Champlain Resources Inc., announces letter of intent for the Gordon Lake Gold
Project and proposed private placement financing
a) Champlain has the option to earn a 55% interest in the Gordon Lake Gold Project over a three year period; b) In year one, Champlain will make a cash payment to Boxxer of $50,000, issue to Boxxer 250,000 common shares of Champlain and commit to spend a minimum of $200,000 of exploration expenditures on the property within such year, c) In year two, Champlain will make a cash payment to Boxxer of $25,000, issue to Boxxer 500,000 common shares of Champlain and commit to spend a minimum of $800,000 of exploration expenditures on the property within such year; d) In year three, Champlain will make a cash payment to Boxxer of $25,000, issue to Boxxer 500,000 common shares of Champlain and commit to spend a minimum of $1,000,000 of exploration expenditures on the property within such year. The proposal does not allow for any partial earning of interest. The proposed transaction is subject to the following conditions: a) Champlain shall receive all approvals from necessary regulatory authorities, b) Champlain will acquire adequate financing for year one's minimum work commitment, and c) Champlain will have adequate time to perform due diligence on the Gordon Lake Project including title and other searches and completion of a National Instrument 43-101-compliant technical report on the Gordon Lake Project. The above conditions are expected to be satisfied by the end of October 2009. On satisfaction of the above mentioned conditions, Champlain and Boxxer intend to enter into a definitive agreement. A finder's fee on terms to be negotiated may be payable upon entering into the definitive agreement. Proposed Financing ------------------
Champlain proposes a private placement of up to an aggregate of 12,000,000 Units at a price of
Champlain intends to use these proceeds to pursue the
This press release contains certain forward-looking statements including without limitation expectations regarding the satisfaction of certain conditions set forth in the Letter of Intent. These statements are based on Champlain's current expectations and assumptions that could prove to be incorrect. The forward-looking statements are not guarantees of future performance and undue reliance should not be placed on them. The Corporation has assumed that the terms of the Letter of Intent will be acceptable to regulatory authorities and that the proposed private placement can be and will be completed on a timely basis. Actual results may differ materially as a result of risks, uncertainties and other factors, such as: changes in the general economic, regulatory, industry, market and business conditions, fluctuations in commodity prices and currency exchange rates; the successful and timely implementation of growth projects; imprecision of reserve estimates; environmental risks; and competition from other industry participants. In addition to the foregoing risk factors, the assumptions made by the Corporation are subject to the risk that regulatory approval is not within the control of the Corporation and there can be no assurance that any portion of the proposed financing will be completed. Also affecting the accuracy of any forward-looking statement is the availability of capital required to implement future operational plans, uncertainties resulting from potential delays or changes in plans, among others. Unless otherwise required by securities laws, the Corporation is not under any obligation to update the forward looking statements, assumptions and related risks made herein.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information: Mr. Troy Mochoruk, Chairman & CEO: Tel: (403) 618-8989, E-mail: [email protected], www.champlainresources.com
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