Trading Symbol: TSX-V: IG
CALGARY, Nov. 6 /CNW/ - Infinito Gold Ltd. ("Infinito Gold" or the "Company") announces that its subsidiary in Costa Rica, Industrias Infinito S.A. ("IISA"), has received notification from the Constitutional Court, or SALA IV, that the SALA IV has voted in favour of a component of the legal challenges which have halted construction on the Company's Crucitas project.
Specifically, SALA IV ruled that it was not contrary to the Constitution for the President and the Minister of the Environment of Costa Rica to issue a presidential decree on October 17, 2008 declaring the Crucitas project to be in the national interest. This decree authorized the issuance of a Change in Land Use Permit (the "Permit"), which allowed clearing activities to commence on the project.
However, there are still legal injunctions in place which prohibit activity on part of the project site pending a further decision of the SALA IV. As a precursor to this decision, a formal one day hearing (the "Vista"), has been scheduled for November 12, 2009 at the Supreme Court buildings in San José, Costa Rica.
While the Vista is currently scheduled for one day, the notification contains a provision that additional time may be scheduled if required. A Vista is not a trial in the sense of the proceedings under common law but is a proceeding available to the SALA IV magistrates. The Company's Costa Rican counsel advises that the Vista is being used by the SALA IV to further review the case which has been supported by a significant amount of written material supplied by IISA and various government agencies over the last year to demonstrate the legality of the extensive environmental and technical approval and permitting process required by Costa Rican regulations and laws.
A formal site inspection by two members of the SALA IV was held on September 11, 2009 as a precursor to the Vista. The inspection included a tour of the mine site and surrounding areas to observe specific technical and environmental aspects of the project as well as to witness the extensive social and educational programs that have been implemented by IISA over the last several years in the small communities surrounding the project area.
The Vista will review technical and legal aspects of the Crucitas project and will hear brief submissions from those who challenged the legality of the approval and permitting process leading to the issue of the Permit from regional authorities in San Carlos, Costa Rica. In addition, IISA will present arguments in support of its case, and relevant government agencies and other qualified parties will be allowed to present material as well.
The Company's Costa Rican counsel have advised IISA that according to Costa Rican law, the SALA IV is required to make a decision on the remaining legal challenges within 30 days following the date of the Vista. While the Company can not predict the decision of the SALA IV, the Company has consistently maintained that all approvals and permits, including the Permit, were applied for and received in compliance with the relevant regulations and laws.
While the Company views this latest ruling as a positive development, it is only one step towards resolving the legal challenges that have delayed the Crucitas project since October 21, 2008 when clearing operations were halted.
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, the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future, the possibility that all necessary governmental and regulatory approvals will not be received, and the availability of a qualified workforce and third party contractors necessary for the development and operation of a mine. The Company undertakes no obligation to update these forward-looking information or statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking information or statements.
INFINITO GOLD LTD.
"The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release."
SOURCE Infinito Gold Ltd.
For further information: For further information: INFINITO GOLD LTD., 216, 102 - 8th Avenue S.W., Calgary, Alberta, T2P 1B3, Telephone: (403) 444-5191