/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT FOR DISTRIBUTION TO
UNITED STATES NEWSWIRE SERVICES OR
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HALIFAX,
Nov. 21, 2013 /CNW/ - Everton
Resources Inc. ("Everton"
or the "Corporation") (TSX-V: EVR) (Frankfurt: ERV) (OTCQX:
EVRRF) and Brigus Gold Corp. ("Brigus") (NYSE MKT: BRD) (TSX: BRD) are
pleased to announce that they have completed the previously
announced transaction whereby Everton has acquired Brigus remaining interest in the Ampliación
Pueblo Viejo II ("APV"), La Cueva and Ponton concessions located in
the Dominican Republic (the
"Concessions"). In connection therewith, Everton acquired 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.
Pursuant to the share purchase agreement (the
"Agreement") entered into by the parties, Everton has acquired shares of Linear Gold
(the "Acquisition") for a total consideration of
$175,000 in cash and 6,000,000 in
common shares of Everton. In accordance with applicable laws of the
Dominican Republic, Everton is also required to make a tax
withholding payment on the Purchase Price. In connection with the
Acquisition, Brigus has also been
granted a sliding-scale net smelter returns royalty on the
Concessions equal to 1.0% when the price of gold is less than
US$1,000 per ounce, 1.5% when the
price of gold is between US$1,000 and
US$1,400 per ounce, and 2% when the price of gold is above
US$1,400 per ounce.
Everton has also
issued Brigus a promissory note
for an amount equal to the greater of CAD$5
million or the value of 5,000,000 common shares of Everton.
The promissory note will be payable in cash or in common shares, or
a combination of both as mutually agreed to by the parties, upon
the completion of either (i) a National Instrument 43-101 compliant
measured and indicated resource estimate on the Concessions of a
minimum one million ounces of gold equivalent ("AuEq") (at an
average grade of 2.5 g/t AuEq or higher for APV and 1.5 g/t AuEq or
higher for Ponton and La Cueva) or (ii) the sum of actual gold
production from the Concessions plus a National Instrument 43-101
compliant measured and indicated resource estimate on the
Concessions (at an average grade of 2.5 g/t AuEq or higher for APV
and 1.5 g/t AuEq or higher for Ponton and La Cueva) equaling 1
million ounces of AuEq.
The parties have closed the transaction in trust
pending the receipt of the final approval of the TSX Venture
Exchange. The securities issued in connection with the Acquisition
are subject to a four month hold period.
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. which 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.
About Brigus Gold
Brigus is a growing 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
and adjoining properties in the Township of Black River‐Matheson,
Ontario, Canada. Brigus also owns the Goldfields Project
located near Uranium City, Saskatchewan,
Canada, which hosts the Box and Athona gold deposits. In the
Dominican Republic, Brigus has signed an agreement to sell its
remaining interests in three mineral exploration projects. In
Mexico, Brigus owns the Ixhuatan Project located in
the state of Chiapas.
EVERTON
RESOURCES CAUTIONARY NOTE REGARDING FORWARD LOOKING
INFORMATION
This news release contains certain forward-looking 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 forward-looking 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 forward-looking statements. The forward-looking
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
forward-looking statements, except in accordance with applicable
securities laws. Accordingly, readers are advised not to place
undue reliance on forward-looking information. All subsequent
written and oral forward-looking 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.
Brigus Gold Cautionary and Forward‐Looking
Statements
Statements contained in this news release, which are not historical
facts, are forward‐looking statements that involve risks,
uncertainties and other factors that could cause actual results to
differ materially from those expressed or implied by such
forward‐looking statements. All statements regarding the ability of
the Company to achieve its production, total cash costs, steady
state annual production and mining rate estimates; estimated
average gold grades for the open pit and underground operations;
increase in gold production; increase in profitability; exploration
drill results and resource additions, are forward‐looking
statements and estimates that involve various risks and
uncertainties. This forward‐ looking statements include, or may be
based upon, estimates, forecasts, and statements as to management's
expectations with respect to, among other things, the outcome of
legal proceedings, the issue of permits, the size and quality of
the Company's mineral resources, progress in development of mineral
properties, future production and sales volumes, capital and mine
production costs, demand and market outlook for metals, future
metal prices and treatment and refining charges, and the financial
results of the Company.
SOURCE Brigus Gold Corp.
