Datinvest International Ltd.

July 09, 2007 17:27 ET

Datinvest International Ltd. Clarification News Release on Acquisition

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 9, 2007) -


DATINVEST INTERNATIONAL LTD. (NEX:DAI.H) (the "Company") provides additional clarification further to the news release dated May 10, 2007. The Company announces that the private placement will be increased to $6,500,000 and US$4,175,000 from the proceeds of the private placement will be used to pay for the acquisition of the La Rosa property. It is anticipated that the funds will be lent to 0770728 B.C. Ltd. ("770") prior to the closing of the reverse take-over, subject to the acceptance of the TSX Venture Exchange (the "Exchange") and the closing of the private placement. 770 will use the funds to pay the US$4,000,000 purchase price for the La Rosa property although 770 has the option to pay the purchase price as to US$2,000,000 in cash and the balance in the form of a promissory note with an eighteen month term to maturity and secured by the La Rosa interest and revenue. In addition, US$175,000 will be used to reimburse a third party for consulting and due diligence fees incurred on the La Rosa property.

The loan from the Company to 770 will be secured by a general security agreement over all the assets of 770, which will include the La Rosa property and Wanner prospect, and will be repayable on October 31, 2007 if the transaction is not closed by then.

If a promissory note is issued as partial payment of the purchase price, 770 will be required to drill a minimum of two wells on the La Rosa property per year while the promissory is outstanding. The estimated cost of the first two wells is US$1,056,250.

Lastly, US$60,000 will be paid over the next 12 months for on going technical consulting fees for the La Rosa Property.

The balance of the proceeds of the private placement, which will be approximately CDN$1,471,200 after commissions, if paid in cash and assuming the US$4,000,000 is paid on the closing of the La Rosa acquisition, will be used for general working capital purposes. There are currently no further amounts that are required to be paid to maintain the interests in either of the properties assuming a promissory note is not issued on the closing of the La Rosa property.

Subject to Exchange approval, the finder's fee has been reduced to 5% of the number of shares issued to 770 shareholders and will be issued to K2K Holdings Ltd. (Ara Gregorian), who introduced the parties to each other.

As announced, 770 also holds a 33.3333% interest in the Wanner prospect. A partner in the prospect has indicated to 770 that it may not participate in future exploration on the prospect. Depending on the results of the exploration and the financial situation of 770, 770 may acquire a further interest in the Wanner prospect up to 50%. There is no assurance that this will occur.

On Behalf of the Board of Directors

Datinvest International Ltd.

Jason Birmingham, President & Secretary

The TSX Venture Exchange and NEX have not reviewed and do not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Datinvest International Ltd.
    Jason Birmingham
    (604) 647-4176
    (604) 683-5317 (FAX)