Diamondex Announces Settlement of Litigation with Canada Nickel
November 30 2009 - 7:30AM
Marketwired
Diamondex Resources Ltd. (TSX VENTURE: DSP) ("Diamondex" or the
"Company") is pleased to report settlement of the Action brought in
the Supreme Court of British Columbia by Canada Nickel Corp.
against Diamondex, its wholly owned subsidiary, Nickel Bay
Resources Inc. and Randy C. Turner, President and CEO of Diamondex
and the Counterclaim against Canada Nickel by Diamondex and Nickel
Bay (see Press Releases dated December 19, 2008 and July 8, 2008).
The parties to the Action have reached a resolution of the
issues raised in the Action and Counterclaim, and Canada Nickel has
agreed with Diamondex and Nickel Bay to sell all of its right,
title and interest in the 740 mineral claims (the "Property")
comprising the James Bay Lowlands project near Ogoki, Ontario
acquired pursuant to a June 6, 2008 Option Agreement (the "Canada
Nickel Interest"), on terms which are summarized as follows:
i. Diamondex and Nickel Bay have paid Canada Nickel Corp.
$250,000;
ii. Canada Nickel has transferred the Canada Nickel Interest to
Diamondex and Nickel Bay;
iii. Diamondex, Nickel Bay and Canada Nickel have agreed that
the Option Agreement has no further force and effect and no party
has any rights or obligations remaining under it;
iv. Diamondex and Canada Nickel have entered into a royalty
agreement providing for the grant of a 1.5% net smelter return
("NSR") royalty to Canada Nickel;
v. Diamondex has an option to repurchase a cumulative two-thirds
of the NSR royalty in three instalments totalling $2,500,000
payable as follows:
a. $833,333 payable at any time on or before November 26, 2014,
to acquire 22% of the NSR royalty;
b. $833,333 payable at any time on or before November 26, 2019
to acquire 22% of the NSR royalty; and
c. $833,334 payable at any time on or before the date which is
the second anniversary of the commencement of commercial production
from the Property to acquire 23% of the NSR royalty;
vi. The Action and Counterclaim have been dismissed without
costs;
vii. All claims arising out of or related to the Action and
Counterclaim have been released.
Diamondex also wishes to advise that Triex has advanced a
further $550,000 to the Company for working capital purposes,
pursuant to the terms of their amended and restated loan
agreement.
DIAMONDEX RESOURCES LTD.
John A. McDonald, Director
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of the content of this
news release.
Contacts: Diamondex Resources Ltd. Randy Turner President
604-687-6644 www.diamondex.net
Diamondex Resources Ltd. (Tier1) (TSXV:DSP)
Historical Stock Chart
From Aug 2024 to Sep 2024
Diamondex Resources Ltd. (Tier1) (TSXV:DSP)
Historical Stock Chart
From Sep 2023 to Sep 2024