Trading Symbol: TSX-V: IG
CALGARY, Jan. 7 /CNW/ - Infinito Gold Ltd. (the "Company") announces that it has received waivers of events of default under the outstanding $50,500,000 Secured Convertible Notes (the "Notes") of the Company held by Exploram Enterprises Ltd. ("Exploram") and Auro Investments Ltd. ("Auro", and together with Exploram, the "Noteholders").
As disclosed in news releases dated September 30, 2009 and October 30, 2009, the Notes originally provided that it would be an Event of Default if the SALA IV proceedings had not been resolved favourably by June 30, 2009 and if the first drawdown under a project debt financing facility did not occur by September 30, 2009 and the first interest payment due under the Notes was payable on September 30, 2009. None of these deadlines were met and each of these defaults has now been waived until February 17, 2010. In addition, Infinito's obligation to pay certain structuring fees has been deferred, and the defaults associated with such non-payment have been waived, until February 17, 2010.
These waivers represent the sixth time since June 30, 2009 the Noteholders have waived events of default relating to the delay in receipt of a decision by the SALA IV, each previous waiver having been given for a period of approximately one month.
Exploram is the controlling shareholder of the Company and Auro is a company associated with a director of the Company.
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