Narhex Life Sciences Limited (NLS) entered into an Option Agreement with Subiaco Capital Pty Ltd to acquire key tenements in the Mulgildie Basin, the northern extension of the Surat Basin, in Queensland. The Board of Narhex wishes to advise that the parties have entered into a Deed of Variation, extending the Option Period from 19 August 2011 to 31 December 2011.
The Option Agreement is subject to regulatory approvals, including but not limited to, ministerial and shareholder approvals to complete the acquisition. The Vendor has acknowledged some delays in obtaining the regulatory approvals and has agreed to extend the option until 31 December 2011 at no extra cost to the Company.
The Company is currently reviewing the region and the Tenements as a precursor to determining whether it wishes to exercise the Option. If the Option is exercised the total consideration payable by the Company is $2 million, payable by a combination to be determined of cash (up to a maximum amount of $1 million) and shares in the Company (up to 100 million shares at a price of $0.02 per share).