Opawica Explorations Inc.

Opawica Explorations Inc.
Washmax Corp.

July 31, 2009 17:11 ET

Opawica and Washmax Enter Into Option Agreement for Dingman Gold Property, Ontario and Opawica Announces Intention to Apply to List on the TSX Venture Exchange

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 31, 2009) - Opawica Explorations Inc. ("Opawica") (TSX:OPW) and Washmax Corporation ("Washmax") (NEX:WMC.H) jointly announce that Washmax has optioned the Dingman gold property which is 100% owned by Opawica (subject to an existing 2% NSR).

Washmax may acquire a 100% interest in the Dingman gold property by Washmax paying Opawica $25,000 cash and issuing Opawica 21,000,000 shares of Washmax. The option runs for a 60 day period subject to the right of Washmax to extend the option period by two 30 day periods by the payment to Opawica of an extension fee of $5,000 per 30 day period.

Under the terms of the agreement, in circumstances where Washmax does not incur at least $1,000,000 in expenditures on the property over the 24 months following the exercise of the option, Opawica will have the right to reacquire the property for 5,000,000 shares of Washmax.

The option agreement is subject to Washmax listing on the TSX.V and securing not less than $1,400,000 of financing for Washmax.

The above option agreement is also subject to the approval of the regulatory authorities having jurisdiction.

It is contemplated that Opawica will hold at least 30 % of the issued shares of Washmax on exercise of the option and completion of the proposed financing and thus will be the "control person" of Washmax.

Opawica also announces that it intends to make application to the TSX Venture Exchange (the "Venture Exchange") to list Opawica and, in connection therewith, has made a submission to the Toronto Stock Exchange to voluntarily delist Opawica concurrent with the listing on the Venture Exchange.

Opawica believes that, given current market conditions and given the opportunity for significant cost savings, Opawica and its shareholders are better served by a listing on the Venture Exchange.

Contact Information

  • Opawica Explorations Inc.
    Jonathan Samuda
    Washmax Corporation
    Michael Churchill