In April 2017, Pan Asia entered into a heads of agreement (HoA) to sell the TCM Project to Glory Merry Limited.
Under the HoA, Glory Merry would have a 180-day due diligence period and was to pay US$500,000 for an updated feasibility study on the TCM Project, which is now complete.
Extension to August 15
In April 2018, the parties agreed to extend the due diligence period to 31 May 2018.
The parties have entered into an extension agreement under which Glory Merry agrees and confirms that it will purchase TCM from the parties providing the conditions precedent are met by
August 15, 2018.
Sales pending conditions
The conditions precedent are conditions which would be expected to be found in a commercial agreement of this kind, including:
1. All Indonesian government and regulatory approvals are in place;
2. The shares in IWM and TCM are free from any claim, option, charge, lien, encumbrance, right of pre-emption or third party right;
3. IWM and TCM are not engaged in any litigation or other proceedings; and
4. Any Australian regulatory approvals that may be required have been obtained.