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VANCOUVER, Jan. 10, 2020 /CNW/ - Western Atlas
Resources Inc. ("Western Atlas" or the "Company")
(TSXV: WA), is pleased to announce the appointment of
Lombardo Paredes as Director of the
Company and that pursuant to the results of the Company's annual
general and special meeting of its shareholders held today, all of
the matters presented to shareholders for consideration in the
Company's Management Information Circular were approved.
Among the matters approved was the transaction contemplated by
the share purchase agreement, dated as of October 9, 2019, by and between the Company and
Gran Colombia Gold Corp. (the "Transaction Resolution"), as
more particularly described in the information circular.
About Mr. Paredes
Mr. Paredes currently serves as CEO of Gran Colombia Gold Corp.
Previously, Mr. Parades served as an independent consultant on
energy and environmental project development. Mr. Paredes also held
several roles within Petroleos de Venezuela (PDVSA). He was responsible for
regional planning of investments and social development for
Eastern Venezuela, and was
Managing Director and Board Member of Maraven S.A. (an affiliate of
PDVSA), with responsibility for the construction and commissioning
of the Cardon Refinery Conversion Project in Venezuela, a US$2.6
billion project where he was also General Manager Production
Operations Division, with 5,000 employees and oil production of 800
KBbls per day. Mr. Paredes holds a Bachelor of Science in
Mechanical Engineering and a Masters of Economic Analysis and
Financial Economics.
"I would like to welcome Lombardo
Paredes to the Company's Board and look forward to working
with him. Paredes brings over 20 years of corporate
leadership and operations management experience in the resource
sector" commented Fabio Capponi,
Chief Executive Officer of Western Atlas.
About the Transaction Resolution
The Share Purchase Agreement provides that the Company will
purchase all of the outstanding Medoro Shares for a purchase price
of US$20,000,000 to be satisfied by
the issuances to Gran Colombia of the Consideration Shares. The
Consideration Shares will be issued at a deemed price of
$0.45 per Common Share. Upon
completion of the Transaction, 100% of the Medoro Shares will be
held by Western Atlas. Completion of the Transaction is subject to
approval from the TSXV and certain other additional conditions in
the Share Purchase Agreement, including the occurrence of both of
the following events (the "Closing Triggers"):
- current government of Venezuela being replaced by an internationally
recognized and democratically elected government; and
- completion of the lawful transfer and registration of transfer
to Medoro (or to one or more of Medoro's Venezuelan subsidiaries)
of the Increible Project (as defined below) by Venezuelan
authorities of competent jurisdiction.
While Medoro holds the mining rights to the Lo Increible 4A and
Lo Increible 4B concessions (the
"Increible Project"), it is unable to use the rights due to
actions by the current Venezuelan government which will require
Medoro to complete the process of restitution, which is the second
of the two Closing Triggers described above. A working committee
(the "Committee") consisting of one representative from each
of Western Atlas and Gran Colombia has been formed in order to
manage the process of restitution to Medoro of the mineral rights
to the Increible Project. The Share Purchase Agreement provides
that, at the direction of the Committee, Gran Colombia and Medoro
will take all actions necessary for the restitution to Medoro of
the Increible Project, including, without limitation, hiring
consultants, issuing of powers of attorney and, negotiating terms
for the restitution of such rights.
The Closing Triggers must occur no later than October 9, 2021, the second anniversary of the
date of the closing of the Private Placement (the "Outside
Date"). Should the Closing Triggers not occur by the Outside
Date, the Share Purchase Agreement will be terminated.
About Western Atlas
The Company's common share are listed on the TSX Venture
Exchange under the symbol WA. Western Atlas is focused on the
acquisition and development of scalable precious metals projects in
premier mining jurisdictions. Western Atlas's wholly owned
subsidiary, 5530 Nunavut Inc., holds its interests in the
Meadowbank project located in Nunavut,
Canada.
Cautionary Statement Regarding Forward-Looking
Information
This news release includes certain "forward-looking statements"
under applicable Canadian securities legislation that are not
historical facts. Forward-looking statements involve risks,
uncertainties, and other factors that could cause actual results,
performance, prospects, and opportunities to differ materially from
those expressed or implied by such forward-looking statements.
Forward-looking statements in this news release include, but are
not limited to, statements with respect to the Company's
objectives, goals or future plans; the receipt of the requisite
approvals with respect to the business and operations of the
Company. Forward-looking statements are necessarily based on a
number of estimates and assumptions that, while considered
reasonable, are subject to known and unknown risks, uncertainties
and other factors which may cause actual results and future events
to differ materially from those expressed or implied by such
forward-looking statements. Such factors include, but are not
limited to: general business, economic and social uncertainties;
litigation, legislative, environmental and other judicial,
regulatory, political and competitive developments; delay or
failure to receive board, shareholder or regulatory approvals;
those additional risks set out in Western Atlas's public documents
filed on SEDAR at www.sedar.com; and other matters discussed in
this news release. Although Western Atlas believes that the
assumptions and factors used in preparing the forward-looking
statements are reasonable, undue reliance should not be placed on
these statements, which only apply as of the date of this news
release, and no assurance can be given that such events will occur
in the disclosed time frames or at all. Except where required by
law, Western Atlas disclaims any intention or obligation to update
or revise any forward-looking statement, whether as a result of new
information, future events, or otherwise.
Reader Advisory
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.
SOURCE Western Atlas Resources
