TORONTO, April 11, 2012 /CNW/ - Guyana Goldfields Inc. (TSX: GUY) ("GGI" or "the Company") announces today proposed amendments to certain matters which are to be considered and voted upon at its annual and special shareholder meeting scheduled to be held on Wednesday, April 25, 2012 (the "Meeting").
The management information circular of GGI dated March 26, 2012 (the "Circular") indicated that at the Meeting, shareholders would be invited to consider, and if deemed fit: (i) authorize the termination of the existing stock option plan and adoption of a new stock option plan for GGI (the "2012 Plan"); and (ii) approve and confirm the shareholder rights plan GGI (the "Rights Plan"). GGI is proposing to amend the 2012 Plan and the Rights Plan in the following manner from the descriptions thereof contained in the Circular:
(i) GGI proposes to amend the form of the proposed 2012 Plan attached Appendix "I" to Schedule "B" to the Circular in order to incorporate a limitation which would restrict the number of stock options which may be granted under the 2012 Plan to each non-executive director within any one year period to such number of options as entails a maximum aggregate grant date value of Cdn$100,000, calculated based upon the Black-Scholes Option pricing model; and
(iii) GGI proposes to amend and restate the Rights Plan to make minor amendments to certain definitions contained in the Rights Plan in order to correct a reference and clarify such definitions.
GGI is committed to best corporate governance practices and has proposed the above amendments in accordance with such mandate. Accordingly, management and the board of directors of GGI are of the opinion that the 2012 Plan and Rights Plan, as amended as described above, are each in the best interests of GGI and its shareholders and accordingly, unanimously recommend that the shareholders vote for the approval and confirmation of such matters at the Meeting. Copies of the amended 2012 Plan and Rights Plan have been filed on SEDAR at www.sedar.com.
About Guyana Goldfields Inc.
Guyana Goldfields Inc. is a Canadian based company, primarily focused on the exploration and development of gold deposits in Guyana, South America where the Company has operated since 1996. The Aurora Gold Project in Guyana has a current measured and indicated resource of 5.71 million ounces gold (47.040 million tonnes at a grade of 3.83 g/t) (see press release dated September 9, 2011). The Company plans to issue a revised Aurora resource estimate mid-2012 and a new FS by year-end. For further details regarding the Aurora Gold Project, reference should be made to the technical report for the Aurora Gold Project which has been filed on SEDAR at www.sedar.com and on the Company website at www.guygold.com, with no material changes from the February 24, 2012 press release.
At the Aranka Properties, the Company has discovered a deposit at Sulphur Rose and N-1 and other highly prospective targets within a 5-km radius have been identified for drill testing in 2012.
As at the date hereof, the Company has approximately $24 million in cash and short-term bank guaranteed investment certificates and no debt; there are approximately 83 million shares issued and outstanding.
This news release contains "forward-looking information" which may include, but is not limited to, statements with respect to the estimation of mineral resources. Often, but not always, forward-looking statements can be identified by the use of words and phrases 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 are based on the opinions and estimates of management as of the date such statements are made and are based on various assumptions.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of GGI to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the final findings set forth in the Feasibility Study , general business, economic, competitive, political and social uncertainties; the actual results of exploration activities; changes in project parameters as plans continue to be refined; accidents, labour disputes and other risks of the mining industry; political instability; delays in obtaining governmental approvals or financing or in the completion of development or construction activities, as well as those factors discussed in the section entitled "Risk Factors" in GGI's annual information form. Although GGI has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the date of this news release and GGI disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results, except as may be required by applicable securities laws. 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, readers should not place undue reliance on forward looking statements.
For further information:
Guyana Goldfields Inc.
Interim President & COO, CEO
Vice President, Corporate Communications
Tel: (416) 628-5936 Ext. 2295
Fax: (416) 628-5935
E-mail: [email protected]