Stakeholder Gold Corp. press release
Diamcor Mining Inc. announces update on So Ver sale
TSXV - TSX Venture Exchange · Silicon · Gold · Copper · Canada
TSX.V Symbol (DMI)
KELOWNA, BC, May 20 /CNW/ - Diamcor Mining Inc. (TSX-V:DMI) (the "Company"), today announces that it has terminated the definitive Sale of Shares Agreement, as amended, (the "Agreement") for the disposition of the Company's So Ver Mine (Pty) Ltd. ("So Ver") subsidiary as previously announced on March 19, 2009 and April 8, 2009. The Company exercised its right to terminate the Agreement as a result of the purchasers ultimately failing to pay the balance of the purchase price of R 2,950,000 as required.
As a result of terminating the Agreement, the Company sought alternatives to the disposition of its non-core assets and has now entered into a Sale of Land Agreement ("SOL Agreement") whereby the Company will dispose of its So Ver farm no. 90, measuring 513, 9192 hectares located in the district of Barkly West, South Africa (the "So Ver Farm"). The SOL Agreement is exclusive of the mining licences and rights which the Company holds on the lands comprising a part of the So Ver Farm and the SOL Agreement provides that the Company may continue to conduct mineral exploration on the areas of the So Ver Farm permitted by such mining licences and rights. The Company will continue discussions with various interested parties for the purchase of the So Ver Mine (Pty) Ltd entity and remaining associated part of the So Ver Farm.
The purchase price for the So Ver Farm is R 2,000,000 of which R 200,000 has been deposited into the conveyancer's trust account and the remaining R 1,800,000 will be deposited into the conveyancer's trust account upon registration of the transfer of the So Ver Farm into the name of the purchaser. The elements and effects of the transaction on the Company have been reviewed by Management and it will be appropriately treated as an exempt transaction not requiring the approval of the TSX Venture Exchange. The proceeds from the closing of sale of So Ver will be applied to the general working capital of the Company.
Diamcor Mining is a junior resource company with established operations and production history in South Africa. The Company is determined to use its established operating history, industry knowledge, and proprietary relationships to acquire and develop quality diamond properties in the region.
On behalf of the Board of Directors
Mr. Dean H. Taylor CEO Diamcor Mining Inc. DTaylor@Diamcormining.com Phone: (250) 862-3212 Website: www.diamcormining.com
This press release contains certain forward-looking statements. While these forward-looking statements represent our best current judgement, they are subject to a variety of risks and uncertainties that are beyond the Company's ability to control or predict and which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. Further, the Company expressly disclaims any obligation to update any forward looking statements. Accordingly, readers should not place undue reliance on forward-looking statements. This news release is not for dissemination in the United States, to "U.S. Persons" or to United States of America news services.
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