Symbol: TSX-V: CDR
MONTREAL, Oct. 12 /CNW Telbec/ - On Friday, October 8th, 2010, Caldera Resources Inc. ("Caldera") requested that the
TSX-Venture Exchange (TSX-V) halt its shares pending news. Caldera was
seeking clarification from our joint-venture partner, Global Gold
Corporation ("GGC USA") (OTCBB: GBGD) and the Ministry of Energy and
Natural Resources of the Republic of Armenia ("MENR"), on the status of
its License related to the Marjan Gold and Silver deposit (the "Marjan
On Monday morning October 11, 2010, Marjan Mining Company, LLC ("MMC
Armenia"), of which Caldera has a majority interest and the operating
rights, requested in writing, from the MENR, to clarify the status of
the Marjan Gold and Silver Mining License.
Later in the day, the General Director of MMC Armenia received
confirmation in writing from the MENR that [unofficial translation]
"According to the unified registration book maintained by the
concession agency of the staff of the Ministry of Energy and Natural
Resources, the exploitation rights over the Marjan goldfield located at
Syunik Marz, Armenia, certified by special mining license N HA-L-14/526
issued on 22.04.2008, the license agreement N 411 signed on 22.02.2009
and N 299 mining handover act issued on 09.03.2009, are valid as of 11
October 2010." This letter was signed by the Chief of Staff of the
Ministry of Energy and Natural Resources (the "October 11 Good Standing
Bill Mavridis, President and CEO of Caldera and President of
Marjan-Caldera Mining declared: "We have taken every measure to confirm
that the rights, which Caldera has acquired, are in full force and
effect. Our local consultant on the Marjan Project and now the General
Director of MCM Armenia is collaborating with the relevant government
bodies to secure the success of our Project. The confirmation Letter
of Good Standing, received October 11, by the Chief of Staff of the
MENR along with our other confirmations, allows us to declare that
Caldera continues to hold all its rights and control its destiny
pursuant to the terms of the JVA."
The mining license for the Project is held by MMC Armenia, a
wholly-owned subsidiary of Marjan-Caldera Mining LLC, of Delaware ("MCM
USA") the joint venture vehicle. Caldera owns 55% of the shares of MCM
USA and GGC USA owns 45% of the shares. In addition, Caldera controls
two-thirds of the votes on the Board of Managers of MCM USA.
By way of a resolution of the Board of Managers of MCM USA adopted in
June 18, 2010, the President of Caldera, Mr. Vasilios (Bill) Mavridis,
is also the President of MCM USA and the Representative of the sole
shareholder of MMC Armenia.
This verification was considered necessary, given that in the afternoon
of October 7, 2010 GGC USA announced to Caldera that it was
unilaterally terminating the Joint Venture, eventhough there is no
authority under the JVA for its termination. GGC USA illegally claimed
that the purported termination was allowed further to certain unfounded
allegations not related to the Joint Venture Agreement and, more
specifically, because of a letter it had received from the MENR dated
September 28, 2010, which Global Gold claimed was addressed to them.
This letter was only remitted to Caldera by the president of GGC USA
late in the day on October 11, 2010. The letter of September 28, 2010
was actually addressed to Marjan Mining Company LLC and not GGC USA.
The letter did not give notice of any termination but rather referred
to an administrative process that was to be taken to ensure that the
mining license will be maintained in good standing.
MMC Armenia was asked to address the failure of Global Gold to meet
trial mining volumes from 2008, file its annual reports on a timely
basis of its required financial investments commitments, calculate,
file and pay royalties due, if any. No decision has been or will be
made to issue a notice of commencement of termination of the license
until a review is completed. We are advised by our legal counsel in
Armenia that these notices are routine and do not constitute a notice
of termination as GGC USA erroneously claimed. Caldera is now
communicating with the MENR to address these matters and, given that
the mining license provides for its modification, Caldera is confident
that it will be successful.
Caldera has complied with the letter and spirit of the JVA. In
addition, there is no provision for a termination process of the Joint
Venture and all disputes pursuant to the Joint Venture can only be
addressed through an arbitration process as stipulated under article 7
of the JVA. There has been no notice for arbitration pursuant to the
Joint Venture Agreement between the parties.
Caldera is will continue to pursue the Marjan Gold and Silver Project
and respect the terms of the mining license, and in accordance with all
its rights and privileges pursuant to the terms of the Joint Venture
About Caldera Resources Inc.
Caldera is engaged in advancing its gold project in the Republic of
Armenia. Caldera holds a 55% interest in the Marjan Gold-Silver project
with a clear path to acquire 100% of the project.
You can learn more about the Company's projects by watching recent
interviews on our website www.calderaresources.com.
The forward-looking statements contained in this release are subject to
certain risks and uncertainties that could cause actual results to
differ materially from the statements made. Former Soviet country
estimates are presented for historical reporting and to provide a basis
for assessing Caldera's choices for its business activities. A
qualified person has not done sufficient work to classify the
historical estimate as current mineral resources and the historical
estimate should not be relied upon or understood to indicate the
existence of reserves or resources.
Additional information related to the Corporation is filed
electronically on the System for Electronic Document Analysis and
Retrieval (SEDAR) at www.sedar.com.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory
Organization of Canada (IIROC) accepts responsibility for the adequacy
or accuracy of this release.
SOURCE CALDERA RESOURCES INC.
For further information: For further information:
President and CEO
Caldera Resources Inc.
Direct Line: 514-813-9200