Anyone know when Chesapeake Gold will start trading?
Do they have a symbol yet?
Thanks,
-AZ
Thursday June 13, 9:15 pm Eastern Time
Press Release
SOURCE: Glamis Gold Ltd.
Glamis and Francisco Announce Overwhelming Shareholder Approval of
Merger
RENO, Nev. & VANCOUVER, British Columbia--(BUSINESS WIRE)-- June 13, 2002--
All amounts in United States Dollars
Glamis Gold Ltd. (NYSE:GLG - News; TSX:GLG) and Francisco Gold Corp. (TSX Venture:FGX.V) announced that the plan of
arrangement (the "Arrangement") between Glamis and Francisco has been overwhelmingly approved (approximately 95%) by the
shareholders of Francisco in a special shareholders meeting held on June 12, 2002.
Francisco is seeking a hearing before the Supreme Court of British Columbia regarding the Arrangement and its fairness to the
shareholders of Francisco during the week of June 17, 2002. One holder of escrowed shares, the release of which has been denied by
the British Columbia Securities Commission, has indicated that he will be attending to oppose the Arrangement. Glamis and Francisco
believe that the opposition is groundless and without merit.
Under the terms of the Arrangement, each Francisco common share will be converted into 1.55 common shares of Glamis and one
common share of Chesapeake Gold Corp., a precious metals exploration company focused on early stage gold exploration in Central
America. Chesapeake is well-funded with over Cdn.$25 million in cash. Glamis retains a three-year warrant to acquire a 5% stake in
Chesapeake. Post closing of the Arrangement, Glamis will have 110,525,000 common shares outstanding.
Glamis' President and CEO Kevin McArthur said, "Now that the Francisco merger has been approved, Glamis is positioned for the
most aggressive period of growth in its history. The addition of El Sauzal and Marlin to Glamis' project pipeline provides a platform for
growth second to none in our industry. We are confident that Glamis is on track to reach its near-term goal of 500,000 ounces of
annual gold production while maintaining cash costs below $150 per ounce."
P. Randy Reifel, President of Francisco Gold, stated, "We chose Glamis to develop El Sauzal and Marlin because of its strong mine
development team, production track record in Central America and solid financial position. As a new director, I am confident of
Glamis' ability to develop these high-quality assets in a timely manner, delivering real value to new and existing shareholders."
Glamis Reserves in Excess of 5 million Ounces, 100% Unhedged
Taking into account the Francisco projects, Glamis will have a proven and probable reserve base in excess of 5 million ounces of gold
plus an additional 6 million ounces of measured and indicated resources. "We are very focused on gold leverage. When combined with
our operating experience, strong financial position and zero hedging, Glamis provides its shareholders with the maximum possible
exposure to gold," stated Mr. McArthur.
Glamis anticipates receiving the results of feasibility work on the El Sauzal project next week. These results will be announced upon
receipt, together with Glamis' plans for an aggressive drilling and scoping program at the Marlin project in Guatemala. Glamis remains
debt free and unhedged. In 2002, Glamis expects to produce approximately 255,000 ounces of gold at a total cash cost of $172 per
ounce. |
