Trading Symbol: TSX-V: IG
CALGARY, Aug. 30 /CNW/ - Infinito Gold Ltd. (the "Company") announces
that on August 30, 2010 Exploram Enterprises Ltd. ("Exploram") and Auro
Investments Ltd. ("Auro", and together with Exploram, the "Noteholders")
who in turn hold the outstanding $50.5 million Secured Convertible Notes
(the "Notes") of the Company granted a waiver of a termination event
(the "Waiver") under the Standstill Agreement executed on June 30, 2010
between the Company and the Noteholders.
Specifically, the Noteholders granted the Company a waiver to September
30, 2010 with respect to the proceedings related to the Tribunal
Contencioso Adminastrativo (the "Tribunal") which otherwise would have
been a Termination Event on August 31, 2010 under the Standstill
In conjunction with executing the Waiver, the Company also announces
that it has publicly filed on SEDAR (www.sedar.com) it's Consolidated
Interim Financial Statements and Management Discussion and Analysis for
the three month period ended June 30, 2010.
Furthermore, on July 27, 2010 the Government of Costa Rica published a
letter affirming a variety of points, including: its intent to respect
the results of the current legal process; that the Company has met and
in all cases exceeded its health, safety and environmental obligations
under the existing mine plan; discounting the impact of cyanide
contamination; acknowledging the thoroughness of the work conducted by
the Constitutional Court of Costa Rica; acknowledging the right of the
Company to claim for compensation in the event the project was halted by
the government; and reaffirming the government's intent to modify the
mining laws to exclude all future open pit metal mining projects.
The Company interprets the release of this document as a positive step,
and management is using all available avenues to press its case with the
Tribunal and the Costa Rican government in order to expedite the
resolution of these matters. The Company has been notified that a
Tribunal hearing date has been set for Tuesday, September 14, 2010.
Caution Regarding Forward-Looking Information and Statements
Certain statements in this press release address future events and
conditions and, as such, involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance or
achievements to be materially different from any future results,
performance or achievements expressed or implied by the statements.
These factors include, among others, the timing related to the Tribunal
decision and the nature of any conditions contained therein, any changes
made to the Tribunal hearing dates, the impact of the recent injunction
on development at the Costa Rican mine site and the timing and nature of
the ruling rendered with respect to this injunction, the timing and
availability of short-term financing and the Noteholders intentions with
respect to their continued financial support of the Company, the
inherent risks involved in the exploration and development of mineral
properties, the uncertainties involved in interpreting drilling results
and other geological data, fluctuating metal prices, the possibility of
project cost overruns or unanticipated costs and expenses, uncertainties
relating to the availability and costs of financing needed in the
future, the possibility that all necessary governmental and regulatory
approvals will not be received, and the availability of a qualified
workforce and third party contractors necessary for the development and
operation of a mine. The Company undertakes no obligation to update
these forward-looking information or statements if circumstances or
management's estimates or opinions should change. The reader is
cautioned not to place undue reliance on forward-looking information or
INFINITO GOLD LTD.
"The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this release."
SOURCE Infinito Gold Ltd.
For further information: For further information:
INFINITO GOLD LTD.
216, 102 - 8thAvenue S.W.
Calgary, Alberta T2P 1B3
Telephone: (403) 444-5191