Everton Resources Inc.

Everton Resources Inc.

March 03, 2014 08:30 ET

Everton Finalizes the Linear Gold Caribe Share Purchase Agreement for Dominican Republic Concessions

OTTAWA, ONTARIO--(Marketwired - March 3, 2014) - Everton Resources Inc. ("Everton" or the "Company") (TSX VENTURE:EVR)(FRANKFURT:ERV) is pleased to announce that it has finalized the definitive agreement with Brigus Gold Corp. ("Brigus") pursuant to which Brigus granted Everton the right to acquire 100% of the outstanding shares of Linear Gold Caribe, a wholly-owned subsidiary of Brigus. Linear Gold Caribe holds the Brigus' interest in the Ampliacion Pueblo Viejo, Ponton and La Cueva Concessions located in the Dominican Republic.

Under the finalized agreement, Everton will pay $175,000, of which $25,000 has already been received by Brigus, in cash and has issued 6,000,000 common shares (on a pre-consolidation basis). There is also a sliding-scale net smelter returns royalty equal to 1.0% when the price of gold is less than US$1,000 per ounce, 1.5% when the price of gold is between US$1,000 and US$1,400 per ounce, and 2.0% when the price of gold is above US$1,400 per ounce. Everton has also issued Brigus a promissory note for an amount equal to the greater of CAD$5 million or the value of 5,000,000 common shares of Everton. Pursuant to an amending agreement executed by the parties, the promissory note will be payable in cash only upon the completion of either (i) a National Instrument 43-101 compliant measured and indicated resource estimate on the Concessions of a minimum one million ounces of gold equivalent ("AuEq") (at an average grade of 2.5 g/t AuEq or higher for APV and 1.5 g/t AuEq or higher for Ponton and La Cueva) or (ii) the sum of actual gold production from the Concessions plus a National Instrument 43-101 compliant measured and indicated resource estimate on the Concessions (at an average grade of 2.5 g/t AuEq or higher for APV and 1.5 g/t AuEq or higher for Ponton and La Cueva) equaling 1 million ounces of AuEq.

Linear Gold Caribe assets consist of US$ 1.4 million in mineral rights costs capitalized to the Ampliacion Pueblo Viejo, Ponton and La Cueva Concessions. As at November 30, 2013 Linear had a contributed surplus of US$ 4.1 million and a deficit of US$ 2.7 million.

About Everton Resources Inc.

Everton is actively exploring in the Dominican Republic adjacent to the Pueblo Viejo Mine, owned by the world's two largest gold mining companies, Barrick Gold Company (60%) in partnership with Goldcorp Inc. (40%) ("Goldcorp"). Everton also holds an interest in the Opinaca region of James Bay, Quebec where the Company has partnered with Hecla Mining Company (formerly Aurizon Mines Ltd.) which is advancing Everton's interest by funding 100% of all exploration work on one of the largest land packages adjacent to Goldcorp's Eleonore gold deposit.

For further information on Everton Resources Inc., please visit www.evertonresources.com.

Everton Resources Inc.

Andre Audet, Chairman and CEO

This news release contains certain forward-looking statements that involve risks and uncertainties, such as statements of Everton's plans, objectives, strategies, expectations and intentions. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to Everton, or its management, are intended to identify such forward-looking statements. Many factors could cause Everton's actual results, performance or achievements to be materially different any future results, performance or achievements that may be expressed or implied by such forward-looking statements. The forward-looking statements included in this press release represent Everton's views as of the date of the release. While Everton anticipates that subsequent events and developments may cause its views to change, it specifically disclaims any obligation to update these forward-looking statements, except in accordance with applicable securities laws. Accordingly, readers are advised not to place undue reliance on forward-looking information. All subsequent written and oral forward-looking statements attributable to Everton or persons acting on its behalf are expressly qualified in their entirety by this notice.

Neither 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.

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