Mansa Equity Partners, Inc. entered into a letter of intent to acquire 20% stake in Patagonia/Sunnyside Project from Regal Resources Inc. (OTCPK:RGAR.F) for $7.5 million on May 19, 2015. The transaction is subject to completion of comprehensive due diligence, execution of a definitive documentation, Board and regulatory approvals and other customary closing conditions. Regal expects to use the net proceeds primarily to repay outstanding debt and to advance the exploration program at the Project.

A binding investment agreement was signed on June 11, 2015. Mansa will deposit a sum of $0.3 million within 15 days of signing of agreement. Regal will be entitled to retain the deposit if all conditions for the benefit of Mansa are satisfied or waived and the transaction is not completed by July 20, 2015. Closing of the transaction remains subject to customary closing conditions. Regal Resources agreed to extend the deadline for closing of the transaction till July 31, 2015. As of August 10, 2015, the deadline for closing of the transaction was extended till August 31, 2015.