatit has completed its purchase and sale agreementwith Sichuan Road & Bridge Mining Investment Development Corp. Ltd. pertainingto the company's 60% interest in AsmaraMining Share Co.
Sunridge confirmedpayments of US$65 million for the purchase of the shares of Asmara, US$6 millionfor the first installment of the remaining principal of a deferred payment owedto Eritrean National Mining Corp.and US$950,982 of interest accrued on the deferred payment to closing by ENAMCO.The payment totaled US$68.6 million.
The second andfinal installment of the principal of US$7.3 million of the deferred payment issecured by a bank guarantee and will be paid to Sunridge by Oct. 26.
ENAMCO willconcurrently pay Sunridge interest on the second and final installment.
On Jan. 22,the shareholders of Sunridge approved the distribution of the net proceeds of thesale of Asmara as a return on capital to shareholders in two tranches after satisfyingall the liabilities of the company following its dissolution.
The company'sboard will meet April 29 to set the record date for distribution and make an applicationto delist the company from trading on the TSX Venture Exchange three days afterthe distribution date.
The second distributionwill be paid approximately six months after the first distribution, after receiptof the final installment of the deferred payment and after all remaining obligationsof the company have been settled.
The 60,774,558share purchase warrants that are listed for trading on the exchange are subjectto a warrant indenture. Any warrants that are exercised on or before the delistingdate will be automatically canceled, in consideration for payment to the holdersof 2 Canadian cents per warrant payable at the same time as the first distribution.
Asmara ownsthe Asmara copper-zinc-goldproject in Eritrea.