WINNIPEG, MANITOBA--(Marketwire - Aug. 21, 2012) -
THIS PRESS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES.
Dale Ginn, President and CEO of SGX Resources Inc. (TSX VENTURE:SXR), is pleased to announce that SGX has entered into an option agreement (the "Option Agreement") with each of Shoreacres Explorations Ltd., 2090720 Ontario Inc. and 2229667 Ontario Inc. (collectively, the "Optionors") dated as of today. Pursuant to the Option Agreement, the Optionors have provided SGX with an option to acquire a 100% undivided interest in eight leased mineral claims (the "Properties") held by the Optionors in Grenfell Township in the Larder Lake Mining District in the Kirkland Lake, Ontario area.
Pursuant to the terms of the Option Agreement, SGX has the option to earn a 100% undivided interest in the Properties by making the following aggregate cash payments and issuing the following aggregate numbers of common shares of SGX ("Common Shares") to the Optionors: (i) $25,000 cash and 100,000 Common Shares on or about the date that the TSX Venture Exchange accepts the terms of the Option Agreement (the "Effective Date"): (ii) $25,000 cash and 100,000 common shares on or before the first anniversary of the Effective Date; (iii) $25,000 cash and 100,000 Common Shares on or before the second anniversary of the Effective Date; (iv) $37,,500 cash and 150,000 Common Shares on or before the third anniversary of the Effective Date; and (v) 62,500 cash and 250,000 Common Shares on or before the fourth anniversary of the Effective Date. There is no specific work commitment required by SGX pursuant to the Option Agreement.
Upon transfer of a 100% undivided interest in the Properties from the Optionors to SGX, the Optionors shall be entitled to an aggregate 1% net smelter returns royalty on the Properties. This is in addition to the existing 2% net smelter returns royalty on the Property. SGX shall be entitled to purchase half of such royalty (1%) from the holder for $1,000,000 in cash.
The Option Agreement is subject to the final approval of the TSX Venture Exchange.
The information in this release may contain forward-looking information under applicable securities laws. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those implied in the forward-looking information.
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 the contents of this News Release.