Innocent Inc.,www.innocentinc.com – a growth-focused gold production firm primarily operating in Ecuador, announced that Global Finishing Ecuador S.A. (parent company to Global Finishing Inc., in which INCT owns a 51% majority interest) entered into a definitive agreement to acquire 100% of the Murciealagos Vizcaya and Lilly Rai mining concessions.
Located in the historically proven gold mining district of Zaruma-Portovelo, which stretches back to the Incas (with modern mining beginning in 1905), these concessions validate INCT’s strategy of capturing clusters of in- and near-term production sites in Ecuador’s El Oro Province.
This is an acquisitive strategy that emphasizes copious analysis and the identification of high-quality properties operating below projected capacity, where improved technology/logistics can be implemented to yield increased profits and shareholder returns.
Between the nearby properties in the San Gerardo district, and those in Zaruma-Portovelo, INCT is building a robust portfolio of acreage within these two regions which is responsible for some 90% of all gold produced in Ecuador to date.
VP of South America Operations for INCT, Richard Diotte, characterized the property as fantastic and underutilized due to a lack of investment capital, projecting with utmost confidence that the concessions could be significantly enhanced by the Company’s talented team, which intends to increase production efficiencies and output.
In various stages of pursuing strategic acquisitions throughout the area, INCT was attracted to this particular opportunity by the chance to seal a deal for 100% acquisition and circumspect analysis which indicated that capital, technology and an improved labor force could substantially boost production.
The agreement itself calls for USD$1.2M, consisting of an initial $250k deposit (upon securing and payment of which the transaction itself is contingent) due Aug. 16 this year, and five payments every sixth month thereafter, totaling $950k.