CALGARY, May 19, 2016 /CNW/ - NewNorth Projects Ltd. ("NewNorth" or the "Company") (TSXV: NNP) announces that Rivera Suites Hotel Limited Partnership (the "Partnership") has filed a statement of claim for $5,000,000 against the arm's length purchaser (the "Purchaser") in respect the previously announced conditional purchase and sale agreement to dispose of NewNorth's 50% interest in the Partnership (the "Fort McMurray Transaction"). NewNorth is of the view that all conditions to completion in respect of the Fort McMurray Transaction have been satisfied and the Purchaser is obligated to complete the Fort McMurray Transaction in accordance with its terms. The Purchaser has indicated to the Company that it is not willing to complete the Fort McMurray Transaction.
NewNorth intends to vigorously pursue all available rights and remedies against the Purchaser in respect of the Fort McMurray Transaction. NewNorth will provide an update in respect of the status of the Fort McMurray Transaction when additional information is available.
Forward-Looking Information: This news release contains certain forward-looking information. All information, other than information regarding historic fact that addresses activities, events or developments that the Company believes, expects or anticipates will or may occur in the future is forward-looking information. Forward-looking information contained in this news release includes, but is not limited to, the Company's pursuit of all available rights and remedies against the Purchaser in connection with the Fort McMurray Transaction. The forward-looking information contained in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company.
The forward-looking information contained in this news release is subject to a number of risks and uncertainties that may cause actual results or events to differ materially from current expectations, including that the Company will be successful in enforcing any rights and remedies available to it against the Purchaser in connection with the Fort McMurray Transaction. Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable law, the Company disclaims any obligation to update or modify such forward-looking information, either because of new information, future events or for any other reason. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The contents of this release have not been approved or disapproved by any securities authority or stock exchanges.
SOURCE NewNorth Projects Ltd.
For further information: please contact Mr. Greg N. Herndier, Chief Executive Officer or Mrs. Shannon Cook, Controller at (403) 531-0280.