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DISSEMINATION IN THE UNITED STATES/
TORONTO, June 29, 2012 /CNW/ - Marathon Gold Corporation ("Marathon" or the "Company") (TSX: MOZ) is pleased to report that its shareholders have voted overwhelmingly in favour of
the issuance of common shares of the Company to the security holders of
Mountain Lake Resources Inc. ("Mountain Lake") in connection with the
previously announced proposed arrangement (the "Arrangement") between
Marathon and Mountain Lake. Marathon's shareholders voted 99.9% in
favour of the resolution at the annual and special meeting of
shareholders of the Company held today. In addition, Marathon has been
advised by Mountain Lake that Mountain Lake's security holders also
approved the Arrangement today at its own special meeting of
shareholders with 99.9% of the votes cast in favour of the transaction.
Assuming that all of the remaining conditions to the Arrangement are
satisfied or waived, Marathon expects the Arrangement to become
effective on or about July 9, 2012.
"The Board and Management of Marathon Gold would like to thank our
shareholders for the overwhelming support of the acquisition. More than
52% of the shareholders voted and 99.9% were in favor of the
transaction. We are also pleased that Mountain Lake shareholders have
also voted in favor of the transaction. We look forward to having these
new shareholders. With 100% of the Valentine Lake Project in hand, we
are in a much stronger position to advance this important project,"
said Phillip Walford, President and CEO of Marathon Gold.
Pursuant to the Arrangement, the Company will acquire all of the
outstanding common shares of Mountain Lake to consolidate Mountain
Lake's and Marathon's respective 50% interests in the Valentine Lake
Project, resulting in Marathon becoming the 100% owner of the Project.
Mountain Lake's remaining projects will be transferred to Mountain Lake
Minerals Inc. ("Spinco"), a newly incorporated exploration company.
Under the terms of the Arrangement, Mountain Lake shareholders will
receive 0.40 of a Marathon common share and 0.40 of a common share in
Spinco for every Mountain Lake share held. Further details of the
transaction are available on Sedar in the Marathon Gold Circular.
About Marathon Gold Corporation
Marathon Gold Corporation is a North American gold resource development
company, with projects located in the mining friendly province of
Newfoundland and Labrador, the prolific Coeur d'Alene Mining District
of Idaho and the historic gold rich Greenhorn District of Oregon, USA.
Marathon has a project pipeline consisting of early stage exploration
to advanced resource development projects. Marathon is continually
evaluating new gold resource development projects of merit that are
located within the Americas. Marathon's focused and low-cost approach
to exploration and resource development has an established record of
delivering rapid growth. For more information visit: www.marathon-gold.com
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
Except for statements of historical fact relating to Marathon Gold
Corporation, certain information contained herein constitutes
"forward-looking statements". Forward-looking statements include
statements that are predictive in nature, depend upon or refer to
future events or conditions, or include words such as "expects",
"anticipates", "plans", "believes", "considers", "intends", "targets",
or negative versions thereof and other similar expressions, or future
or conditional verbs such as "may", "will", "should", "would" and
"could". We provide forward-looking statements for the purpose of
conveying information about our current expectations and plans relating
to the future and readers are cautioned that such statements may not be
appropriate for other purposes. By its nature, this information is
subject to inherent risks and uncertainties that may be general or
specific and which give rise to the possibility that expectations,
forecasts, predictions, projections or conclusions will not prove to be
accurate, that assumptions may not be correct and that objectives,
strategic goals and priorities will not be achieved. These risks and
uncertainties include but are not limited to those identified and
reported in Marathon Gold Corporation's public filings, which may be
accessed at www.sedar.com. Other than as specifically required by law, we undertake no
obligation to update any forward-looking statement to reflect events or
circumstances after the date on which such statement is made, or to
reflect the occurrence of unanticipated events, whether as a result of
new information, future events, results or otherwise.
SOURCE Marathon Gold Corporation
For further information:
Marathon Gold Corporation
President and CEO
Investor Relations Manager