VANCOUVER,
May 22, 2013 /CNW/ - Calico
Resources Corp. (TSX-V: CKB, OTCQX: CVXHF) ("Calico" or "the
Company") announces that it proposes to amend the exercise prices
of the following share purchase warrants, by reducing the exercise
price to $0.12 per share:
- Warrants to purchase up to 1,312,500 common shares , issued in
connection with a non-brokered private placement completed
June 8, 2011, with an exercise price
of $0.60 per share, exercisable until
June 8, 2013;
- Warrants to purchase up to 1,500,000 common shares issued in
connection with a non-brokered private placement completed
September 26, 2011, with an exercise
price of $0.60 per share, exercisable
until September 26, 2013 ;
- Warrants to purchase up to 2,827,500 common shares, issued in
connection with a brokered private placement completed April 26, 2012, with an exercise price of
$0.50 per share, exercisable until
April 25, 2014; and
- Warrants to purchase up to 1,660,500 common shares, issued in
connection with a non-brokered private placement completed
October 12, 2012, with an exercise
price of $0.40 per share, exercisable
until October 12, 2014.
Grassy Mountain Gold Project Production
Permitting Status
Calico intends to use the proceeds from the
exercise of the share purchase warrants to fund, in part, the
current production permitting process for the Grassy Mountain high
grade gold project.
Calico's Grassy Mountain Gold Project is located
in south east Oregon, USA,
approximately 70 miles west of Boise,
Idaho and 22 miles south of Vale,
Oregon.
Calico commenced the consolidated State/Federal
production permitting application process at the beginning of
2012. On February 8, 2012
Calico filed its Notice of Intent with the Oregon Department of
Geology and Mineral Industries ("DOGAMI"). On June 12, 2012 DOGAMI confirmed in writing the
acceptance for filing of the Notice of Intent. Calico then
prepared various study methodologies and submitted those
methodologies for approval and on March 8,
2013 DOGAMI approved the baseline methodologies and related
study plan of the Company. Since then the company has been
proceeding with its production permit process.
Calico is very pleased with the very welcoming
and professional reception of DOGAMI and with the various other
officials of the Government of Oregon. Calico fully expects that the
permitting process will continue in the normal course and expects
the State of Oregon to grant a
permit for placing the high grade underground Grassy Mountain Gold
Project into full production.
Mr. Buck Morrow
stated:
We expect that the permitting process will lead
Calico to be first gold mining company in over 20 years to be
issued a permit for an underground mine in Oregon. We are very convinced that our
strategy of pursuing the approval of a high grade underground mine
operation rather than seeking the approval of a larger low grade
open pit mine operation is a key factor in Calico receiving such a
warm reception from both the Oregon public and the Government of
Oregon. Further, we see the
prospects of the Grassy Mountain Project assisting the economy of
an area of Oregon that needs such
economic assistance as being a further factor in the successful
permitting process to date.
The application to reduce the exercise price of
the warrants is subject to the Exchange's acceptance. The
Company makes no assurances that the required acceptance for the
re-pricing of the warrants will be granted.
CALICO RESOURCES CORP.
Per: Buck
Morrow,
President & CEO
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
Cautionary Statement
This document contains "forward-looking
statements" within the meaning of applicable Canadian securities
regulations. All statements other than statements of
historical fact herein, including, without limitation, statements
regarding exploration plans and other future plans and objectives,
are forward-looking statements that involve various risks and
uncertainties. There can be no assurance that such statements
will prove to be accurate and future events and actual results
could differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ
materially from our expectations are disclosed in the Company's
documents filed from time to time via SEDAR with the Canadian
regulatory agencies to whose policies we are bound.
SOURCE Calico Resources Corporation