Trading Symbol: ADA: TSX; ADAIF: OTCQX
HALIFAX, Oct. 16, 2012 /CNW/ - Acadian Mining Corporation ("Acadian" or the "Company") is pleased to announce that it has entered into an option agreement regarding the sale of one of its non-core assets. Acadian agreed to sell the Goldenville project to a private company under the following terms:
- $100,000 non-refundable cash payment was received on signing of the agreement
- $250,000 cash payment is payable within 60 days, subject to completion of satisfactory due diligence by the purchaser
- Acadian retains a 1% NSR royalty, with a $500,000 buyout option
Acadian's strategy is centered on exploration and development of its core open-pit gold projects, namely the Fifteen Mile Stream and Beaver Dam projects, and the majority of the Company's resources will be directed toward these core assets for the foreseeable future. In addition to its core projects, Acadian owns a portfolio of non-core assets.
Following the sale of Goldenville, Acadian will have completed transactions involving its three non-core underground projects. The divestitures of these non-core assets will provide Acadian with funds that can be directed toward development of its core projects; it will also allow the Company to build an attractive royalty portfolio and relieve Acadian of some of its property holding costs.
Forward Looking Statements
Certain information regarding Acadian contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance, or other statements that are not statements of fact. Although Acadian believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Acadian cautions that actual performance will be affected by a number of factors, many of which are beyond Acadian's control, and that future events and results may vary substantially from what Acadian currently foresees. Discussion of the various factors that may affect future results is contained in Acadian's Annual Information Form dated March 29, 2012, which is available at www.SEDAR.com. Acadian's forward looking statements are expressly qualified in their entirety by this cautionary statement.
About the Company
Acadian is a Halifax, Nova Scotia, based company with several gold projects located in Atlantic Canada. The Company also owns barite properties on Cape Breton Island, Nova Scotia. Acadian's primary focus is centered on exploration and development of its two core gold deposits, namely the Fifteen Mile Stream and Beaver Dam Projects.
For additional information on Acadian's properties and activities, please visit our web site at: www.acadianmining.com.
No regulatory authority has approved or disapproved the contents of this news release.
SOURCE: ACADIAN MINING CORPORATION
For further information:
Grant Ewing, President and Chief Executive Officer
(902) 444-7779 Toll Free: (877) 444-7774
Halifax, Nova Scotia