CanAm Coal Corp. (TSXV:COE) signed a binding letter of intent to acquire Alberta Metallic and Industrial Minerals Permit for CAD 1.4 million in cash and stock on October 28, 2014. The consideration will be settled through a combination of cash of CAD 0.22 million and common shares of 25.7 million.

Both the cash and the common share portion of the purchase price are contingent on the achievement of certain milestones and/or performance criteria. A cash payment of CAD 0.02 million was made and 1 million common shares were issued upon signing of letter of intent. The remaining shares of 24.7 million will be escrowed and vest in such a way that 20% upon closing of the transaction, 20% upon completion of a NI 43-101 resource report, 25% upon completion of a Preliminary Economic Assessment and 35% upon receipt of final permits.

The transaction is subject to regulatory approval including approval by the TSX Venture Exchange.