SOURCE: Batero Gold Corp.

Batero Gold Corp.

September 15, 2015 11:20 ET

Batero Bid Remains the Best Option for CB Gold Shareholders

TORONTO, ON--(Marketwired - September 15, 2015) - Batero Gold Corp. ("Batero") (TSX VENTURE: BAT) would like to thank CB Gold Inc. ("CB Gold") shareholders for their support throughout the bid process. We have responded to your interest in a higher bid with additional consideration and a cash or shares alternative (the "Batero Offer"). There is still time left to tender to the Batero Offer despite Red Eagle Mining Corporation's ("Red Eagle") tactics. Batero's offer continues to deliver more value than Red Eagle's. The Batero Offer remains open until 11:59 p.m. (Vancouver time) on Friday, September 18, 2015.

REASONS TO TENDER TO THE BATERO OFFER

Take advantage of Batero's significantly higher proposal. CB Gold shareholders that have not tendered their shares can still benefit from Batero's significantly higher offer. The Batero Offer provides nearly 30% more value than the Red Eagle offer based on September 14, 2015 closing prices.

The Batero Offer provides the option of certainty of cash or upside exposure to gold projects in Colombia. Batero is offering CB Gold shareholders immediate cash returns on their shares, or shares of Batero to continue to benefit from the development of the Vetas project and consolidation in the California district.

Red Eagle is not telling the truth to CB Gold shareholders. Red Eagle has consistently reverted to various means to trick CB Gold shareholders. The British Columbia Securities Commission has dismissed such allegations yet Red Eagle continues to release misstatements and use questionable tactics to gain control of CB Gold. Is this the team of promoters that you want controlling the CB Gold assets?

The Batero Offer is strongly supported by CB Gold Shareholders. Holders of 43.13% of CB Gold Shares have tendered and/or provided instructions to tender their shares to the Batero Offer. This support continues to increase as shareholders learn of the improved offer. Meanwhile, support for Red Eagle is waning with a significant portion of shares already withdrawn from their offer over the past few days. The Batero Offer is the only offer approved by CB Gold's board of directors given that it provides the opportunity for an immediate premium and long-term value potential.

Batero has the financial and technical capacity to develop Vetas -- Red Eagle's potential cash flows will be diverted away from shareholders. Red Eagle's equity value is at serious risk. Red Eagle has sold the upside in its project to private equity funds and a mining contractor who are not aligned with the interests of all shareholders. They have taken advantage of this control position to extract dilutive royalties, production payments and provide excessive debt. Shareholder interests are subordinate to these groups. Red Eagle does not have any spare resources to dedicate to the development of the Vetas Gold project. On the other hand, Batero, with Consorcio Minero Horizonte ("CMH") as their strategic partner, is fully dedicated to the development of the Vetas Gold project. CMH's long term track record is indisputable. CB Gold shareholders will benefit from its success in developing underground narrow vein gold projects throughout all market conditions.

How to Tender CB Gold Common Shares to the Batero Offer
All questions regarding the Batero Offer and how to tender CB Gold Common Shares to the Batero Offer should be directed to Kingsdale Shareholder Services, the information agent and depository, at 1-866-581-0506 (North American Toll-Free) or +1-416-867-2272 (Collect Calls) or by email at contactus@kingsdaleshareholder.com.

About Batero

Batero is a precious and base metals exploration and development company focused on moving the La Cumbre oxide deposit toward a production decision. Once the appropriate level of study has been completed, Batero intends to target the near surface higher grade oxidized gold mineralization at the deposit. Batero is also pursuing opportunities to acquire prospective high-grade, production focused mineral properties in Colombia and Latin America. In pursuing these objectives, Batero plans to leverage its secure treasury position, strong regional relationships, experienced management team, and long-term financial partners. Common shares of the Vancouver-based company trade on the TSXV under the symbol "BAT".

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • For further information, please contact:

    Michael Mills
    Tel: 604.568.6378
    Email: info@baterogold.com