Maxim Enters into Share Purchase Agreement Regarding Jasmin Oil and Gas Limitedadmin
Toronto, Ontario – November 11, 2013 – Maxim Resources Inc. (“Maxim” or the “Company”) (TSX V: MXM Frankfurt: MSH OTCBB: MXMSF) is pleased to announce that it has entered into a Share Purchase Agreement, (“SPA”), with Mrs. Molly Ramoutar, (“Ramoutar”), to acquire all of the common shares controlled by Ms. Ramoutar, (the “Transaction”), in Jasmin Oil and Gas Limited, (“Jasmin”), representing 25% of the issue and outstanding voting shares of Jasmin, (the “Ramoutar Shares”).
Jasmin recently entered into a transaction with Rex International Holdings Limited (“Rex”) where pursuant to the terms of that transaction, Rex acquired 75% of the issue and outstanding voting shares of Jasmin held equally by three shareholders, excluding the Ramoutar Shares.
Pursuant to the terms of the Transaction, Maxim has agreed to pay US$1,000,000 to acquire the Ramoutar Shares subject to certain customary terms and conditions provided for in the SPA and the Transaction is anticipated to close on or before November 30, 2013.
As previously disclosed in Maxim‘s news release dated March 12, 2013, Maxim and New Scotland Oil and Gas Limited, (“New Scotland”), are currently joined in their efforts of litigation with Jasmin and its Directors, Charles Cook and Kenneth Macleod. The dispute surrounds Maxim’s 69% net revenue sharing agreement with Jasmin for the exploration and production of the South Erin Block, which cover 1,350 acres. The board of Maxim believes that the acquisition of the Ramoutar Shares is a strategically advantageous transaction given that Maxim has funded all of the development of these assets to date. Maxim claims various reliefs against the Defendants including orders under the Companies Act Chap. 88:01 of the Laws of Trinidad and Tobago restraining the oppressive conduct of the Defendants, appointing a receiver over Jasmin, compensating Maxim and New Scotland for their investment in Jasmin. Maxim claims repayment of the sum of US$4,262,398.73 as money had provided by Maxim and received by Jasmin as well as a loss of revenue it was justly due.
Maxim continues the Litigation however, this Transaction may provide the basis for the parties to amicably settle the Litigation in short order.
In the interim, Maxim continues to seek alternate production and near term production acquisitions and assets in the Caribbean as well as North America and South America. As previously announced on October 3, 2013 Leni Gas and Oil plc., (“LGO”) and Maxim mutually extended their Heads of Agreement, (the “HOA”), by 6 months with a view to working together in the future from an operational and investment perspective in Trinidad.
Maxim is pleased with LGO’s ongoing financial commitment to future development opportunities and we look forward to working with them in the near future.
Art Brown, CEO and Director stated; “We are happy to have secured this SPA with Mrs. Ramoutar and we will work hard to successfully complete the transaction as soon as possible.”
On behalf of the Board
President and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, is forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information.
A description of assumptions used to develop such forward-looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the company’s disclosure documents on the SEDAR website at www.sedar.com. The company does not undertake to update any forward-looking information except in accordance with applicable securities laws.
Posted: November 11th, 2013 under ACCESSWIRE.