TORONTO, May 19, 2016 /CNW/ - Sulliden Mining Capital
Inc. ("Sulliden" or the "Company") (TSX: SMC) has entered into
an agreement with Carpathian Gold Inc. (CSE: CPN) ("Carpathian") to
acquire 71,428,571 units, or 7.9% of the issued and outstanding
shares of Carpathian, at a price of CAD$0.07 per unit, for total consideration of
CAD$5,000,000. Each unit consist of
one (1) common share of Carpathian and one-half (0.5) of a common
share purchase warrant ("warrant"). Each warrant will allow
Sulliden to acquire one common share of Carpathian at a price of
CAD$0.12 for a period of two years
from the date of issuance. The warrant exercise period may be
accelerated if the common shares of Carpathian trade at a price
above CAD$0.15 for a period of 20 consecutive trading
days.
As part of the agreement, Peter
Tagliamonte, Sulliden's Senior Vice-President, and
Stan Bharti, director of Sulliden,
have joined Carpathian's board of directors, and will help play an
active role in the development of Carpathian's Rovina Valley Gold
Project, located in Romania.
Justin Reid, President and CEO of
Sulliden Mining Capital, commented, "We are very excited about our
new investment in Carpathian Gold, and the Rovina Valley asset,
which is the second largest gold deposit in Europe. This investment is in line with
Sulliden's proven strategy of driving value by investing in
companies with quality development projects. This is a tremendous
opportunity and we look forward to our roles as directors of
Carpathian to help determine the optimal development scenario for
the project."
Please see Carpathian's NI 43-101 technical report dated
August 30, 2012, (available on
www.sedar.com) for details related to the latest gold and copper
mineral resource estimate for the Rovina Valley project. The most
recent technical study for the project is a preliminary economic
assessment, which was completed in April 2010.
About Sulliden Mining Capital
Sulliden is a Canadian venture capital company focused on the
acquisition and development of quality mining projects in the
Americas, in addition to identifying opportunities for active
investments.
Sulliden Mining Capital Inc.
On behalf of the Board
"Justin Reid"
Chief Executive Officer & Director
Caution regarding forward-looking information:
This press release contains "forward looking information"
within the meaning of applicable Canadian securities legislation.
Generally, forward looking information can be identified by the use
of forward-looking terminology such as "plans", "expects" or "does
not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or
"believes", or 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
information includes statements with respect to the investment into
Carpathian; mineral resource estimates; future technical and
engineering studies, their results and timetables; statements
regarding reclamation obligations and mineral price projections,
among other things. Forward-looking information is subject to known
and unknown risks, uncertainties and other factors that may cause
the actual results, level of activity, performance or achievements
of the Company to be materially different from those expressed or
implied by such forward-looking information, including but not
limited to: general business, economic, competitive, geopolitical
and social uncertainties; the actual results of current exploration
activities; other risks of the mining industry and the risks
described in the public disclosure documents of the Company.
Although the Company has attempted to identify important factors
that could cause actual results to differ materially from those
contained in forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such information 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 information. The Company does not undertake to update any
forward-looking information, except in accordance with applicable
securities laws.
SOURCE Sulliden Mining Capital
