Varca Ventures, Inc. and Wildcat Mining Corp. Enters into Loan Agreement with Sarasota Varca II LLC
June 28, 2012 at 05:00 pm EDT
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On June 22, 2012, Varca Ventures, Inc. and Wildcat Mining Corp. entered into a Loan Agreement with Sarasota Varca II LLC pursuant to which Lender agreed to lend an aggregate minimum amount of $600,000.00. The companies have agreed to pay Rosie Investment Fund, LLC a finder's fee of 7% of the amount borrowed under the Loan. The companies have agreed to pay Rosie Investment Fund, LLC a finder's fee of 7% of the amount borrowed under the Loan. The companies will receive proceeds in three installments under the Loan of $200,000 each (totaling $600,000) and executed a Subordinated Secured Promissory Note for that amount dated June 22, 2012. The first installment has been paid, and the remaining two installments are payable on July 2, 2012 and September 4, 2012. The Note accrues interest at the rate of 10% per annum. Interest is to be paid the earlier of: within 30 days of receipt of net revenue from mining operations at real property interests located in La Plata County, Colorado, or no later than December 1, 2012 and continue monthly until earlier of (a) December 1, 2013; or (b) 30 days after the date when all subsurface ore stockpiles at the Site have been removed and milled (the Maturity Date). The entire principal amount of the Note and all accrued and unpaid interest thereon is due and payable in full on or before the Maturity Date. The companies have the option to repay, without penalty, the entire principal amount of the Note and all accrued and unpaid interest at any time prior to the Maturity Date upon 45 days prior written notice to Lender.
Varca Ventures, Inc. (Varca) is a mining exploration-stage company. The Company is engaged in the acquisition and exploration of mineral properties. The Company has staked a claim on certain property covering 357 hectares (882.6 acres) called Sewell 1 Property located in the Similkameen Mining Division of British Columbia, Canada. As of November 30, 2011, the Company had not generated any revenues. The Company has acquired mineral properties located in the Province of British Columbia, Canada. The Companyâs wholly owned subsidiary, Wildcat, owns and leases a range of lode mining claims located in La Plata County, Colorado, which are known as the Idaho Property and the Mayday Property. During the fiscal year ended November 30, 2011 (fiscal 2011), the Company acquired Wildcat Mining Corporation (Wildcat).