Agreement completed with Focus Graphite on Lara's Caninde Project
Tuesday, Jan 15, 2013Lara Exploration Ltd. ("Lara" or the "Company") (TSX VENTURE:LRA) is pleased to report that it has signed a Definitive Agreement ("the Agreement") with Focus Graphite Inc. ("Focus"), whereby Focus can earn up to a 60% interest in Lara's Caninde Graphite Project ("the Project") in Ceara State, northeast Brazil.
Focus can earn an initial 51% interest in the Project by spending $2.5 million on exploration (including a minimum of 2,000 metres of drilling) and issuing 500,000 common shares to Lara by December 14, 2015 (100,000 issued at signing). Focus can then elect to earn an additional 9% (for a total of 60%) in the Project by investing a further $4.5 million on exploration (including a minimum of 5,000 metres of drilling and delivering a Preliminary Economic Assessment (as defined under National Instrument 43-101) within two years.
Caninde Graphite Project comprises 15,614 hectares of exploration licenses accessible on paved highways from the Ceara State Capital, Fortaleza. Reconnaissance work by Lara has identified a number of anomalous weathered bedrock outcrops with massive flake graphite bodies up to approximately 10 meters wide, associated with wider zones of lower-grade disseminated graphite flake occurrences along a 16 kilometre long, north-northwest trending zone within the property (see Company news releases of December 05, 2011 and April 11, 2012).