DMCI Mining Corporation signed a memorandum of agreement to acquire an additional 40% stake in Tesoro Mining Corporation, Narra Nickel Mining Corporation and McArthur Mining Corporation from MBMI Resources, Inc. (OTCPK:MBRT.F) for $12 million.

DMCI Mining Corporation signed a memorandum of agreement to acquire an additional 40% stake in Tesoro Mining Corporation, Narra Nickel Mining Corporation and McArthur Mining Corporation from MBMI Resources, Inc. (OTCPK:MBRT.F) for $12 million on March 24, 2014. DMCI will pay down payment of $1 million to MBMI, of which $0.75 million would be immediately released to MBMI, and the balance of $0.25 million would be released upon satisfaction of certain conditions in the agreement. The balance of the purchase price of $11 million would be payable upon receipt of favourable court decisions that would allow Tesoro Mining Corporation, Narra Nickel Mining Corporation and McArthur Mining Corporation to engage in/or resume mining operations in the Philippines and satisfaction of certain other conditions.

On completion, DMCI will own 84% stakes in Tesoro Mining Corporation, Narra Nickel Mining Corporation and McArthur Mining Corporation. The deal is subject to receipt of favourable court decisions. The agreement is subject to the approval of the TSX Venture Exchange and it is contemplated that shareholder approval would be obtained.

The agreement has been approved by the Board of Directors of MBMI. As of June 16, 2014, MBMI received down payment of $0.75 million.