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Abstract
(Marketwire - Jan. 29, 2010) - Arian Silver Corporation ("Arian" or the "Company") (TSX VENTURE:AGQ)(AIM:AGQ)(PLUS:AGQ)(FRANKFURT:I3A) announces, further to its previous announcement dated January 19, 2010, that Geologix Explorations Inc. ("Geologix") and Arian have executed a definitive agreement granting Geologix the exclusive Option to Purchase a 100% interest in the Tepal Gold-Copper Project, Mexico, subject to a 2.5% net smelter return royalty to the underlying vendor, Minera Tepal S.A. de C.V.
Under the terms of the Option Agreement, Geologix can complete the purchase of 100% of the Tepal property, subject to a 2.5% net smelter return royalty to Minera Tepal, by delivering to Arian US$1.45 million before February 23, 2010, and a further US$1.55 million to Arian before February 23, 2011. Of the first payment, US$517,500 will be satisfied by Geologix off-setting a loan in the same amount made to Arian. At Geologix's election, up to 50% of both payments may be satisfied by the issuance of Geologix shares, subject to Toronto Stock Exchange approval. Geologix shall be responsible for satisfying all of Arian's obligations relating to the Tepal property, including Arian's remaining underlying property option agreement payments of US$900,000 payable before June 6, 2010, and a further US$2.3 million before June 6, 2011 to Minera Tepal (see Geologix news releases dated January 19, 2010 and November 5, 2009 for more information).