Road Town, Tortola, British Virgin Islands-Talon Metals Corp. said Dec. 13 that it has completed a transaction with Rio Verde Minerals Corp., Toronto, in which Talon transferred to Rio Verde all of Talon’s rights in the Sergipe Potash Project licences, which total 107,987 hectares in Brazil, in return for approximately 27 million common shares of Rio Verde. Before closing this transaction with Talon, Rio Verde completed the first part of a private placement financing of shares of Rio Verde raising gross proceeds of approximately C$6 million. Following this financing, Talon’s shares of Rio Verde represent 50.5 percent of the outstanding common shares of Rio Verde on a fully diluted basis (prior to the financing it would have represented a 66 percent stake). Concurrent with the completion of the transaction with Talon, Rio Verde also acquired Sound Investments Enterprises Inc. and its phosphate mineral rights on some 600,000 hectares in Brazil for 8.9 million shares of Rio Verde. Rio Verde’s strategic plan is to become a leading Brazilian-focused fertilizer company. “This transaction completes our plan to secure a partner to develop the Sergipe Potash Project,” said Stuart Comline, Talon president and CEO. “Combining these phosphate and potash assets into one company creates a strong foundation for Rio Verde to advance its growth strategy to pursue opportunities in the Brazilian fertilizer sector.” Rio Verde’s future plans include continuing the exploration program on the Sergipe project and applying to list the company on a recognized stock exchange.
Transparency Across the Fertilizer Value-Chain