Category Archives: BVI company contracts

Madalena Energy assigned convertible loan to BVI-based company

Canadian focused oil and gas company Madalena Energy Inc. made an announcement that Hispania Petroleum S.A. has assigned the convertible loan, provided by Hispania to the company, to KD Energy International Capital Limited, incorporated in the British Virgin Islands.

The Canadian company has provided its consent to the assignment, which is required pursuant to the terms of the Capex Loan, as the assignment was undertaken by Hispania and BVI-based KD Energy for succession planning of holding of all of the issued and outstanding common shares of each Hispania and KD Energy.

Under the terms of the loan, KD Energy will acquire or have the possibility to acquire more
than 20 per cent of the outstanding common shares in the capital of Madalena and become the control person of the company. It is expected that Madalena shareholder approval for the transaction will be sought at the company’s upcoming annual meeting of shareholders.

Kennecott Exploration provided unsecured loan to Talon Metals Corp.

BVI-registered Talon Metals Corp. announced that it has received the unsecured loan in the amount of US$4,000,000 from Kennecott Exploration Company, which is a subsidiary of the Rio Tinto Group. The unsecured loan will be used by Talon Metals to continue to fund exploration activities at the Tamarack Project in Minnesota, USA. The maturity date of the loan is December 21, 2015. The loan will bear interest at the rate of LIBOR plus 8 per cent per annum.

Talon Metals and Kennecott have agreed on the deferral of a US$2,500,000 option payment due by the BVI corporation to Kennecott on June 26, 2015, under the terms of the Exploration and Option agreement signed on June 25, 2014, until December 21, 2015. Also, Kennecott will not make further cash calls beyond the amount of the loan, until the fourth quarter of this year.

Kennecott and Talon have started planning for the next phase of exploration at the Tamarack Project.

Quantum Energy completed transaction with the BVI company

Canadian oil and gas company Quantum Energy Corporation announced that according to the investment agreement with British Virgin Islands-registered Lang International Holdings Limited, it has completed the private placement offering of series 2 convertible debentures, pursuant to which the BVI company purchased the debentures in the amount of US$550,000.

The Series 2 Debenture, which is secured against the personal property of Quantum Energy Corporation, as well as part of company’s interest in the Alexander Project, are subject to a four month hold period. The net proceeds from the offering will be used for completion work at the company’s Alexander project and for general working capital.

Upon completion of the private placement, assuming the conversion of the Series 1 and Series 2 Debentures, the BVI company will own or control 35,924,664 common shares – that is approximately 50.11% of the total amount of common shares.

Urban Select announced signing agreement with private BVI company

TSX-listed investment issuer Urban Select Capital Corporation has entered into an agreement with Oriental Sense Development Limited, a private BVI-incorporated company, pursuant to which Oriental Sense will acquire 12,500,000 common shares of the Canadian company for proceeds of US$1,000,000 and at a price of US$0.08 per share.

This is an arm’s length agreement, and the BVI corporation owns no securities of Urban Select. After the completion of the investment, Oriental Sense will own approximately 30.56 per cent of the issued and outstanding shares, and as a result will hold the control of the Canadian company.

Completion of the transaction is subject to the approval of the Exchange and majority of the Urban’s shareholders at the annual and special general meeting scheduled to be held on January 9, 2014.