TORONTO, June 7, 2011 /CNW/ - Gran Colombia Gold Corp. (TSX: GCM,
GCM.WT) shareholders and Medoro Resources Ltd. (TSX: MRS, MRS.WT)
securityholders each approved the arrangement under which Medoro and
Gran Colombia agreed to merge. Of the Medoro securityholders who voted,
more than 94.71% voted in favour of the special resolution approving the plan of
arrangement. Of the Gran Colombia shareholders who voted, more than 87.36% voted in favour of the issuance of the common shares of Gran Colombia
in connection with the arrangement. The merger is subject to receipt of
the approval of the Supreme Court of Yukon and the satisfaction by Gran
Colombia of the customary listing conditions of the Toronto Stock
Exchange ("TSX") for the additional common shares of Gran Colombia to be issued and
listed on the TSX pursuant to the arrangement. The merger is expected
to be completed on June 10, 2011.
"Gran Colombia shareholders and Medoro securityholders recognized that
the merger between Medoro and Gran Colombia will create Colombia's
premier gold producer with the resources, cost structure and financial
strength to compete globally," said Serafino Iacono, Executive
Co-Chairman of Gran Colombia and Interim President and Chief Executive
Officer of Medoro. "The merger will create a stronger entity that will
be better able to realize efficiencies and opportunities neither
company could have realized on their own. Management will now focus on
the integration of both companies operations, and will provide regular
updates to the market to communicate progress at the exploration and
About Gran Colombia Gold Corp.
Gran Colombia is a Canadian-based gold and silver exploration and
development company focused on acquiring, developing and operating
properties of merit in Colombia. Gran Colombia holds 95% of the former
Frontino Gold Mines Ltd. gold and silver assets (now known as the Gran
Colombia Project), including the largest underground gold and silver
mining operation in Colombia. It also owns four more exploration
projects in Colombia for total exploration acreage of approximately
21,400 hectares. Gran Colombia is committed to implementing its
exploration and development strategy with a comprehensive environment,
safety and community program, meeting international standards of best
Additional information on Gran Colombia can be found on its website at www.grancolombiagold.com and by reviewing its profile on SEDAR at www.sedar.com.
About Medoro Resources Ltd.
Medoro is a gold exploration, development and mining company with its
primary focus being the development of a large-scale, open-pit mine at
Marmato in Colombia. Medoro also has a 5% interest in the Gran Colombia
Project in Colombia with an option to increase its interest to 50%.
Medoro also holds a 100% interest in the Lo Increible 4A and 4B
concessions in Venezuela, as well as interests in gold exploration
properties in Mali.
Additional information on Medoro can be found on its website at www.medororesources.com and by reviewing its profile on SEDAR at www.sedar.com.
Cautionary Statement on Forward-looking Information
This news release contains "forward-looking information", which may
include, but is not limited to, statements with respect to the future
financial or operating performance of Medoro, Gran Colombia and their
respective projects. Often, but not always, forward-looking statements
can be identified by the use of words such as "plans", "expects", "is
expected", "budget", "scheduled", "estimates", "forecasts", "intends",
"anticipates", or "believes" or variations (including negative
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. Forward-looking statements involve known and
unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of Medoro and Gran Colombia
to be materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements.
Forward-looking statements contained herein are made as of the date of
this press release based on current expectations and beliefs and Medoro
and Gran Colombia disclaim, other than as required by law, any
obligation to update any forward-looking statements whether as a result
of new information, results, future events, circumstances, or if
management's estimates or opinions should change, or otherwise. There
can be no assurance that forward-looking statements will prove to be
accurate, as actual results and future events could differ materially
from those anticipated in such statements. Accordingly, the reader is
cautioned not to place undue reliance on forward-looking statements.
SOURCE Gran Colombia Gold Corp.
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