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Friday April 24, 1:40 pm Eastern Time
Company Press Release
Raymor Resources Ltd: Repurchase of Royalties
SAINTE-FOY, Quebec--(BUSINESS WIRE)--April 24, 1998--Raymor Resources Ltd. (Alberta Stock Exchange:RAR. - news) is pleased to announce that it has repurchased royalties with respect to the La Motte Property located in the Abitibi region of Quebec.
Pursuant to a Sale Agreement dated January 31, 1995 and further amended on February 5, 1997, a royalty equal to three percent (3 percent) of the total gross revenues derived from the sale of lithium or products derived from lithium and of other industrial mineral extracted from the La Motte Property was payable to Georges H. Dumont, Jean C. Roy and Rolland Grand-Bois, apportioned respectively at one percent (1 percent) each.
On July 17, 1997, Raymor Resources Ltd. concluded a Sale of Royalty and Renunciation Agreement concluding to the subtraction of royalty payments. As consideration, Georges H. Dumont, Jean C. Roy and Rolland Grand-Bois each obtained 210,000 common shares of Raymor Resources Ltd. Rolland Grand-Bois is a Director of Raymor Resources Ltd., nevertheless, he was extended the same terms and conditions as the remaining arm's length parties.
The consideration of 630,000 common shares of Raymor Resources Ltd. in exchange for the royalties was valuated by a consulting geologist, Christian Tourigny, Ph.D, based on a consultant engineering report by Georges H. Dumont updated as of November 1, 1988.
The valuation report confirms the cost value basis to which each party deemed to receive benefit considering that the royalties are repurchased before the bringing into production of the La Motte property deposit, such production remaining an indeterminate value.
Raymor Resources Ltd.'s repurchase of the royalties pertaining to the La Motte Property is in its upmost interest and will further increase its leverage of negotiation with third parties in relation to works that potentially may be performed on the Property.
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The Alberta Stock Exchange has neither approved nor disapproved information contained herein.
Contact:
Raymor Resources Ltd
Jean-Louis Poulin, 418/652-7571 |
