Intercontinental Potash Corp. Brings Civil Suit in Colorado to Set Aside Capital Call, Alleging Conflicts of Interests by Cer...
May 30 2017 - 3:00PM
Intercontinental Potash Corp., a subsidiary of IC Potash
Corp. (TSX:ICP) (OTCQB:ICPTF) (“
IC
Potash” or the “
Company”) filed a civil
lawsuit in Denver County District Court, Colorado, against
Intercontinental Potash Corp. (USA), a Colorado corporation,
Pangaea Two Acquisition Holdings XI, LLC, and Pangaea Two
Acquisition Holdings XIB, LLC. Intercontinental Potash Corp.,
Pangaea Two Acquisition Holdings XI, LLC, and Pangaea Two
Acquisition Holdings XIB, LLC are the shareholders of
Intercontinental Potash Corp. (USA), a development-stage producer
of potassium sulfate, a speciality fertilizer for high-value crops
in arid or saline soil environments.
Through the Colorado lawsuit, Intercontinental
Potash Corp. has requested that the Colorado court set aside a
"capital contribution call" in the amount of $800,000, alleging
that the "capital contribution call" was not properly authorized by
operative agreements, nor did it comply with Colorado law.
Intercontinental Potash Corp. further alleges that the "capital
contribution call" was pursued and improperly passed by certain
directors of Intercontinental Potash Corp. (USA), including
Peter Yu and Paul Hong who are also principals of Cartesian
Capital Group, LLC, the manager of the two Pangaea entities
named in the lawsuit - both of whom allegedly had disclosed and
undisclosed conflicts of interest.
About IC Potash Corp.IC Potash has previously
demonstrated a method to make Sulfate of Potash (“SOP”) from the
Ochoa polyhalite deposit in Southeast New Mexico in which it has an
interest and is currently examining ways to become a low-cost
fertilizer producer. The current review of the Ochoa project’s
existing feasibility study is being extended to determine a viable
positive economic path to the production of direct application
polyhalite. The Ochoa project has access to excellent local labor
resources, low-cost electricity and natural gas, water, rail lines,
and the Port of Galveston, Texas. The Ochoa project’s land holdings
consist of nearly 90,000 acres of potassium prospecting permits and
mining leases issued by the U.S. Bureau of Land Management and
State of New Mexico. For more information, please visit
www.icpotash.com.
Forward-Looking StatementsCertain information
set forth in this news release may contain forward-looking
statements that involve substantial known and unknown risks and
uncertainties and other factors which may cause the actual results,
performance or achievements of IC Potash to be materially different
from any future results, performance or achievements expressed or
implied by such forward-looking statements. Forward-looking
statements include statements that use forward-looking terminology
such as “may”, “will”, “expect”, “anticipate”, “believe”,
“continue”, “potential” or the negative thereof or other variations
thereof or comparable terminology. Such forward-looking statements
include, without limitation, statements regarding trends in the
markets for Sulfate of Potash and polyhalite, the timing for
completion of an updated feasibility study by the Company, the
Company’s intention to investigate the feasibility of polyhalite
product production, the potential value of water resources and
other statements that are not historical facts. These
forward-looking statements are subject to numerous risks and
uncertainties, certain of which are beyond the control of IC
Potash, including, but not limited to, changes in market trends,
the completion, results and timing of studies undertaken by IC
Potash, risks associated with mineral exploration and mining
activities, the impact of general economic conditions, commodity
prices, industry conditions, dependence upon regulatory and
environmental approvals, the uncertainty of obtaining additional
financing, and risks associated with turning reserves into product.
Readers are cautioned that the assumptions used in the preparation
of such information, although considered reasonable at the time of
preparation, may prove to be imprecise and, as such, undue reliance
should not be placed on forward-looking statements.
For More Information, Please Contact:
IC Potash Corp.
Mr. Mehdi Azodi, +1-416-779-3268
Chief Executive Officer
MAZODI@ICPOTASH.ORG