LAVAL, QUEBEC--(Marketwire - Dec. 29, 2011) - NQ Exploration Inc. ("NQ") (TSX VENTURE:NQE) is pleased to announce that it has arrived at a settlement of its debt with Société de développement de la Baie-James ('"SDBJ"), subject to TSX Venture Exchange approval.
The Company issued a $200,000 convertible debenture (the "Debenture") to SDBJ on April 30, 2009.
The Debenture matured on April 30, 2011, bore interest at a rate of 15% per year and was convertible into common shares at any time, at SDBJ's discretion, at a price of $0.18 per share for the first 12 months and $0.20 per share for the ensuing 12 months.
On December 20, 2011, accrued interest stood at $11.589.04 for the period from April 1, 2011, to December 19, 2011.
The Company wishes to settle this interest in full through the issuance of 193,150 common shares at a price of $0.06 per share.
The parties have agreed to settle the capital amount of $200,000 through the issuance of a convertible debenture maturing on June 29, 2013. This debenture will bear interest at a rate of 12% per year, and will be convertible at any time at SDBJ's discretion at a price of $0.10 per share. The Company has the option of buying back a minimum of $100,000 in the first 12 months. Regardless of whether it exercises this option, the Company can only redeem the outstanding balance of the debenture in full once this period is passed.
ABOUT NQ EXPLORATION INC.
NQ Exploration Inc. is a mining exploration company with a solid portfolio of 11 mining properties in the James Bay and Abitibi regions of Quebec. NQ Exploration Inc. is betting on Quebec's excellent mineral potential and favourable investment climate to produce new world-class gold and base metal deposits.
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.
Contact Information:
President and Chief Executive Officer
(514) 206-7727
www.explorationnq.com