Starlo Ventures to acquire Margarita Silver Project in Mexico

Starlo Ventures Ltd. has entered into a binding letter of intent to acquire the Margarita Silver Project in Mexico, which will result in a reverse takeover of the company. The acquisition includes a 100% interest in the project through the purchase of 1588867 B.C. Ltd., with consideration consisting of 40 million common shares and CAD 5 million in cash.

The Margarita Silver Project, located in Chihuahua, Mexico, covers two mining concessions totaling 125.625 hectares within the Sierra Madre Gold Belt. The project has an indicated resource of 1,854,000 tonnes grading 204.9 g/t silver and an inferred resource of 454,000 tonnes grading 153.1 g/t silver, according to a historical technical report.

Starlo will complete a private placement of 40 million subscription receipts at $0.25 per receipt, with the shares converting into one common share and one-half of one share purchase warrant. After the acquisition, Starlo will change its name, delist from the Canadian Securities Exchange, and apply for listing on the TSX Venture Exchange as a Tier 2 Mining Issuer.

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