BRIEF-Canarc Resource to buy Pan American Goldfields

Feb 24 (Reuters) - Canarc Resource Corp CCM.TO :

* Canarc Resource and Pan American Goldfields sign letter of intent with

respect to a business combination

* Following completion of transaction, Pan American will have right to nominate

two persons to board of the combined company

* Says Canarc may acquire all of outstanding common shares of pan American

* Pan American goldfields - says pursuant to terms of LOI, Canarc has agreed to

pay US$100,000 to pan American, following tsx approval

* Pan American Goldfields has granted Canarc 130 day period of exclusivity to

complete due diligence, negotiate definitive agreement

*Pan American Goldfields - Canarc plans to raise up to US$1.8 million in

working capital financing pursuant to a private placement

* Pan American Goldfields -LOI expects Canarc to buy all common shares of co;shareholders

would get 0.82 of common share of Canarc and 0.25 of warrant of Canarc

* Source text for Eikon News Search ID:nMKW2kbf7a

* Further company coverage CCM.TO

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