St. Genevieve Resources Ltd.
CNQ : SGVL

St. Genevieve Resources Ltd.

January 15, 2008 13:13 ET

St. Genevieve Resources Ltd. Files Restated Interim Financial Statements

MONTREAL, QUEBEC--(Marketwire - Jan. 15, 2008) - In accordance with subsection 11.5 of National Instrument 51-102, St. Genevieve Resources Ltd. (CNQ:SGVL) announces that the Company filed restated interim consolidated financial statements for.

Management of the Company decided to restate these financial statements mainly to reflect more accurately the changes in the Company's interest in Societe miniere Ste-Genevieve-Haiti, S.A. in each of the first three quarters of year 2007and to account for the write-off of the Kennedy Canyon property.

The restated interim consolidated financial statements and the corresponding management discussion and analyses are available on SEDAR.

The events and the resulting amendments to the interim consolidated financial statements initially filed are as follows:

At the end of January 2007, the interest of the Company decreased from 51% to 49%. It was determined that, on that date, not only did the Company lose control over SGV-Haiti but also its ability to exercise significant influence over it. The results for the three month period ended March 31, 2007 were restated to reflect the gain on dilution, the consolidation of the operations of SGV-Haiti up to January 31, 2007, and the recording of the investment at cost thereafter. The loss for the period was reduced by $6,730, and total assets and shareholder's equity increased by same amount.

At the end of June 2007, management determined that its investment in Haiti would not be recovered. An amount of $100,000 was recovered and the interim consolidated financial statements were restated to decrease the write-down by $100,000. As of June 30, 2007, total assets and shareholder's equity were therefore increased by $100,000.

The interim consolidated financial statements for the three month and the nine month periods ended September 31, 2007 were restated to account for the write-off of the Kennedy Canyon property. In accordance with the accounting principles adopted by the Company, the Kennedy Canyon property had to be written off since no work was done on it in the past three years. The write-off amounted to $452,980. The basic and diluted loss per share for the nine month period increased by $0.01 while the basic and diluted loss per share for the three month period remained unchanged.

Prepared on behalf of the Board,

"Bryan Wilson"

President & CEO

The CNQ Exchange has not reviewed the contents of this press release nor has it passed upon the merits of the information presented herein. Furthermore, the CNQ Exchange does not accept responsibility for the adequacy or accuracy of this release nor has it approved or disapproved the contents contained herein.

Shares issued and outstanding: 199,521,201

Contact Information

  • St. Genevieve Resources Ltd.
    Michel Cote
    514-866-6001 Ext. 266
    514-866-6193 (FAX)