February 27, 2013
Dear Medinah Minerals, Inc. Shareholders:
We can now report that between January 19-26, 2013, Medinah Mining Chile Management and Directors travelled to New York City for meetings among the parties regarding the $180 million Amarant Mining Ltd. sale contract. It was then determined that it would be necessary to travel on to Sweden to meet with Amarant’s and its associated Boards of Directors.
In Stockholm Sweden, Medinah Mining Chile representatives met with Amarant Mining Ltd. and their associated Boards of Directors encompassing the entire consortium of participants. Over several days of meetings, the parties completed all final terms, conditions, and mandates of the $180 million Purchase transaction. It should be noted that the outline of the short-term and long-term business plan(s), drilling sites, and exploration schedule intention(s) of Amarant Mining Ltd. and Alluvia Mining Ltd., relative to the Altos de Lipangue group of claims, were fully timeline documented.
Subsequent to the series of these meetings, Amarant Mining Ltd. formally signed the final affirmation articulated in the Purchase Agreement among parties that states “The undersigned parties hereby confirms that the terms and conditions of the Purchase and Sale Agreement dated July 10, 2012 constitute the final agreement between the parties relating to the mining claims referenced therein. Pursuant to Section 3 a.(i) of the Purchase and Sale Agreement, the Transferring Parties confirm receipt of the 90,000,000 ordinary shares of Aluvia Mining Ltd. stock as the initial consideration.”
While in Stockholm, Sweden, Medinah Mining Chile also met with the Principals of Mangold Fondkommission AB Securities. This is the official housing entity of the 90 million shares of Alluvia Mining Ltd. owned by Medinah Mining Chile. The sale contract provided that Amarant Mining, Ltd. deliver to Medinah Mining Chile ownership of Alluvia Mining, Ltd. shares representing an almost a 10% ownership position. These shares have now been officially delivered and housed to the benefit of Medinah Mining Chile and Medinah Minerals, Inc.
Amarant Mining Ltd. officials had previously travelled to Santiago, Chile and met with Señor Quijano to form subsidiary Chilean corporations to ultimately receive the 1,508 unencumbered mining claims delineated in the Amarant/Medinah Mining Chile Purchase Agreement. They returned to Stockholm, Sweden to register matters with each of their Boards of Directors.
Medinah Mining Chile's priority was that Señor Quijano was to return from Sweden to Santiago, Chile to assist these parties in the formulation of an Amarant/Alluvia Chilean subsidiary corporation. This task was completed in timely fashion. Amarant and associative parties will return to Santiago, Chile for the formal release of the 1,508 claims to the possession of Amarant and/or its Chilean subsidiary. The Notarization and the release of the 1,508 claims is a required legal exercise mandated by the Chilean Ministry of Mines.
Concurrent to the release of the 1,508 claims to Amarant Mining Ltd., or its subsidiary, would be receipt by Medinah Mining Chile of the initial funds pursuant to Purchase Contract. The conditioned release of the 1,508 claims will have a continuing caveat of required annualized payments of $18 million per year.
Señor Quijano has had dialog with Amarant's Dr. Michael Smith P.Geo., who will head Amarant's, or its subsidiaries' drilling and exploration activities at the Altos de Lipangue location. Dr. Smith has undertaken all preparatory steps to begin the drilling and exploration activities soon.
Medinah Mining Chile has been apprised that all parties to the $180 million Purchase Agreement contract are to meet in Santiago, Chile in March. Additionally, the full geological team will proceed with the exploration and development matters of the Altos de Lipangue claims.
Updated information will be forthcoming as thresholds are met among parties.
Señor Juan José Quijano Fernández
President/CEO
