VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 2, 2011) - Parlane Resource Corp. (TSX VENTURE:PPP) (the "Company") announces that it has entered into a non-binding Letter of Intent with Santacruz Mining Ltd. ("Santacruz"), a British Columbia company operating at arms' length to the Company, whereby Parlane can acquire 100% of the issued and outstanding shares of Santacruz and its Mexican subsidiaries, which include their ownership interests in certain mining concessions more commonly known as the Rosario and Gavilanes Projects (the "Properties"). The Properties are located in the Charcas historic mining district in the state of San Luis Potosi, Mexico, and in Durango's historical mining district of San Dimas, and consists of 500 hectares for the Rosario project and 7,423 hectares for the Gavilanes Project.
On a non-exclusive basis, Parlane will have a 90-day period during which it can conduct due diligence on Santacruz and review the geological and other technical information available with respect to the Properties, during which review period Parlane can determine whether or not it wishes to proceed with the proposed acquisition.
Should Parlane decide to formalize its offer to Santacruz, and if Santacruz accepts the terms of the offer, the proposed transaction will be subject to, among other matters, shareholder and board approvals, the execution of a definitive agreement, and receipt of all required regulatory approvals, including the approval of the TSX Venture Exchange.
ON BEHALF OF THE BOARD
Robert Eadie, President, Chief Executive Officer and Director
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contact Information:
Robert Eadie
President, Chief Executive Officer and Director
1-604-602-4935
1-604-602-4936 (FAX)
www.parlaneresource.com