VANCOUVER, May 4, 2015 /CNW/ - Gold Bullion Development
Corp. (TSXV: GBB) (OTCPINK: GBBFF) (the "Company" or "Gold
Bullion") is pleased to announce that Takara Resources Inc.
("Takara") ("TSX.V: TKK") has received conditional approval to the
acquisition of certain properties of Gold Bullion situated in
Ontario, through the acquisition
of Gold Bullion's wholly-owned subsidiary, Castle Silver Mines Inc.
("CSM") (the "Transaction"). CSM currently owns a 100% interest in
the 3,300-hectare Castle Silver Mine property, a past producer
located near the northern Ontario
community of Gowganda and 85km
northwest of the historic Cobalt silver mining camp. Pursuant
to the terms of the share purchase agreement dated April 13, 2015 (the "Original Agreement"), Takara
will acquire all of the issued and outstanding common shares of CSM
from Gold Bullion in exchange for 10,000,000 units of Takara issued
in equal stages of 2,500,000 units over a 4-year period (each unit
consisting of one common share in the capital of Takara and one
common share purchase warrant exercisable at $0.10, expiring one year from the date of
issuance of the units). Under the terms of the amended and restated
share purchase agreement dated May 4,
2015 (the "Amended Agreement"), Gold Bullion has agreed to
distribute pro rata the Takara units received pursuant to the terms
of the Amended Agreement to Gold Bullion shareholders. In
addition, the parties have agreed that Takara will not be obligated
to issue any units, if such issuance results in Gold Bullion
holding more than 20% of the then issued and outstanding common
shares in the capital of Takara, unless Takara has received
shareholder approval. All other terms of the Agreement remain as
previously agreed.
On closing of the Transaction, Mr. Frank
Basa will be appointed President, Chief Executive Officer
and a director of Takara. Mr. Chris
Hopkins will remain on the Board of Directors of Takara and
assume the position of Chief Financial Officer.
Completion of the Transaction remains subject to all requisite
regulatory approvals, including TSX Venture Exchange approval.
About Gold Bullion Development Corp.
Gold Bullion Development Corp. is a TSX Venture-listed junior
natural resource company focusing on the exploration and
development of its Granada Property near Rouyn-Noranda, Québec, and its high-grade
Castle Silver Mine in Gowganda,
Ontario. Additional information on the Company's properties
is available by visiting the website at
www.GoldBullionDevelopmentCorp.com and on SEDAR.com.
"Frank J. Basa"
Frank J. Basa, P.Eng.
President and Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. This news release may contain
forward-looking statements including but not limited to comments
regarding the timing and content of upcoming work programs,
geological interpretations, receipt of property titles, potential
mineral recovery processes, etc. Forward-looking statements
address future events and conditions and therefore, involve
inherent risks and uncertainties. Actual results may differ
materially from those currently anticipated in such statements.
SOURCE Gold Bullion Development Corp.