SAS RECEIVES POSITIVE RULING FROM COURT OF APPEAL ON HOLT ROYALTY
TORONTO, May 13 /CNW/ - St Andrew Goldfields Ltd.
(T-SAS), ("SAS" or the "Company") is pleased to announce that the Ontario Court
of Appeal has unanimously dismissed the appeal of Newmont Canada
Limited ("Newmont") from the original decision of the Superior Court of
Justice (Ontario) which was in favour of the Company.
The original
decision, received in July 2009, upheld the Companys position that its
obligation in respect of a royalty agreement entered into by Newmont
and Barrick Gold Corporation (the "Holt Royalty"), on the Holt property
is limited to a flat rate 0.013 percent net smelter return royalty on
production from the Holt property. The Holt property was acquired by
the Company from Newmont in November 2006, as part of the Holloway-Holt
transaction.
"We are very pleased with the outcome of the appeal", said Jacques
Perron, President and CEO of SAS.
"This ruling is another important
milestone for SAS as it confirms our obligation in respect of the Holt
Royalty.
The Holt mine is a significant asset for SAS and todays
decision strengthens the value of the Holt Mine property and allows us
to advance our plans for it.
We remain focussed on achieving our
targets for this year, with production from all three mines and our
aggressive exploration programs."
About SAS
SAS (operating as "SAS Goldmines") is a gold mining and exploration
company with an extensive land package in the Timmins mining district,
northeastern Ontario which lies within the Abitibi greenstone belt, the
most important host of historical gold production in Canada.
SAS is
focussed on developing its assets in the Timmins Camp with three
producing mines and aggressive exploration activities across 120km of
land straddling the Porcupine-Destor Fault Zone.
FORWARD-LOOKING INFORMATION
This news release contains forward‐looking information and
forward-looking statements (collectively, "forward-looking
information") under applicable securities laws, concerning the
Companys business, operations, financial performance, condition and
prospects, as well as managements objectives, strategies, beliefs and
intentions.
Forward-looking information is frequently identified by
such words as "may", "will", "plan", "expect", "estimate",
"anticipate", "believe", "intend" and similar words referring to future
events and results, including in respect of the achievement of
production targets and the completion of exploration programs..
This
forward-looking information is subject to known and unknown risks,
uncertainties and other factors that may cause actual results to differ
materially from those expressed or implied by the forward‐looking
information.
Factors that may cause actual results to vary materially
include, but are not limited to, uncertainties relating to the
interpretation of the geology, continuity, grade and size estimates of
the mineral reserves and resources, the ability to convert inferred
resources into mineable reserves, unanticipated operational or
technical difficulties which could escalate operating and/or capital
costs and reduce anticipated production levels; fluctuations in gold
prices and exchange rates, changes in laws or regulations, the risks of
obtaining necessary licenses and permits, changes in general economic
conditions, and changes in conditions in the financial markets.
Such
forward looking information is based on a number of assumptions
including, the availability of adequate financing, the level and
volatility of the price of gold, the accuracy of reserve and resource
estimates and the assumptions on which such estimates are based, the
ability to achieve capital and operating cost estimates and general
business and economic conditions.
Should one or more risks and
uncertainties materialize or should any assumptions prove incorrect,
then actual results could vary materially from those expressed or
implied in the forward-looking information and accordingly, readers are
cautioned not to place undue reliance on this forward‐looking
information.
SAS does not assume the obligation to revise or update
this forward‐looking information after the date of this release or to
revise such information to reflect the occurrence of future
unanticipated events, except as may be required under applicable
securities laws.