Oremex Silver announces deferral of dividend-in-kind and resignation of director
TORONTO, July 10, 2012 /CNW/ - Oremex Silver Inc. ("Oremex" or the "Company") (TSX Venture: OAG) (OTCQX: ORAGF) (Frankfurt: OSI) announced today that its Board of Directors has determined to defer, until further notice, the payment of the dividend-in-kind of 14,000,000 common shares (the "Dividend") it holds in the capital of Oremex Gold Inc. (TSX Venture: OAU) previously announced on April 2, 2012.
Due to current financial market conditions and its impact on the Company's operations and current financial resources since the date the Dividend was first declared, the Company does not presently satisfy the technical corporate law requirements applicable to the payment of dividends. As such, the Board of Directors is required to defer the payment of the Dividend until such time as market conditions and the financial outlook of the Company have improved.
The Company continues to explore initiatives directed at optimizing operating margins and enhancing shareholder value. The Company will issue a press release advising as to the specifics regarding these items at such time as the Board of Directors deems appropriate and necessary in connection with its continuous disclosure and Dividend payment obligations.
The Company further announces that Mr. Chris Marcus has resigned from his position as a director of the Company to focus on other commitments. "I want to thank Chris for his contributions to the Company and wish him well in his future endeavors" said Mr. Michael Smith, CEO of Oremex. Following the resignation, the board is comprised of Messrs. John Carlesso, David Terry, David Prins and Michael Smith.
About Oremex Silver Inc.
Oremex Silver Inc. is a Canadian company focusing on the exploration and development of silver projects along the highly productive mineralized belt in Mexico. The Company has a portfolio of silver projects including a mineral resource of 50.8 million ounces of silver at its Tejamen deposit. The Company's projects are located in mining-friendly jurisdictions and the management team has successful track record of mine development in Mexico.
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this news release may constitute forward-looking information, (collectively "forward-looking information") within the meaning of Canadian securities laws. Forward-looking information may relate to this news release and other matters identified in Oremex Silvers' public filings, anticipated events or results and can be identified by terminology such as "may", "will", "could", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "projects", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts and include, but are not limited in any manner to, those with respect to capital and operating expenditures, economic conditions, availability of sufficient financing, receipt of approvals, satisfaction of closing conditions and any and all other timing, development, operational, financial, economic, legal, regulatory and/or political factors that may influence future events or conditions. Such forward-looking statements are based on a number of material factors and assumptions, including, but not limited in any manner, those disclosed in any other public filings of Oremex Silver, and include the ultimate availability and final receipt of required approvals, sufficient working capital for development and operations, access to adequate services and supplies, availability of markets for products, commodity prices, foreign currency exchange rates, interest rates, access to capital markets and other sources of financing and associated cost of funds, availability of a qualified work force, availability of manufacturing equipment, no material changes to the tax and regulatory regime and the ultimate ability to execute its business plan on economically favourable terms. While we consider these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect. Actual results may vary from such forward-looking information for a variety of reasons, including but not limited to risks and uncertainties disclosed in other Oremex Silver filings at www.sedar.com and other unforeseen events or circumstances. Other than as required by law, Oremex Silver does not intend, and undertakes no obligation, to update any forward looking information to reflect, among other things, new information or future events.
Neither the TSX Venture nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this release.For further information: