Vancouver's Silverstone Resources Corp. (TSX-V:SST) has bought a US$17.5 million convertible debenture from Toronto-headquartered Aquiline Resources Inc. (TSX:AQI).
Silverstone's debenture is the first instalment of a US$50 million upfront payment to secure silver production from Aquiline.
Silverstone will provide an additional $15 million on maturity of the debenture and an additional US$17.5 million beginning three months after construction starts.
Silverstone has the option of acquiring Aquiline shares at $12 each or buying 12.5% of the silver from Aquiline's Navidad project.
Silverstone's share price range during the past week: between $2.89 and $3; 52-week high: $3.60; 52-week low: $1.15.