General Properties Ltd.
TSX VENTURE : GPL

General Properties Ltd.

March 16, 2007 16:02 ET

General Properties Ltd. Announces SEDAR Filing of Filing Statement

CALGARY, ALBERTA--(CCNMatthews - March 16, 2007) - General Properties Ltd. (TSX VENTURE:GPL) (the "Company") is pleased to announce that it has filed on SEDAR its Filing Statement dated March 15, 2007 in respect of its previously announced "change of business" transaction (the "Transaction"). See the Company's press release dated August 18, 2006 and the aforementioned Filing Statement on SEDAR for details of the Transaction. The Filing Statement will now be used by the Company to obtain requisite shareholder approval for the Transaction.

The Transaction involves the acquisition by the Company of all of the issued and outstanding shares of Clear Hills Iron Ltd. ("Clear Hills") and Peace River Energy Inc. in exchange for the payment of $416,250 (Cdn.) and the issuance of 20,500,000 common shares of the Company with an aggregate deemed value of $1,383,750 (Cdn.), resulting in a total consideration of $1,800,000 (Cdn.). Clear Hills holds 32 metallic and industrial mineral permits in the Peace River area of Northern Alberta covering an area of approximately 213,206 hectares (823.2 square miles). Upon completion of the Transaction, the Company will pursue operations as a mining company and will cease real estate activities.

As reported in the Company's March 6, 2007 press release, the TSX Venture Exchange (the "TSXV") has conditionally approved the Transaction. There are a variety of conditions associated with the TSXV conditional listing approval including: filing of final documentation; satisfactory completion of background checks; satisfactory evidence of shareholder approval, and the deposit of certain securities into escrow.

The Company has also filed on SEDAR an update to the Technical Report dated March 27, 2006 (the "Technical Report") prepared in respect of the Transaction, which Technical Report was filed on SEDAR on August 18, 2006. The update to the Technical Report is dated January 23, 2007.

Completion of the Transaction is subject to a number of conditions, including TSXV acceptance and the requisite shareholder approval. The Transaction cannot close until the requisite shareholder approval is obtained. There can be no assurance that the Transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the aforementioned Filing Statement, any information released or received with respect to the "change of business" of the Company may not be accurate or complete and should not be relied upon. Trading in the securities of the Company should be considered highly speculative.

The TSXV has in no way passed upon the merits of the proposed Transaction and has neither approved nor disapproved the contents of this press release.

Contact Information

  • General Properties Ltd.
    Robert B. Knight
    President and Chief Executive Officer
    (403) 531-2088
    (403) 531-2099 (FAX)
    Cell phone: (403) 804-5200
    Email: rbk@denro.ca