Everton Resources Inc.

Everton Resources Inc.

May 17, 2011 08:30 ET

Everton Resources Inc., and Canadian Star Minerals Execute a Sales/Purchase Agreement With Strike Minerals Inc. for Everton's Gold Project in Schreiber, NW Ontario

OTTAWA, ONTARIO--(Marketwire - May 17, 2011) - Everton Resources Inc. ("Everton")(TSX VENTURE:EVR)(FRANKFURT:ERV), announced today a contract finalized jointly with Canadian Star Minerals Ltd. ("Canadian Star"), a private company, to sell their 100% interest in a package of gold exploration properties located at Hays Lake, near Schreiber, Ontario, to Strike Minerals Inc., (Strike) (TSX VENTURE:STK).

Everton's Hays Lake, Ontario, properties, a.k.a. the "Hemlo West Properties" are some 70 kilometres west along the Trans Canada Highway from the multi-million ounce Hemlo gold deposit in the Schreiber Hemlo greenstone belt.

Under the terms of the agreement, Everton receives $100,000 cash; 5,700,000 Strike common shares; a 0.5% NSR on the property that can be purchased for $500,000 by Strike at any time, and; Everton's right to nominate one position on Strike's Board of Directors. Strike acquires 100% interest in those properties that are directly owned and optioned by Everton.

"The finalization and execution of this contract concludes another of our planned divestitures that creates additional, long-term shareholder value by permitting EVR's management to focus on its gold and base metal discovery operations in the Dominican Republic," said Andre Audet, Chairman and CEO of Everton Resources.

"We're extremely satisfied with this sale because it fits with both Everton's and Strike's business objectives and it provides a win-win for both companies," Mr. Audet said.

The properties include some 35 sq.km of mining claims near Schreiber, Ontario and three past-producing gold mines.

About Everton

Everton is partnered with Brigus Gold on actively exploring in the Dominican Republic adjacent to the US$3 billion Pueblo Viejo project, currently being developed by the world's largest gold mining company, Barrick Gold Corporation (60%) (NYSE:ABX)(TSX:ABX) in partnership with Goldcorp (40%) ("Goldcorp") (NYSE:GG)(TSX:G). Planned divestiture of its 100%-owned subsidiary Hays Lake Gold containing the Shoal Lake Gold Project in Kenora, Ontario is expected to provide internal funding to advance the Ampliacion Pueblo Viejo project. Everton also holds an interest in the Opinaca region of James Bay, Quebec where the Company has partnered with Aurizon Mines Ltd. who 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.


Strike Minerals is a TSX-V listed company that is engaged in the exploration and development of precious metal properties in Canada. Its primary property is the former producing Edwards Gold Mine property in the Goudreau – Lochalsh Gold Camp near Wawa Ont. Historic production in the camp between 1930 and 2001 is estimated at 500,000 ounces. Between 1996 and 2001 underground development was completed through a decline to a depth of approximately 290 m resulting in 144,000 oz being mined from the Edwards property. More recent exploration of the property has delineated an additional number of mineralized zones that require follow-up.

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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