Atlanta Gold finalizes court sanction payment
TORONTO, Sept. 17, 2013 /CNW/ - Atlanta Gold Inc. (TSXV: ATG; OTCQX: ATLDF) (the "Company") announces that in compliance litigation brought under the United States Federal Water Pollution Control Act ("Clean Water Act") against the Company's wholly owned subsidiary, Atlanta Gold Corporation ("AGC"), the U.S. District Court for the State of Idaho has entered a Final Judgment memorializing AGC's payment plan for the Court imposed US$2 million sanction.
The Judgment required AGC to pay US$50,000 on or before August 22, 2013, which payment was made by AGC. In addition, AGC is to pay US$25,000 per quarter for the first year, with the initial installment due on December 31, 2013; US$75,000 per quarter for the second year; US$100,000 per quarter for the third, fourth and fifth years; and a balloon payment in the amount of US$450,000 due September 30, 2018, at which time the sanction will be paid in full. The penalty bears interest at a rate of 0.1% per annum and will be secured by recording the Consent Judgment against AGC's East Amity Road property located in Boise, Idaho and by a security interest, granted to the U.S. Attorney's office, in four generators owned by AGC located on the East Amity property. The litigation is now closed.
Wm. Ernest Simmons, President and CEO commented: "While this has been a long and challenging process, we are very pleased with both the outcome of the favorable payment terms of the Judgment and the resolution of the water contamination issues. Our proprietary, innovative, passive water filtration system has proven to be the solution to the water discharge problems and could potentially benefit other mine developers."
About the Company
Atlanta Gold Inc. holds through its 100% owned subsidiary, Atlanta Gold Corporation, leases, options or ownership interests in its Atlanta properties which comprise approximately 2,159 acres (8.74 square kilometres) located 90 air kilometres east of Boise, in Elmore County, Idaho. A long history of mining makes Atlanta very suitable for development of new mining projects. The Company is focused on advancing its core asset, Atlanta, towards mine development and production.
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SOURCE Atlanta Gold Inc.For further information:
Atlanta Gold Inc.:
Wm. Ernest Simmons
President and CEO
Atlanta Gold Inc.
Vice President and CFO
Telephone: (416) 777-0013
Fax: (416) 777-0014
CHF Investor Relations
Director of Operations
Telephone: (416) 868-1079 ext. 225
Fax: (416) 868-6198