Texada Ventures Inc. announce that on March 9, 2009 it entered into an Amended Term Sheet with Royalty Exploration LLC whereby Texada will acquire 100% of REX’s issued and outstanding shares. In conjunction with the transaction, the Company has commenced a concurrent private placement financing of up to $40 million.
REX leverages patented cutting edge technology coupled with traditional exploration techniques to seek out and explore natural gas, crude oil, base metal, and precious metal deposits in a more efficient fashion than traditional methodologies.
Specifically, REX uses a geochemical survey technology to cost-effectively and efficiently explore and develop gas, oil, and mineral deposits. The technology delivers a 90% discovery success rate as compared to much lower discovery rates associated with traditional methods of exploration. REX provides these surveys along with interpretation and drill target analysis to mining, oil and gas companies in exchange for royalties and/or working interests in any production realized from the surveys.
Ted Sharp, CEO of Texada, stated, “We are very pleased to be much closer to finalizing our intended business combination with REX. They have a very exciting technology and business plan that is being readily adopted by the oil and gas and mining sectors.”
“We look forward to working towards building a strong and prosperous exploration development company together,” added Sharp.
Mark Arnold, President and CEO of REX, said, “Our team is really excited to leverage the capital-raising abilities of a public company to further our business in both the short and long term.”
Relevant disclosure of the transaction can be reviewed on the Company’s various Form 8-Ks filed with the SEC.