TORONTO, ONTARIO--(Marketwired - Feb. 13, 2014) - Safin Element GmbH ("Safin"), of Building 6-8/10 Dorotheergasse Street, Vienna, Austria, announces that is has received an additional 39,270,000 common shares (the "Third Installment Consideration Shares") of Kazax Minerals Inc. ("Kazax") as the third and final tranche share payment due to Safin under the terms of Kazax's acquisition (the "Acquisition") of a 74.99% interest in the Lomonosovskoye Limited Liability Partnership. The Third Instalment Consideration Shares were issued to Safin at a deemed price of CDN$0.10 per share and are subject to resale restrictions until June 5, 2014. In addition, under the terms of the acquisition agreement, the parties have agreed to certain additional contractual hold periods, such that two tranches (consisting of 25% of the Third Installment Consideration Shares each) will have an additional hold period expiring 18 and 24 months from the original closing date of the Acquisition (February 15, 2013), respectively.
Immediately prior to the issuance of the Third Installment Consideration Shares, Safin, together with its parent company, Safin Handelsges.m.b.H. ("Safin Parent"), had ownership and/or control over 36,382,971 common shares, representing approximately 20.3% of the issued common shares of Kazax on an undiluted basis (52,882,971 common shares, representing approximately 14.0% of the issued common shares of Kazax, on a fully diluted basis, including the conversion of the convertible debentures issued on September 26, 2013). The Third Installment Consideration Shares represent 18.0% of the issued common shares of Kazax on an undiluted basis. Following the issuance of the Third Installment Consideration Shares, Safin together with Safin Parent have ownership and/or control over 75,652,971 common shares, representing approximately 34.7% of the issued common shares of Kazax, on an undiluted basis (92,152,971 common shares, representing approximately 22.1% of the issued common shares of Kazax on a fully diluted basis, including the conversion of the convertible debentures issued on September 26, 2013).
Safin acquired the Third Installment Consideration Shares for investment purposes, and neither Safin nor Safin Parent have any present intention to acquire further securities of Kazax, although either Safin or Safin Parent may in the future acquire or dispose of securities of Kazax in the market, privately or otherwise, as circumstances or market conditions warrant.
A copy of the early warning report required to be filed with the applicable securities commissions in connection with this acquisition will be available for viewing at www.sedar.com. In addition, a copy of the early warning report can be obtained by contacting Erin Walmesley, Corporate Secretary of Kazax Minerals Inc., at 604.398.5384.
Safin Element GmbH
Oleg Demidkin, Director