Toronto Stock Exchange: VG
VANCOUVER, May 15, 2013 /CNW/ - Veris Gold Corp. ("Veris" or the "Company") (TSX: VG) (OTCQB: YNGFF)
(Frankfurt Xetra Exchange: NG6A), announces amendments to its previously announced eight-month senior
unsecured promissory note (the "Amended Note") with 683 Capital Partners, LP (the "Lender") with a principal sum of US$10,000,000 (the "Principal"). The promissory note transaction was previously announced on April
The Amended Note provides that from and after the Maturity Date or at
the election of the Lender after an Event of Default (as defined in the
Note), the Principal may be converted, in minimum increments of
$500,000 and no more than 20% of the original principal of the Amended
Note in any one 30-day period, into common shares of the Company (the "Conversion") based on a conversion price equal to the greater of (a) US$0.50 (the
"Floor Price"), provided that if the US$0.50 Floor Price would cause the Lender's
ownership interest in the Company to be greater than 19.9% of the
Company's issued and outstanding common shares, the Floor Price shall
be the price that would cause the Lender's ownership interest in the
Company to be equal to 19.9% of the Company issued and outstanding
common shares; and (b) the Market Price (as defined in the TSX Company
Manual) of the Company's common share discounted by 10% per share. The
ability of the Lender to exercise its option to convert the Principal
into common shares remains subject to TSX approval at the time of the
In addition, if certain debt restructuring pre-conditions are not met
prior to June 30, 2013, the Company will issue to the Lender an
additional 500,000 common share purchase warrants with an exercise
price of US$1.80 and an expiry date of April 12, 2018.
About Veris Gold Corp.
Veris Gold Corp. is a growing mid-tier North American gold producer in
the business of developing and operating gold mines in geo-politically
stable jurisdictions. The Company's primary assets are the permitted
and operating Jerritt Canyon mill and gold mines located 50 miles north
of Elko, Nevada, USA. The Company's primary focus is on the
re-development of the Jerritt Canyon mining and milling facility. The
Company also holds a portfolio of precious metals properties in British
Columbia and the Yukon Territory, Canada, including the former
producing Ketza River mine.
On behalf of
"VERIS GOLD CORP."
Chief Financial Officer &
Interim Chief Executive Officer
R. Llee Chapman
To be added to the Veris Gold e-mail list please sign up at www.verisgold.com.
The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this release. All material information may be
accessed at www.sedar.com.
Forward-Looking Statements This press release contains "forward-looking statements" and "forward
looking information" within the meaning of applicable securities laws.
All statements, other than statements of historical fact, including
without limitation, statements relating to plans for or intentions with
respect to the offering of Securities and the Company's use of proceeds
from the sale of Securities are forward-looking statements. Generally,
these forward-looking statements can be identified by the use of
forward-looking terminology such as "plans", "expects" or "does not
expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or state that
certain actions, events or results "may", "could", "would", "might" or
"will be taken", "occur" or "be achieved". By their nature,
forward-looking statements and information are based on assumptions and
involve known and unknown risks, uncertainties and other factors that
may cause our actual results, performance or achievements, or industry
results, to be materially different from future results, performance or
achievements expressed or implied by such forward-looking information.
Such risks, uncertainties and other factors include among other things
the following: the Company's ability to engage underwriters, dealers or
agents on terms and conditions deemed reasonable by the Company; the
need to satisfy regulatory and legal requirements with respect to any
offerings; gold price volatility; discrepancies between actual and
estimated production and mineral reserves and resources; the
speculative nature of gold exploration; mining operational and
development risk; and regulatory risks. See our Annual Information Form
for additional information on risks, uncertainties and other related
factors. Although the Company has attempted to identify important
factors that could cause actual results to differ materially from those
contained in forward-looking statements, there may be other factors
that cause results not to be as anticipated, estimated or intended.
There can be no assurance that such statements will prove to be
accurate, as actual results and future events could differ materially
from those anticipated in such statements. Accordingly, readers should
not place undue reliance on forward-looking statements. The Company
does not undertake to update any forward-looking statements that are
incorporated by reference herein, except in accordance with applicable
SOURCE: Veris Gold Corp.
For further information:
Veris Gold Corp.
Joanne C. Jobin
VP, Investor Relations
T: (647) 964-0292
NA Toll Free: 1-855-688-9427
Veris Gold Corp.
Investor Relations Manager
T: (604) 688-9427 ext 224
NA Toll Free: 1-855-688-9427
T: +49 711 25 35 92 40