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Advanced Explorations Inc. Announces Amendment to Roche Bay Royalty Agreement TORONTO, ONTARIO--(Marketwired - Dec. 16, 2013) - Advanced Explorations Inc. (the "Company" or "AEI") (TSX VENTURE:AXI)(FRANKFURT:AE6) announced today that it has entered into an amendment agreement (the "Amendment Agreement") with Roche Bay plc and Roche Bay East Limited (collectively "Roche Bay") pursuant to which the Parties have agreed to amend the terms of the royalty agreement dated for reference March 23rd, 2009 and entered into on March 31st, 2009 (the "Royalty Agreement"). This Amendment Agreement is intended by the Parties to extend the payment terms for the Mandatory Minimum Payment (as defined in the Royalty Agreement), and to grant AEI an additional option to buy out a portion of the royalty, as further set out below. Amendment to Mandatory Minimum Payment The Parties agree to amend the payment terms of the 2013 Mandatory Minimum Payment currently due and owing to Roche Bay, as follows: An initial installment of $50,000 payable on or before December 31st, 2013; The amount of $100,000 payable on or before January 31st, 2014; and The amounts of $50,000 on each of March 15, 2014, June 15, 2014, and September 15, 2014 In addition to the cash consideration, AEI shall issue 5,500,000 common shares within 5 business days of execution of the Amendment Agreement, and shall further issue common shares to Roche Bay on September 15th, 2014, such shares are to be deemed to have a total monetary value of $300,000 at a price per share equal to the volume weighted average price on the 30-day period prior to issuance. All securities issuances contemplated herein shall be subject to any statutory or regulatory requirements with respect to hold period, including compliance with all rules and policies of the TSX Venture Exchange (the "Exchange") and subject to ultimate approval by the Exchange. For the avoidance doubt, the Mandatory Minimum Payments due to Roche Bay on December 15 of each year subsequent shall remain unchanged by the Amendment Agreement. Royalty Reduction Pursuant to the Amendment Agreement, Roche Bay has granted AEI the option until December 15th, 2020 to exercise a royalty purchase to reduce the royalty rates set out in the Royalty Agreement to as low as 2%, other than relating to the Precious Metals Royalty Interest. |