Adriana Resources Inc. announced that it has successfully closed the transactions contemplated by the Joint Venture Agreement (the JV Agreement), as previously announced by Adriana on December 19, 2011, with a wholly owned subsidiary of WISCO International Resources Development & Investment Limited (WISCO) to engage in the development and operation of Adriana's Lac Otelnuk and December Lake iron ore properties in Nunavik, Quebec (together, the Lac Otelnuk Project). Pursuant to the JV Agreement, WISCO has funded an aggregate of CDN$91,633,611 of which CDN$51,633,611 was paid directly to Adriana and the remaining CDN$40,000,000 was injected into a joint venture company, Lac Otelnuk Mining Ltd. (LOM). Adriana has transferred its interest in the Lac Otelnuk Project into LOM. WISCO has acquired a 60% interest in LOM while Adriana holds the remaining 40% interest. Under the terms of the JV Agreement, WISCO may provide dilution protection to Adriana by providing funding assistance of up to a maximum of CAD200,000,000 for a term of up to 12 months in the event that Adriana has difficulty in funding its share of any cash call prior to the achievement of commercial production. Adriana and WISCO have agreed to purchase from LOM all the production from the Lac Otelnuk Project at fair market value in proportion to their respective equity interests. 

source:reuters