CALGARY, Nov. 28, 2011 /CNW/ - Infinito Gold Ltd. (the "Company")
announces that the local media in Costa Rica is reporting that the head
of the Administrative Law Chamber of the Supreme Court of Costa Rica
("SALA I") has indicated that the decision of the SALA I in respect of
the request for annulment ("Casación") of the sentence imposed by the
Tribunal Contencioso Administrativo ("TCA") on November 24, 2010, filed
by the Company's wholly owned subsidiary in Costa Rica, Industrias
Infinito S.A. ("IISA"), may be delayed which implies it may not be
rendered within the 25 working day period that was originally indicated
by the SALA I.
Construction of the Company's Crucitas gold mining project has been
halted since October of 2008 and remains suspended even after the
Constitutional Chamber of the Supreme Court of Costa Rica ("SALA IV")
provided its ruling of April, 2010 that the substance of the legal
challenges against the project were without merit. The complete ruling
was received in August of 2010 and represents a decision by the highest
court in the country after a review of the constitutional, technical,
environmental and legal aspects of the project and the process for
regulatory approval of the project in extensive detail. Nonetheless, an
injunction put in place by the TCA has prevented construction from
re-commencing at the site and there has been no significant
construction activity on site for over three years.
After over three years of delay due to proceedings before the SALA IV,
the TCA and the SALA I the Company has decided to take actions in Costa
Rica to aggressively reduce costs by further reducing staff and
suspending social programs and is reviewing all strategic options
available and evaluating other legal options.
The Company is also working with its major shareholder to secure funding
which will be used to finance operations during the review of strategic
alternatives, but no agreement has been reached at this time.
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, whether Exploram Enterprises Ltd.,
the Company's major shareholder, will provide additional funding to the
Company, whether the Company may be able to continue funding its court
cases in respect of the Las Crucitas or the Las Cristinas projects,
whether the Company may be able to obtain funds from any of the
activities that may be identified during the review of strategic
options, or at all, and whether the Casacion or the arbitration case
may be successful. These statements are made as of the date of this
release but the Company undertakes no obligation to update these
statements or any related forward-looking information 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.
President and CEO
" 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 and accuracy of this release."
SOURCE Infinito Gold Ltd.
For further information:
INFINITO GOLD LTD.
600, 1100 1st Street S.E.
Calgary, Alberta T2G 1B1
Telephone: (403) 444-5191