Hi Ed, et al. Well here's the slightly overdue announcement if you've not seen it already. It shows some promise but I'm at a bit of a loss to understand all of the implications around the various property rights. I'm hoping that they'll have some sort of explanation of all that at the AGM next month. In talking with one of the Officers I suggested they ought to make more use of media like a web site to clarify such issues and keep people up to date. While I do appreciate Company's that I own shares in keeping the costs of their Annual reports down, I also expect that in such situations they should endeavour to provide some sort of graphical hand-outs, etc. to clarify any complex issues, especially around land positions.
04/29/1998 10:42:00 / RIOSUN RESOURCES CORP
RIOSUN RESOURCES CORP ("RSR-V")
- CONCLUSION OF NEGOTIATIONS
RIOSUN RESOURCES CORPORATION IS PLEASED TO ANNOUNCE THAT NEGOTIATIONS HAVE BEEN CONCLUDED WITH THE MINORITY SHAREHOLDER IN THE EXIMAD EMERALD MINE COMPANY EXIMAD SARL, TO PURCHASE ALL THE REMAINING OUTSTANDING 20% INTEREST AND SHARES. RIOSUN OR RELATED PARTIES, WILL
OWN AND CONTROL 100 PERCENT OF THE MINE, AND ALL ASSETS AND CONCESSIONS. ONE OF THE BENEFITS OF THE AGREEMENT IS THE CANCELLATION OF A PREVIOUS COMMITMENT TO ISSUE 2,500,000 COMMON SHARES TO THE VENDOR OF THE EXIMAD PROPERTY. INSTEAD, THE COMPANY WILL ISSUE 600,000 SHARES OF RIOSUN. THE COMPANY IS PROCEEDING TO EFFECT OPERATION OF THE MINE AS SOON AS POSSIBLE. DELAYS RELATED TO SEVERE WEATHER PREVENTED THE COMPANY PERSONNEL FROM COMMENCING START-UP OF THE MINING AT AN EARLIER DATE. START-UP IS EXPECTED IN THE MONTH OF MAY, 1998.
ANY NECESSARY REGULATORY APPROVAL WILL BE SOUGHT WITH THE VANCOUVER
STOCK EXCHANGE. THE COMPANY IS PLEASED TO ANNOUNCE THE NOMINATIONS OF
MR. MICHAEL ROSS C.A., OF VANCOUVER, AND MR. GRIFF LLOYD P. ENG., P. GEOL., OF CALGARY, FOR THE APPOINTMENT TO THE BOARD OF DIRECTORS, TO
BE CONFIRMED AT THE UPCOMING A.G.M., TO BE HELD ON JUNE 26TH IN
CALGARY. THE COMPANY WILL BE MOVING OFFICES EFFECTIVE APRIL 29TH, 1998. THE NEW ADDRESS AND PHONE/FAX NUMBERS ARE AS FOLLOWS:
812 A - 16TH AVENUE S.W. CALGARY,
ALBERTA T2R 0S9
PHONE: (403) 209-3002
FAX: (403) 209-3029
The only issue I have with the above is the allocation of 600,000 shares to a so far unnamed entity. - The 2.5mil share obligation from before was based on, I believe, proving-up some assets. So, that particular obligation would only have been fulfilled if the Company had proved-up a lot of good stuff. Whereas, this recent 0.6mil share obligation is a done deal, proved-up assets or no proved-up assets. I'll call Ken Hughes to see what I can find out then post any further details I get. Are there any other issues any of you can think of that should be addressed at the AGM or before? |
