Dahava Resources Ltd.

April 17, 2007 14:37 ET

Dahava Resources Ltd. Announces Agreement to Settle Debt

CALGARY, ALBERTA--(CCNMatthews - April 17, 2007) -


Dahava Resources Ltd. ("Dahava") (FRANKFURT:DH6) announced that it has entered into an agreement in principal with Moshe Hus and David Goldstein (the "Lenders"), Ravi Singh and Joseph Goldstein (the "Borrowers") relating to payment and settlement in full of the debt of approximately US$720,000 (the "Debt") owed by indirect subsidiaries of Dahava in connection with the acquisition of certain assets related to Dahava's diamond properties situated in Namibia (the "Properties").

The Debt is owed to Mr. Singh, the President and Chief Executive Officer of Dahava and to Mr. Goldstein, the trustee of the Goldstein Family Trust, a principal shareholder of Dahava. Mr. Singh and Mr. Goldstein borrowed the monies from the Lenders, who are at arm's length to the Corporation and the monies were used to partly fund the costs related to the acquisition of the Properties. The Lenders have agreed to accept an aggregate of 3,000,000 common shares of Dahava ("Common Shares") to be issued from treasury at a deemed price of $0.24 per Common Share and an aggregate of 3,440,000 Common Shares from Ravi Singh and Joseph Goldstein, in full payment and settlement of the approximately US$644,000 loan to by the Lenders to the Borrowers, who will in turn consider the Debt paid by Dahava.

The debt settlement was approved by the non-conflicted directors of Dahava and is subject to execution of a definitive debt settlement agreement.

"We are very pleased that the Lenders have agreed to settle the debt in this manner, as a result of which Dahava will become a debt free company. It also demonstrates the Lenders' confidence in Dahava's prospects," said Eitan Dehtiar, Dahava's Chief Financial Officer.

Certain disclosures in this release, including management's assessment of Dahava's plans and projects, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Dahava's operation that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements. Dahava expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Dahava Resources Ltd.
    Eitan Dehtiar
    Chief Financial Officer
    (867) 766-3449