OTTAWA, ONTARIO--(Marketwire - Oct. 23, 2012) -
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
Everton Resources Inc. ("Everton" or the "Corporation") (TSX VENTURE:EVR)(FRANKFURT:ERV)(OTCQX:EVRRF) and Brigus Gold Corp. ("Brigus") (TSX:BRD)(NYSE MKT:BRD)(NYSE Amex:BRD) are pleased to announce that they have completed the previously announced option to obtain the sole and exclusive right to acquire Brigus's remaining interest in the Ampliacion Pueblo Viejo, La Cueva and Ponton concessions located in the Dominican Republic (the "Concessions"). This will be achieved by Everton through the acquisition of all of the issued and outstanding common shares of Linear Gold Caribe, S.A. ("Linear Gold"), a wholly‐owned subsidiary of Brigus and registered titleholder of the Concessions.
Under the terms of the option agreement executed among the parties, Everton issued 15,000,000 common shares (the "Shares") to Brigus Gold ULC ("Brigus Gold"), another wholly‐owned subsidiary of Brigus and registered holder of the issued and outstating shares of Linear Gold. The Shares will be subject to an 18 months escrow period under which 2,500,000 Shares will be released to Brigus Gold upon the receipt of the final approval of the TSX Venture Exchange (the "Exchange"). An additional 4,500,000 Shares will be released to Brigus Gold six (6) months following the closing date and an additional 4,000,000 Shares will be released to Brigus Gold twelve (12) and eighteen (18) months respectively following the closing date. The Shares are also subject to a regulatory four (4) month hold period expiring on February 23, 2013. The parties have closed the transaction in trust pending the receipt of the final approval of the Exchange.
Everton has also notified Brigus that it intends to exercise its right to acquire from Brigus Gold the issued and outstanding shares of Linear Gold. The closing of the acquisition is subject to the execution of a share purchase agreement, a net smelter royalty on the properties in favour of Brigus and the payment of the agreed purchase price by Everton. The Corporation will issue a subsequent press release to announce the closing of the transaction and provide additional details thereon.
André Audet, Chairman and Chief Executive Officer of the Corporation said "The closing of this agreement represents another step in Everton's strategy to focus on its Dominican Republic properties, and we believe acquiring a 100% ownership interest in APV, Ponton and La Cueva will add significant future shareholder value".
About Everton Resources Inc.
Everton is actively exploring in the Dominican Republic adjacent to the US$3.8 billion Pueblo Viejo project, currently being mined by the world's largest gold mining company, Barrick Gold Corporation (60%) in partnership with Goldcorp Inc. (40%) ("Goldcorp") (NYSE:GG)(TSX:G). Everton also holds an interest in the Opinaca region of James Bay, Quebec where the Company has partnered with Aurizon Mines Ltd. who is advancing Everton's interest by funding 100% of all exploration work on one of the largest land packages adjacent to Goldcorp's Eleonore gold deposit.
Brigus Gold Corp.
Brigus is a growing Canadian gold producer committed to maximizing shareholder value through a strategy of efficient production, targeted exploration and select acquisitions. The Company operates the wholly owned Black Fox Mine and Mill in the Timmins Gold District of Ontario, Canada. The Black Fox Complex encompasses the Black Fox Mine, the new Grey Fox property and adjoining properties in the Township of Black River‐Matheson, Ontario, Canada. The Black Fox Mine is in production and the Grey Fox Mine, located four kilometres from Black Fox is in development. Brigus is also advancing the Goldfields Project located near Uranium City, Saskatchewan, Canada, which hosts the Box and Athona gold deposits. In Mexico, Brigus owns the Ixhuatan Project located in the state of Chiapas. In the Dominican Republic, Brigus has signed an agreement to sell its remaining interests in three mineral exploration projects.
CAUTIONARY NOTE REGARDING FORWARD LOOKING INFORMATION
This news release contains certain forwardlooking statements that involve risks and uncertainties, such as statements of Everton's plans, objectives, strategies, expectations and intentions. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to Everton, or its management, are intended to identify such forwardlooking statements. Many factors could cause Everton's actual results, performance or achievements to be materially different any future results, performance or achievements that may be expressed or implied by such forwardlooking statements. The forwardlooking statements included in this press release represent Everton's views as of the date of the release. While Everton anticipates that subsequent events and developments may cause its views to change, it specifically disclaims any obligation to update these forwardlooking statements, except in accordance with applicable securities laws. Accordingly, readers are advised not to place undue reliance on forwardlooking information. All subsequent written and oral forwardlooking statements attributable to Everton or persons acting on its behalf are expressly qualified in their entirety by this notice.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.