AUSTIN, TX–(Marketwired – Apr 26, 2016) – Buyer Group International, Inc. (OTC PINK: BYRG) today provided a shareholder update regarding its new direction to make a target acquisition for the Company into an African based Gypsum project.
Buyer Group anticipates that it will be able to obtain the necessary permits to commence exploration at the Lindi Region and also Hotelli Tatu in the Kilwa District of Tanzania, within 7 to 14 days, barring any additional requests or delays. Upon the completion of this process, Buyer Group plans to retain the services of qualified experts to determine the project’s probable reserves before applying for the necessary mining permits. The acquisition may add over 1,250,000 Tons of Gypsum in off-take agreements to the asset and revenue base of the Company.
Upon review of the Gypsum project, Buyer Group International, Inc. assigned portion from the off-take agreements provides the nominal value of this project in the $6.25 million over a ten-year period. Multiple sources have been identified so the project contains enough gypsum to supply at least 1,250,000 tons of Gypsum as estimated by the geologist. Provided operations would allow interested parties to process Gypsum and the subsequent off-take agreements provide BYRG a spread at $5 per ton to establish a baseline book value for the new BYRG venture.
BYRG continues to look for transactions to drive value to its shareholders. The new acquisition may establish up to a 40% equity retention for BYRG and a remaining 40% to go into a new investment Special Acquisition Company (SPAC). The pending filing and future offering for the Company will be available once completed. This will be conducted via a carve-out transaction establishing a separate entity of which BYRG shareholders receive shares as a distribution for holding BYRG shares.
BYRG intends to allocate a 20% portion of its equity to its shareholders of record upon completion in a special dividend. BYRG believes it can work out an agreement with some of BYRG’s largest shareholders who institutionally hold more than 2.2 billion shares. This will keep dilution down and allow the smaller investor to participate at a higher portion than originally intended.
CEO, David Bryant, added, “China’s economy is slowly rebounding, and as such, we’re seeing a spike in precious metals. Combine that with China dumping state-owned commodities such as metal on the market pushing down construction prices, gypsum is coming up fast as construction is spurred in cement, concrete and gypsum board. Past non-performers have been unsatisfying. In response, the company honed its compliance processes for project scoping bringing standards closer with industry norms. Concurrently, Buyer Group plans on pursuing projects whose scope fits within our business profile, including those that are less capital intensive for mining mineral resource properties, whereby, mineral streams are readily attainable. We seek already proven projects whereby the production is easily set up and off-takers identified and contracted. We will update our shareholders regarding any new projects or ventures as we move forward. We spent the last year or so identifying talent and building relationships that will enhance our roll out strategy well beyond the non-performance hedge funds of the past. We only seek projects that bring value ad, are low cost, have high upside, and come with credible off-take purchasers that have demonstrated capability and track record, which all translate to a higher chance of success in booking revenue.”
Additional information will be provided online at the Company web site to highlight the projects potential and to keep shareholders up to date.
About Buyer Group International, Inc.
(http://www.byrg.co) OTC Pink: BYRG is a mineral and natural resource exploration company focused on acquiring and mining mineral-rich assets in Africa and the Western United States. The Company’s mission is to acquire properties rich in high-grade gypsum and other minerals that have the potential for long-term production and sustainable revenue generation. Buyer Group is continuously exploring strategic acquisition, partnership and joint venture opportunities that can increase its capital, equipment and natural resource assets.
Investors: The United States Securities and Exchange Commission limits disclosure for U.S. reporting purposes to mineral deposits that a company can economically and legally extract or produce. We may use certain terms in this press release, such as “reserves,” “resources,” “geologic resources,” “proven,” “probable,” “measured,” “indicated,” or “inferred,” which may not be consistent with the definitions established by the SEC. U.S. investors are urged to consider closely the disclosures in our reports filed with the OTC Markets Group, Inc.
See BYRG public disclosure at http://www.otcmarkets.com/stock/BYRG/company — info for full details. Completion of proposed transactions and developments are dependent upon many important contingencies, including BYRG obtaining financing and guarantees, of which there is no assurance.
Safe Harbor Statement
Information in this newsletter may contain statements about future expectations, plans, prospects or performance of Buyer Group International, Inc. that constitute forward-looking statements for purposes of the Safe Harbor Provisions under the Private Securities Litigation Reform Act of 1995. The words or phrases “can be”, “expects”, “may affect”, “believed”, “estimate”, “project” and similar words and phrases are intended to identify such forward-looking statements. Buyer Group International, Inc. cautions you that any forward-looking information provided by or on behalf of Buyer Group International, Inc. is not a guarantee of future performance. Completion of the transaction is dependent upon important contingencies, including completion of financing, of which there is no assurance. None of the information in this press release constitutes or is intended as an offer to sell securities or investment advice of any kind. Buyer Group International, Inc.’s actual results may differ materially from those anticipated in such forward-looking statements as a result of various important factors, some of which are beyond Buyer Group International, Inc.’s control. In addition to those discussed in Buyer Group International, Inc.’s press releases, public filings, and statements by Buyer Group International, Inc.’s management, including, but not limited to, Buyer Group International, Inc.’s estimate of the sufficiency of its existing capital resources, Buyer Group International, Inc.’s ability to raise additional capital to fund future operations, Buyer Group International, Inc.’s ability to repay its existing indebtedness, the uncertainties involved in estimating market opportunities, and in identifying contracts which match Buyer Group International, Inc.’s capability to be awarded contracts. All such forward-looking statements are current only as of the date on which such statements were made. Buyer Group International, Inc. does not undertake any obligation to publicly update any forward-looking statement to reflect events or circumstances after the date on which any such statement is made or to reflect the occurrence of unanticipated events. Forward-Looking Statements: This press release includes forward-looking statements concerning the future performance of our business, its operations and its financial performance and condition, and also includes selected operating results presented without the context of accompanying financial results. All statements, trends analysis, and other information contained in this memorandum including words such as “anticipate,” “believe,” “plan,” estimate,” “expect,” and “intend” and other similar expressions of opinion, constitute forward looking statements. We caution that all forward-looking information is inherently uncertain and actual results may differ materially from the assumptions, estimates or expectations reflected or contained in the forward-looking information, and that actual future performance will be affected by a number of factors, including economic conditions, technological change, regulatory change and competitive factors, many of which are beyond Buyer Group’s control.