Chesapeake Gold Corp.

Chesapeake Gold Corp.
American Gold Capital Corporation

February 21, 2007 19:49 ET

Chesapeake and American Gold Announce Closing Date To Complete Business Combination

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 21, 2007) - Chesapeake Gold Corp. ("Chesapeake") (TSX VENTURE:CKG) and American Gold Capital Corporation ("American Gold") (TSX VENTURE:AAU) have set the closing date of the statutory plan of arrangement ("Arrangement") for February 23, 2007 further to all shareholder, court and regulatory approvals required for the completion of the transaction now being obtained.

Following the closing of the transaction, common shares of Chesapeake issuable under the Arrangement to American Gold shareholders will be tradable through the TSX Venture Exchange. American Gold common shares will be delisted from the TSX Venture Exchange at the close of business on February 23, 2007. Chesapeake will continue to use its best efforts to obtain a listing for the "Chesapeake Warrants" and the "Chesapeake Series 1 Class A Shares" issuable under the Arrangement. It is currently uncertain whether the Chesapeake Series 1 Class A Shares will be eligible for listing.

Forward looking statements

This press release contains certain forward looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the company's expectations and projections.

The TSX Venture Exchange has neither approved nor disapproved the information contained in this press release.

Contact Information

  • Chesapeake Gold Corp.
    P. Randy Reifel
    (604) 731-1094
    American Gold Capital Corporation
    Chris K. Falck
    (604) 689-1765 Extension 1