Settlement Agreement between Tara Minerals Corp. and Lyons Gate Capital (May 1, 2009)
Tara Minerals Corp. and Lyons Gate Capital entered into this agreement to resolve outstanding obligations from a prior consulting agreement. Instead of paying cash and issuing warrants as originally agreed, Tara Minerals will issue 200,000 shares of restricted common stock to Lyons Gate Capital. Both parties agree to release each other from any further claims related to the previous agreement, except for the obligation to issue these shares.
SETTLEMENT AGREEMENT
Parties:
Tara Minerals Corp. (the “Company”)
Lyons Gate Capital (the “Consultant”).
Effective Date:
May 1, 2009.
The parties agree as follows:
1.
The parties entered into a Consulting Agreement dated July 15, 2008. Pursuant to Section 2 of the Consulting Agreement the Company agreed to pay the Consultant cash, warrants and contingent consideration for services provided by the Consultant.
2.
The parties agree that the Consulting Agreement terminated on September 12, 2008.
3.
The parties agree that the cash compensation referred to in Section 2(a) of the Consulting Agreement has not been paid and the Warrant referred to in Section 2(b) of the Consulting Agreement has not been issued. In lieu of the cash compensation and Warrant referred to above, the Consultant agrees to accept 200,000 shares of the Company’s restricted common stock.
4.
Except for the obligation to issue the shares referred to above, each party releases the other from any and all claims, known or unknown, which each party may have against the other.
DATED: M ay 1, 2009
TARA MINERALS CORP.
By: /s/ Francis R. Biscan Jr.
Francis R. Biscan, Jr., President
LIONS GATE CAPITAL
By: /s/ Jim Braseth
&nb sp; Jim Braseth, Authorized Officer
