Lara Issued Avenue Shares for Brazilian Tin Project
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 02/22/12 -- Lara Exploration Ltd. ('Lara' or the 'Company') (TSX VENTURE: LRA) is pleased to report that it has been issued three million common shares of Avenue Resources Ltd. (ASX: AVY) ('Avenue'), representing approximately 6.6% of the issued shares of Avenue. This share issue represents the first payment in connection with Avenue assuming the Company's option to acquire 100% of the Sao Lourenco Tin Project in northwest Brazil.
Under the terms of the Definitive Agreement signed November 24, 2011, Avenue will pay a further US$1,000,000 in cash and/or shares in four annual payments of US$250,000 starting one year from signing the Definitive Agreement, assume responsibility for the remaining obligations under the option agreement and undertake to drill a minimum of 1,500 metres of diamond core drilling within 12 months of signing the Definitive Agreement. Lara will also receive a 1% net smelter return royalty on any production from the project.
Quality Control
Michael Bennell, Lara's Vice President Exploration and a member of the Australasian Institute of Mining and Metallurgy (AusIMM), is a Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects and is responsible for the preparation and verification of the technical information in this release.
About Lara
Lara is an exploration company following the Prospect Generator business model, which aims to minimize shareholder dilution and financial risk by generating prospects and then exploring them in joint ventures funded by partners. The Company currently holds a diverse portfolio of prospects and deposits primarily in Brazil and Peru where it has signed agreements for fifteen partnership agreements. Lara's common shares trade on the TSX Venture Exchange under the symbol 'LRA'.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Lara Exploration Ltd.
Chris MacIntyre
VP Corporate Development
+1 416 703 0010
info@laraexploration.com
www.laraexploration.com