Peruvian Gold Limited
Press Release
April 24, 1998
Mr. David Henstridge, President, Peruvian Gold Limited (the "Company"),
reports that the agreement between the Company and Gabriel Resources Ltd.
("Gabriel"), under which the Company agreed to make an offer (the "Offer")
to acquire all of Gabriel's outstanding common shares in exchange for
common shares of the Company, has been terminated by mutual agreement of
the Company and Gabriel.ÿ As both parties have performed their respective
obligations under the agreement, no break-up fee is payable by either the
Company or Gabriel.
Prior to announcing the Offer, the Company and Gabriel had determined that
a combination of the two companies would be mutually beneficial as it would
permit the majority of the Company's working capital to be used to develop
and explore Gabriel's prospective resource properties in Romania and
Bulgaria.ÿ During the course of its negotiations with Gabriel, the Company
was informed that Gabriel would seek alternate sources of financing for its
projects if the Company could not conclude a transaction with Gabriel in a
timely manner.ÿ Pursuant to a decision of the British Columbia Securities
Commission (the "Commission") dated April 24, 1998, the Commission requires
the Company to obtain shareholder approval of the Offer.ÿ The Company is
not able to obtain shareholder approval within Gabriel's time constraints,
thereby precluding the Company and Gabriel from concluding this transaction.
On behalf of the Board of Directors
David Henstridge
President
FOR MORE INFORMATION CONTACT OUR OFFICE AT 1 (604) 681 0110 / 1 (888) 215 5111
1705 - 750 West Pender Street, Vancouver, B.C., V6C 2T8 / fax: 1 (604) 682
2236 / e-mail:pvo@intergate.bc.ca / web site: www.peruviangold.com
The Vancouver Stock Exchange has not reviewed and does not accept
responsibility for the adequacy of this release and the information
contained herein. |
