VANCOUVER, April 25, 2019 /CNW/ - Eros Resources
Corp. (TSX.V: ERC) ("Eros" or the
"Company") is pleased to announce that it has signed a
term sheet dated April 10, 2019 (the
"Agreement") with Owl Capital Corp. ("Owl" TSX-V: OCC.P) regarding
the sale of the Company's interests in the Oro Cruz and Eastgate
projects as well as Eros' shareholding and warrant position in
Bullfrog Gold Corp.
On closing of the Transaction, Eros will own 14,302,940 shares
of Owl, representing 35.9% of the approximately 39,800,000 total
issued and outstanding shares of Owl.
Eros' position in Owl is based on the following:
a)
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2,901,275 Owl shares
with respect to the sale of Eros' 45% interest in the Eastgate
Property;
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b)
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8,545,000 Owl shares
with respect to the sale of Eros' exclusive option to acquire
a 37.5% interest in the Oro Cruz Property;
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c)
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2,856,665 Owl shares
with respect to the transfer Eros' 5.58% undiluted equity interest
in the capital of Bullfrog Gold Corp., an exploration stage company
("Bullfrog" OTCQB: BFGC) comprised of 8,750,000 shares and
7,750,000 share purchase warrants of Bullfrog.
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Owl is a capital pool company ("CPC") and intends the
Transaction to contribute towards a Qualifying Transaction pursuant
to the TSX Venture Exchange (the "Exchange") Policy 2.4 – Capital
Pool Companies. Upon successful completion of the Transaction, Owl
will change its name to Southern Empire Resources Corp. and be a
Tier 2 mining issuer.
"Taking an equity position in Owl Capital Corp. is a great
investment for Eros" said Ron
Netolitzky, CEO of Eros Resources. "Work is continuing to
advance the Oro Cruz and Eastgate projects in an aggressive manner
by a well financed and focused management group."
For more information about the transaction, please refer to the
news release of Owl Capital Corp. dated April 24th, 2019 as posted on SEDAR.
The Transaction is subject to the entry into a Definitive
Agreement, customary closing conditions and acceptance of the TSX
Venture Exchange.
"Eros' main activity remains advancing Bell Mountain project towards production." Ron
continued. "Our target remains the third quarter of this year for
the commencement of construction. Discussions with the regulators
and the US Navy remain positive."
Qualified Person
David Tupper, PGeo, is a
qualified person within the context of National Instrument 43-101
Standards of Disclosure for Mineral Projects and has
prepared, read and approved the technical aspects of this news
release.
About Eros
Eros Resources Corp. is a Canadian public company focused on the
exploration and development of resource projects in North America. Eros has as its prime business
objective the selection of strategic investments with a Canadian
focus and a diverse commodity base. The Company's expertise in the
resource sector supports the selection of these strategic
investments.
On Behalf of the Board of Directors of EROS Resources
Corp.
Ronald K. Netolitzky
President & CEO
Cautionary note regarding forward-looking statements
Certain statements made and information contained herein may
constitute "forward looking information" and "forward looking
statements" within the meaning of applicable Canadian and
United States securities
legislation, including, among other things, this press release
includes references to mineral resources and future potential
forecast economics of extracting those resources. There is no
certainty that any portion of the resources will be confirmed with
greater certainty. If confirmed, there is no certainty that it will
be commercially viable to extract any portion of the resource.
There is no certainty that access to the resource area will be
re-established, and if access to the resource area is blocked for
an extended period of time, or permanently, there is no certainty
that any compensation will be received by the Company.
Forward-looking information involves known and unknown risks,
uncertainties and other factors that may cause actual results or
events to differ materially from those expressed or implied by such
forward-looking information, including the re-establishment of
physical access to the property, the availability of adequate and
secure sources of funding to construct the extraction facilities
required to extract the mineral resources, prevailing commodity
prices, the receipt of regulatory approvals, environmental risks
and the performance of personnel. While the Company considers its
assumptions to be reasonable as of the date hereof, forward-looking
statements and information are not guarantees of future performance
and readers should not place undue importance on such statements as
actual events and results may differ materially from those
described herein. The Company does not undertake to update any
forward-looking statements or information except as may be required
by applicable securities laws.
Neither TSX Venture Exchange nor the Investment Industry
Regulatory Organization of Canada
accepts responsibility for the adequacy or accuracy of this
release.
EROS Resources Corp.
Suite 420 - 789 West Pender
Street
Vancouver, British
Columbia,
Canada, V6C 1H2
T: 604-688-8115
w: www.erosresourcescorp.com
SOURCE Eros Resources Corp.